Document Overview

This document is a regulatory filing submitted to BSE Limited and the National Stock Exchange of India Limited pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. It contains the Q1FY27 investor presentation for Associated Alcohols & Breweries Limited (AABL).

Q1FY27 Financial Performance

Financial Highlights (Q1FY27):

  • Net Revenue from Operations: ₹2,809 million
  • Total Operating Expenses: ₹2,510 million
  • EBITDA: ₹299 million (20% decrease YoY)
  • EBITDA Margins: 11% (300bps contraction YoY)
  • Other Income: ₹31 million (71% increase YoY)
  • Depreciation: ₹71 million (26% increase YoY)
  • Interest: ₹18 million (18% increase YoY)
  • Profit Before Tax: ₹241 million (24% decrease YoY)
  • Tax: ₹62 million (23% decrease YoY)
  • Profit After Tax: ₹178 million (25% decrease YoY)
  • PAT Margins: 6% (300bps contraction YoY)
  • Basic EPS: ₹8.88 per share
  • Diluted EPS: ₹8.88 per share

Segment-wise Performance (Q1FY27):

  • IMFL (Proprietary): Revenue of ₹792 million with volume of 660,000 cases
  • IMFL (Licensed): Revenue of ₹252 million
  • IMIL: EBITDA margin of 18%
  • Merchant ENA: Volume of 6.9 million liters
  • Ethanol: Reported operating loss of ₹47 million due to low realization

FY26 Financial Performance

Annual Financial Highlights (FY26):

  • Gross Revenues: ₹10,333 million (6% decrease YoY)
  • Excise duty: ₹139 million (33% decrease YoY)
  • Net Revenue from Operations: ₹10,194 million (5% decrease YoY)
  • Total Operating Expenses: ₹8,765 million (8% decrease YoY)
  • EBITDA: ₹1,429 million (12% increase YoY)
  • EBITDA Margins: 14% (200bps improvement YoY)
  • Other Income: ₹61 million (29% increase YoY)
  • Depreciation: ₹245 million (41% increase YoY)
  • Interest: ₹62 million (9% increase YoY)
  • Profit Before Tax: ₹1,183 million (8% increase YoY)
  • Tax: ₹298 million (6% increase YoY)
  • Profit After Tax: ₹885 million (9% increase YoY)
  • PAT Margins: 9% (100bps improvement YoY)
  • Basic EPS: ₹47.42 per share (5% increase YoY)
  • Diluted EPS: ₹45.92 per share (7% increase YoY)

Business Updates and Strategic Initiatives

New Product Launch:

  • Launched 'Kultur' Ready-to-Drink (RTD) brand with 5 flavor variants (Cranberry, Watermelon Mint, MaiTai, Lemon, and Juniper Triple Sec)
  • Initially launched in Madhya Pradesh in 330ml can format
  • Expansion planned through phased state registrations in 8 additional states

Acquisition:

  • Acquired SDF Industries, bringing bottling operations in-house in Kerala

Manufacturing Capabilities:

  • ENA Manufacturing Capacity: 160 KLPD
  • Ethanol Manufacturing Capacity: 130 KLPD
  • Malt Plant Capacity: 6,000 LPD (recently commissioned)
  • 41 Bottling Lines with collective capacity of 16 million cases annually
  • Owns portfolio of 17 proprietary brands

Strategic Goals:

  • Become pan-India player with focus on Madhya Pradesh, Kerala, Chhattisgarh, Maharashtra, and Delhi
  • Target strategic entry into Karnataka and Andhra Pradesh
  • Targeting 25-30% CAGR Revenue Growth in IMFL (P) segment over next 4-5 years
  • Aim to achieve 2 million cases in Kerala in FY27
  • Goal to secure position among top 10 IMFL companies in India

Geographic Presence:

Currently present in: Madhya Pradesh, Chhattisgarh, Kerala, Delhi, West Bengal, Uttar Pradesh, Maharashtra, Mahe (UT), Goa, Jharkhand, Rajasthan, Gujarat, Manipur, and Odisha

Capital Expenditure and Financial Position

Capex Incurred/Planned:

  • Malt Plant: ₹550 million capex incurred; additional ₹150 million expected for casks in FY27
  • Bottling Unit Automation: ₹100 million capex to be incurred
  • SDF Industries: ₹400 million capex including ₹308.5 million acquisition cost

Balance Sheet Strength:

  • Net Debt/Equity: 0.09x
  • Interest Coverage: 23x
  • Net Working Capital: ₹1,614 million as of FY26
  • Total Equity: ₹6,946 million as of FY26

Management and Leadership

Board of Directors:

  • Mr. Prasann Kumar Kedia - Managing Director
  • Mr. Anshuman Kedia - Whole Time Director & CEO
  • Mr. Tushar Bhandari - Whole Time Director
  • Debashis Das - Independent Director
  • Dr. Swaraj Puri - Independent Director

Leadership Team:

  • Mr. Dilip Kumar Inani - CFO
  • Mr. S.R. Dubey - Group Sales Head
  • Mr. Abhinav Mathur - Company Secretary
  • Mr. Rajeev Nema - Head Human Resources
  • Mr. Sanjeev Kumar Tulsyan - Head of Marketing

Historical Financial Data

The presentation includes detailed historical financial statements for FY24-FY26 covering income statement, balance sheet, and cash flow statement, showing consistent growth trajectory with 13% 10-year Revenue CAGR, 14% 10-year EBITDA CAGR, and 20% 10-year PAT CAGR.