Mumbai, Maharashtra, India: Monday, May 20, 2024 4:54PM IST (11:24AM GMT)
FY24 Profit After Tax (PAT) INR 91 Cr; 70% YoY growth
FY24 Cash Flow from Operations INR 99 Cr
Key Highlights Consolidated FY24:
- Revenue of INR 3,139 Cr; a growth of 8.5% YoY
- Gross profit (GP) INR 749 Cr; with a GP margin of 23.9% vs FY23 GP INR 569 Cr GP margin of 19.7%. Overall GP margin expansion of 4.2% YoY.
- EBITDA at INR 222 Cr; with an EBITDA margin of 7.1% vs FY23 EBITDA INR163 Cr, EBITDA margin of 5.7%. Overall EBITDA margin expansion of 1.4% YoY.
- Profit after tax at INR 91 Cr up from FY23 PAT INR 53 Cr, a growth of 70% YoY.
- Revenue from Operations stood at INR 790 Cr
- Gross profit (GP) INR 194 Cr; with a GP margin of 24.6%
- EBITDA at INR 44 Cr; with an EBITDA margin of 5.6%
- Profit After Tax at INR 10 Cr
Business Update:
The business performance this year signifies focus on sustainable profitable growth. The revenue has crossed INR 3,000 crore mark on the back of strong brand equity and competitive market positioning. The focus on margin expansion continues with overall GP margin expansion of 4.2% YoY. The performance outlines robust operating cash flows of INR 99 crore for FY24. The Company has bolstered its abilities in the rapidly growing new-age channels like Modern Trade and E-commerce, both of which have contributed to the overall growth. The Company has capitalized on the benign milk prices and expanded its gross margin profile along with premiumization and improvement in the value-added product portfolio. The Company continues to invest in brand building with the overall advertising & promotion spends at 4.2% for FY24 vs 2.5% in FY23.
New age business- Brand Avvatar: Our consumer brand “Avvatar” is consistently growing at 100% CAGR for now two years in a row. The overall protein portfolio has continued to record market share gains.
Premium Dairy Business: In line with the Company’s premiumization agenda- the brand Pride of Cows continues to witness healthy traction. The brand is aggressively expanding its product portfolio as well as distribution footprint and now is present across seven cities. The Company is expanding its Bhagyalakshmi Dairy Farm (100% subsidiary), which supplies exclusively under “Pride of Cows” brand.
Procurement: The average milk procurement stood at 16 lac litres per day; aided by stable global market coupled with good flush season; the milk prices have stabilized. For FY24 the average milk price stood at INR 33.8 per litre.
New Developments:
- Forayed into Sweets category under brand Gowardhan: The Company has forward integrated into traditional sweet segment under the brand ‘Gowardhan’. Currently it has seven delectable sweets range namely Kaju Katli, Malai Pedha, Kesar Pedha, Kaju Pista Roll, Mawa Gujiya, Mysore Pak, and Malai Modak. With an estimated branded market size of INR 7000-8000 crore, the Indian sweets market presents vast opportunities for growth and innovation.
- Expansion in International market: The company plans to incorporate a foreign wholly owned subsidiary (WOS) in Dubai, UAE. This will help the company to expand its reach and build a seamless supply chain operations worldwide to cater the international market.
We would continue to enhance our industry-leading R&D capabilities and infrastructure to drive innovation and delight our consumers across the globe. Our forward integration of brand ‘Gowardhan’ into the traditional sweets category is an initiative in this direction. The initial response of the prototype is very positive and encouraging and we aim to target a bigger launch around the festivities. We are inching up on our business process transformation along with driving efficiency across the value chain. With an ensuing expansion and acceleration of the distribution footprint, we plan to incorporate a foreign wholly owned subsidiary (WOS) in Dubai, to cater the international market. With strong foundation in place, we are confident of posting industry leading growth and profitability ahead.”
