Vintage Coffee and Beverages (538920) Q4 20/21 earnings summary

Executive summary

• FY21 standalone revenue was INR 2.12m and net profit INR 0.97m; results reflect the pre-acquisition business, while Vintage Coffee Private Limited and Delecto Foods Private Limited became subsidiaries from July 12, 2021.

• A share-swap acquisition and open offer changed control, and the business direction shifted toward instant coffee, chicory and beverages.

Financial highlights

• Revenue from operations rose to INR 2.12m in FY21 from INR 0.95m in FY20; profit before tax was INR 1.47m versus INR 42,424.

• Net profit was INR 967,201 versus INR 20,631; basic and diluted EPS were INR 0.30 each, compared with INR 0.01 in FY20.

• FY21 expenses totaled INR 656,231, including employee benefits of INR 240,000, finance costs of INR 4,237 and administrative expenses of INR 411,994.

• Operating cash flow was INR 1.31m, up from INR 576,789; cash and cash equivalents closed at INR 2.06m versus INR 755,427.

Outlook and guidance

• Plans include expanding in existing markets, entering new geographies, developing customized blends and private-label products, and pursuing decaffeinated and certified coffee segments.

• Management expected capacity to be marketed comfortably against demand growth and planned entry into Indian markets, with additional product launches and market expansion.

• The managing director appointment proposal cited efforts to increase production and efficiency, with expectations of improved business scale and financial position in coming years.