LT Foods (LTFOODS) Q4 14/15 earnings summary

Executive summary

• FY15 revenue rose 11.5% to ₹2,779.78 crore, while EBITDA increased 9.6% to ₹309.02 crore; higher finance costs contributed to lower profit after tax of ₹76.41 crore.

• Branded products contributed nearly 70% of revenue; the strategic focus remained on expanding brands, distribution and product range toward a global speciality food business.

Financial highlights

• Consolidated revenue from operations was ₹2,734.58 crore, up from ₹2,474.11 crore in FY14; total income was ₹2,779.78 crore.

• Consolidated EBITDA was ₹309.02 crore, up 9.6% YoY; EBITDA margin eased to 11.1% from 11.3%.

• Consolidated profit after tax was ₹76.42 crore versus ₹84.80 crore; after minority interest, profit was ₹72.49 crore versus ₹78.33 crore.

• Standalone net profit was ₹30.66 crore versus ₹38.48 crore; standalone gross revenue was ₹1,855.98 crore versus ₹1,810.85 crore.

Outlook and guidance

• Branded business is expected to anchor growth, supported by exports, North America, emerging Middle East and Europe markets, and domestic demand for basmati rice and packaged staples.

• Devaaya was planned for pan-India distribution in FY16, while Ecolife had recently launched in India; new products and agri-infrastructure were identified as growth supports.

• Plans included continued distribution expansion in India and international markets and exploration of international inorganic opportunities.