DUBAI, United Arab Emirates--(BUSINESS WIRE)--Amira Nature Foods Ltd (the “Company;” or “Amira”) (NYSE: ANFI), a leading global provider of branded, packaged Indian specialty rice, today reported financial results for its fiscal 2015 full year and fourth quarter ended on March 31, 2015.
FY 2015 Financial Highlights versus FY 2014:
- Revenue grew 27.8% to $699.4 million compared to $547.3 million
- Adjusted EBITDA increased 31.9% to $99.5 million compared to $75.5 million
- Adjusted EBITDA margin of 14.2%
- Adjusted profits after tax was $54.3 million compared to $41.0 million
- Adjusted earnings per share (“EPS”) was $1.51 compared to $1.14
Fourth Quarter 2015 Financial Highlights versus Fourth Quarter 2014:
- Revenue grew 21.6% to $226.8 million compared to $186.6 million
- Adjusted EBITDA increased 25.1% to $33.0 million compared to $26.4 million
- Adjusted EBITDA margin of 14.5%
- Adjusted profits after tax was $18.6 million compared to $16.8 million
- Adjusted earnings per share (“EPS”) was $0.52 compared to $0.47
Reported results and other information herein are preliminary and not final until the filing of the Company’s annual report on Form 20-F with the Securities and Exchange Commission and therefore remain subject to adjustment.
Karan A Chanana, Amira’s Chairman and Chief Executive Officer, stated, “Our strong fiscal fourth quarter and full year performance reflects increased demand for our products across categories and geographies. We are seeing revenue growth around the world – in India, our important home market, and across the emerging markets geographies of Middle East, Africa and Asia. We are also seeing signs of continued strength in our smaller, but rapidly expanding developed world business, where we entered into new relationships in the UK, Continental Europe and the United States. ”
Bruce Wacha, Amira’s Chief Financial Officer, added, “During fiscal 2015, we generated record full year and quarterly revenue, adjusted EBITDA and adjusted EPS which represents eleven consecutive quarters of double digit revenue and profit growth as a public company. Our growth in the fourth quarter was driven largely by volume gains as we build out our distribution around the globe and capitalize on the continued demand for healthy, better for you products such as our premium, specialty rice. Going forward, we continue to see many opportunities in India and around the world to further grow our business and create value for our shareholders.”
Full Year Fiscal 2015 Results
Revenue for the full year of fiscal 2015 increased 27.8% to $699.4 million, compared to $547.3 million in fiscal 2014. The revenue increase was primarily due to increased sales volume and product mix in India and internationally. Sales in India increased 28.0% to $286.8 million, while sales outside of India, or international sales, increased 27.7% to $412.6 million. Amira branded and third party branded sales increased 38.6% to $662.4 million and institutional sales decreased $32.4 million to $36.9 million.
Adjusted EBITDA increased $24.1 million or 31.9% to $99.5 million and Adjusted EBITDA margin increased to 14.2%. Adjusted profit after tax increased by 32.4% to $54.3 million for fiscal 2015 compared to $41.0 million in the year ago period. Adjusted EPS increased 32.4% to $1.51 per share from $1.14 per share in the prior year period. The Company’s effective tax rate was 17.4% for the period compared to 19.6% for the prior year period. A reconciliation of adjusted EBITDA, adjusted profit after tax and adjusted EPS is provided in the “Non-IFRS Financial Measures” section of this release.
Fourth Quarter Fiscal 2015 Results
Revenue for the fourth quarter of fiscal 2015 increased 21.6% to $226.8 million, compared to $186.6 million for same period in fiscal 2014. Adjusted EBITDA increased $6.6 million or 25.1% to $33.0 million and Adjusted EBITDA margin increased to 14.5%. Adjusted profit after tax increased by 10.9% to $18.6 million for the three months ended March 31, 2015 compared to $16.8 million in the year ago period. Adjusted EPS increased 11.1% to $0.52 per share from $0.47 per share in the prior year period. The Company’s effective tax rate was 18.0% for the period compared to 15.0% for the prior year period. A reconciliation of adjusted EBITDA, adjusted profit after tax and adjusted EPS is provided in the “Non-IFRS Financial Measures” section of this release.
Balance Sheet and Cash Flow Highlights
As of March 31, 2015, the Company’s cash and cash equivalents were $46.5 million and adjusted net working capital was $365.4 million. Net debt (after deducting cash and cash equivalents) was $164.2 million and Net debt/Adj. EBITDA was 1.6x. As of March 31, 2015, inventories were $262.3 million compared to $255.0 as of March 31, 2014, trade receivables were $130.4 million, an increase of $49.5 million from $80.9 million, trade payables were $34.0 million, a decrease of $7.2 million from $41.2 million. Total debt was $210.6 million, an increase of $25.8 million from $184.8 million. Reconciliations of adjusted net working capital and net debt to the IFRS measures of working capital and total current and non-current debt, respectively, are provided in the “Non-IFRS Financial Measures” section of this release.
