ADANI WILMAR LTDLong
ADANI WILMAR Showing Breakage in Volume & Structure,
AWL .......................................................................
Not a Adani Lover.... But Some Bussinesses are Considered as White Collar.... Specially when you are aware of the original Product of the company.
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Strong recovery in Profitability, after subdued profits in H1 of last year.
➢ Trailing 9-Month EBITDA at INR 1,471 Crore.
➢ Profitability was volatile in FY24 due to hedge dis-alignment. However, profitability is improving over the longer-term.
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▪ Q1 volume growth of 12% YoY
▪ Steady growth in staple packaged foods. Edible oils grew by 12% YoY and Foods & FMCG grew by 42% YoY
▪ In Industry essential segment, both Oleo and Castor business grew in double digits, though overall volume impacted due to oil meal business
▪ Q1 revenue at INR 14,169 crores
▪ Revenue grew by 10% YoY in-line with volume growth as lapping of disinflationary impact of edible oil prices on revenue is complete
▪ Highest-ever EBITDA in Q1‘25 at INR 619 crores
▪ Edible oil business profitability has improved on back of stable edible oil prices
▪ Demand Environment (branded oil and foods)
▪ Demand environment stays steady in packaged staple foods on back of ongoing shift towards branded products
▪ Company stays focused on gaining market share, particularly in under-indexed markets & categories
▪ Incorporating local nuances to enhance regional engagement through customized campaigns, specialized packaging, localized pricing strategies, targeted schemes
▪ ESG Update
▪ Adani Wilmar has been included in FTSE4Good Index Series
▪ Company is committed to improve its processes for ESG performance, enhance disclosures and participate in key ESG ratings
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Key Takeaways: Q1’25
▪ Overall volumes grew by 12% YoY in Q1’25
▪ Edible Oil volumes surpasses 1 Million MT in Q1’25
▪ Food & FMCG crossed quarterly revenue of ~INR 1,500 Crores in Q1’25
▪ Edible Oil:
▪ Edible Oil volumes grew by 12% YoY in Q1’25
▪ Both Sunflower oil and Mustard oil grew double digit during the quarter.
▪ Food & FMCG:
❑ Food & FMCG volumes grew by 42% YoY (Ex-G2G business, Food volumes grew by 19% YoY)
❑ The revenue from branded products in the domestic market has been growing consistently YoY at over 30% for the past eleven quarters.
▪ Distribution:
❑ Company’s direct reach grew by 18% YoY to reach 7.4 Lac Outlets at the end of Q1’25
❑ Rural towns coverage grew by 40% YoY to 30,000+ towns at the of June 2024
▪ Channel Growth:
❑ Alternate channel grew by 19% YoY in Q1’25 (in volume terms)
❑ Branded exports grew by 36% YoY in Q1’25 (in volume terms)
❑ HoReCa business grew by 91% YoY (in volume terms), with quarterly revenues crossing ~INR 150 Crore in Q1’25
▪ ESG:
❑ Inclusion of AWL in FTSE4Good Index Series
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