Fiscal 2016 Outlook
The Company expects double digit fiscal 2016 revenue and adjusted EBITDA growth and maintains its long-term guidance previously provided to the investment community of $1 billion of revenue and $150 million of Adjusted EBITDA. The Company’s guidance is based on foreign exchange rates as of March 31, 2015.
Conference Call
The Company will hold an investor call today at 8:30 a.m. Eastern time. The dial-in number for this conference call is (877) 407-3982 for North American listeners and (201) 493-6780 for international listeners. Live audio of the conference call will be simultaneously webcast on the investor relations section of the Company's website at www.amira.net.
An audio replay will be available following the completion of the conference call by dialing (877) 870-5176 for North American listeners or (858) 384-5517 for international listeners; conference ID 13613515. The webcast of the teleconference will be archived and available on the Company’s website.
About Amira Nature Foods Ltd
Founded in 1915, Amira has evolved into a leading global provider of branded packaged Indian specialty rice, with sales in over 60 countries today. The Company primarily sells Basmati rice, which is a premium long-grain rice grown only in certain regions of the Indian sub-continent, under its flagship Amira brand as well as under other third party brands. Amira sells its products through a broad distribution network in both the developed and emerging markets. The Company’s global headquarters are in Dubai, United Arab Emirates, and it also has offices in India, Malaysia, Singapore, Germany, the United Kingdom, and the United States. Amira Nature Foods Ltd is listed on the New York Stock Exchange (NYSE) under the ticker symbol “ANFI.” For more information please visit www.amira.net.
Reported results and other information herein are preliminary and not final until the filing of the Company’s annual report on Form 20-F with the Securities and Exchange Commission and therefore remain subject to adjustment. The financial results provided may be subject to adjustment as a result of the completion of audit procedures by our independent registered public accounting firm as part of the annual audit they perform over the annual audit procedures they perform in connection with the Company’s financial statements for the fiscal year ended March 31, 2015. The preparation of the preliminary results requires management to make estimates and assumptions that affect the reporting period. Actual results could vary from these estimates.
Cautionary Note on Forward-Looking Statements
This release contains forward-looking statements within the meaning of the U.S. federal securities laws. These forward-looking statements generally can be identified by phrases such as that we or our members of management “believe,” “expect,” “anticipate,” “foresee,” “forecast,” “estimate” or other words or phrases of similar import. Specifically, these statements include, among other things, statements that describe our expectations for the growth of our business, expansion into new geographic markets, maintaining and expanding our relationship with key retail partners, the financial impact of new sales contracts on our revenue, our plans to make significant capital expenditures, and other statements of management’s beliefs, intentions or goals. It is uncertain whether any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do, what impact they will have on our results of operations, financial condition, or the price of our ordinary shares. These forward-looking statements involve certain risks and uncertainties that could cause actual results to differ materially from those indicated in such forward-looking statements, including but not limited to our ability to penetrate and increase the acceptance of our products in new geographic markets; our ability to perform our agreements with customers and further develop our relationships with key retail partners; our ability to recognize revenue from our contracts; continued competitive pressures in the marketplace; our reliance on a few customers for a substantial part of our revenue; our ability to implement our plans, forecasts and other expectations with respect to our business and realize additional opportunities for growth; and the other risks and important factors contained and identified in our filings with the Securities and Exchange Commission. All forward-looking statements attributable to us or to persons acting on our behalf are expressly qualified in their entirety by these risk factors. Since we operate in an emerging and evolving environment and new risk factors and uncertainties emerge from time to time, you should not rely upon forward-looking statements as predictions of future events. Except as required under the securities laws of the United States, we undertake no obligation to update any forward-looking or other statements herein to reflect events or circumstances after the date hereof, whether as a result of new information, future events or otherwise.
| Amira Nature Foods Ltd | ||||||||||
| Condensed Consolidated Statements of Financial Position | ||||||||||
|
(Amounts in USD) |
||||||||||
|
As at |
As at |
|||||||||
| ASSETS | ||||||||||
| Non-current | ||||||||||
| Property, plant and equipment | $ | 22,556,188 | $ | 23,284,918 | ||||||
| Goodwill | 1,405,057 | 1,727,338 | ||||||||
| Other intangible assets | 1,737,003 | 2,262,731 | ||||||||
| Other long-term financial assets | 396,076 | 485,731 | ||||||||
| Total non-current assets | $ | 26,094,324 | $ | 27,760,718 | ||||||
| Current | ||||||||||
| Inventories | $ | 262,297,532 | $ | 254,952,549 | ||||||
| Trade receivables | 130,426,136 | 80,882,986 | ||||||||
| Derivative financial assets | 638,467 | 2,352,886 | ||||||||
| Other financial assets | 9,933,742 | 9,768,514 | ||||||||
| Prepayments | 19,610,778 | 8,361,244 | ||||||||
| Other current assets | 1,955,834 | 765,655 | ||||||||
| Cash and cash equivalents | 46,460,922 | 37,606,098 | ||||||||
| Total current assets | $ | 471,323,411 | $ | 394,689,932 | ||||||
| Total assets | $ | 497,417,735 | $ | 422,450,650 | ||||||
| EQUITY AND LIABILITIES | ||||||||||
| Equity | ||||||||||
| Share capital | $ | 9,120 | $ | 9,115 | ||||||
| Share premium | 82,896,596 | 82,804,750 | ||||||||
| Other reserves | (5,929,086 | ) | (3,312,575 | ) | ||||||
| Retained earnings | 115,012,408 | 74,334,687 | ||||||||
| Equity attributable to shareholders of the Company | $ | 191,989,039 | $ | 153,835,977 | ||||||
| Equity attributable to non-controlling interest | 27,630,313 | 18,005,030 | ||||||||
| Total equity | $ | 219,619,352 | $ | 171,841,007 | ||||||
| Liabilities | ||||||||||
| Non-current liabilities | ||||||||||
| Defined benefit obligations | $ | 331,041 | $ | 246,548 | ||||||
| Debt | 1,465,707 | 2,739,414 | ||||||||
| Deferred tax liabilities | 7,709,106 | 6,666,270 | ||||||||
| Total non-current liabilities | $ | 9,505,854 | $ | 9,652,232 | ||||||
| Current liabilities | ||||||||||
| Trade payables | $ | 34,007,468 | $ | 41,197,158 | ||||||
| Debt | 209,174,216 | 182,103,347 | ||||||||
| Current tax liabilities (net) | 15,018,168 | 9,644,944 | ||||||||
| Derivative financial Liability | 280,560 | - | ||||||||
| Other financial liabilities | 6,961,163 | 6,031,593 | ||||||||
| Other current liabilities | 2,850,955 | 1,980,369 | ||||||||
| Total current liabilities | $ | 268,292,530 | $ | 240,957,411 | ||||||
| Total liabilities | $ | 277,798,384 | $ | 250,609,643 | ||||||
| Total equity and liabilities | $ | 497,417,736 | $ | 422,450,650 | ||||||
Note: Reported results and other information herein are preliminary and not final until the filing of the Company’s annual report on Form 20-F with the Securities and Exchange Commission and therefore remain subject to adjustment.
| Amira Nature Foods Ltd | ||||||||||||||
| Condensed Consolidated Statements of Profit or Loss | ||||||||||||||
|
(Amounts in USD) |
||||||||||||||
| Fiscal years ended | ||||||||||||||
|
March 31, 2015 |
March 31, 2014 | March 31, 2013 | ||||||||||||
| Revenue | $ | 699,390,811 | 547,344,368 | $ | 413,682,574 | |||||||||
| Other income | 186,404 | 160,064 | 94,368 | |||||||||||
| Cost of materials | (618,128,135 | ) | (454,123,161 | ) | (347,341,159 | ) | ||||||||
| Change in inventory of finished goods | 61,611,980 | 39,859,583 | 27,594,211 | |||||||||||
| Employee benefit expenses | (11,885,736 | ) | (11,642,833 | ) | (5,553,197 | ) | ||||||||
| Depreciation and amortization | (2,352,649 | ) | (2,064,264 | ) | (1,943,846 | ) | ||||||||
| Freight, forwarding and handling expenses | (16,508,963 | ) | (23,359,177 | ) | (20,985,039 | ) | ||||||||
| Other expenses | (23,628,011 | ) | (22,855,617 | ) | (14,676,910 | ) | ||||||||
| $ | 88,685,701 | 73,318,963 | $ | 50,871,002 | ||||||||||
| Finance costs | (34,316,448 | ) | (25,859,231 | ) | (21,751,614 | ) | ||||||||
| IPO expenses | - | - | (1,750,082 | ) | ||||||||||
| Finance income | 2,256,120 | 2,766,518 | 802,146 | |||||||||||
| Other gains and (losses) | 5,535,074 | (2,800,475 | ) | (654,852 | ) | |||||||||
| Profit before tax | $ | 62,160,448 | 47,425,775 | $ | 27,516,600 | |||||||||
| Income tax expense | (10,791,342 | ) | (9,293,071 | ) | (8,267,562 | ) | ||||||||
| Profit after tax for the year | $ | 51,369,106 | 38,132,704 | $ | 19,249,038 | |||||||||
| Profit after tax for the year attributable to: | ||||||||||||||
| Shareholders of the Company | 40,669,867 | 29,956,327 | 15,056,309 | |||||||||||
| Non-controlling interest | 10,699,239 | 8,176,377 | 4,192,729 | |||||||||||
| Earnings per share | ||||||||||||||
| Basic earnings per share | $ | 1.42 | 1.04 | $ | 0.63 | |||||||||
| Diluted earnings per share | $ | 1.41 | 1.04 | $ | 0.63 | |||||||||
Note: Reported results and other information herein are preliminary and not final until the filing of the Company’s annual report on Form 20-F with the Securities and Exchange Commission and therefore remain subject to adjustment.
| Amira Nature Foods Ltd | |||||||||||||||
| Condensed Consolidated Statements of Comprehensive Income | |||||||||||||||
|
(Amounts in USD) |
|||||||||||||||
| Fiscal years ended | |||||||||||||||
|
March 31, 2015 |
March 31, 2014 | March 31, 2013 | |||||||||||||
| Profit after tax for the year | $ | 51,369,106 | $ | 38,132,704 | $ | 19,249,038 | |||||||||
| Other comprehensive income | |||||||||||||||
| Items that will not be reclassified subsequently to profit or loss: | |||||||||||||||
| Re-measurement of defined benefit obligation: | |||||||||||||||
| Current year gain/(loss) | 14,947 | 6,290 | 30,875 | ||||||||||||
| Income tax | (5,173 | ) | (2,138 | ) | (10,495 | ) | |||||||||
| 9,774 | 4,152 | 20,380 | |||||||||||||
| Items that may be reclassified subsequently to profit or loss: | |||||||||||||||
| Available for sale financial assets: | |||||||||||||||
| Current year gain/(loss) | 44,290 | (13,414 | ) | 7,416 | |||||||||||
| Reclassification to profit or loss | - | (2,058 | ) | - | |||||||||||
| Income tax | (14,951 | ) | 4,812 | (2,520 | ) | ||||||||||
| 29,339 | (10,660 | ) | 4,896 | ||||||||||||
| Cash flow hedging reserve: | |||||||||||||||
| Current year gain/(loss) | 6,585,277 | (8,512,091 | ) | (1,160,394 | ) | ||||||||||
| Reclassification to profit or loss | (7,478,688 | ) | 8,917,446 | 1,628,914 | |||||||||||
| Income tax | 304,136 | (137,780 | ) | (146,820 | ) | ||||||||||
| (589,275 | ) | 267,575 | 321,700 | ||||||||||||
| Currency translation reserve | (4,918,155 | ) | (12,986,175 | ) | (4,524,299 | ) | |||||||||
| Other comprehensive income/(loss) for the year, net of tax | $ | (5,468,317 | ) | $ | (12,725,108 | ) | $ | (4,177,323 | ) | ||||||
| Total comprehensive income/(loss) for the year | $ | 45,900,789 | $ | 25,407,596 | $ | 15,071,715 | |||||||||
| Total comprehensive income/(loss) for the year attributable to: | |||||||||||||||
| Shareholders of the Company | $ | 36,275,641 | $ | 19,730,696 | $ | 11,697,741 | |||||||||
| Non-controlling interest | $ | 9,625,148 | $ | 5,676,900 | $ | 3,373,974 | |||||||||
Note: Reported results and other information herein are preliminary and not final until the filing of the Company’s annual report on Form 20-F with the Securities and Exchange Commission and therefore remain subject to adjustment.
| Amira Nature Foods Ltd | |||||||||||||||||||||||||||||||||||||||||
| Condensed Consolidated Statements of Changes in Equity (unaudited) | |||||||||||||||||||||||||||||||||||||||||
|
(Amounts in USD) |
|||||||||||||||||||||||||||||||||||||||||
| Other reserves | |||||||||||||||||||||||||||||||||||||||||
|
Share capital |
Share premium |
Share-based |
Reserve for |
Currency translation reserve |
Cash flow Reserve |
Restructuring reserve | Retained earnings |
Equity |
Equity
Non-controlling |
Total equity | |||||||||||||||||||||||||||||||
| Balance as at April 1, 2012 | $ | 100 | $ | — | $ | — | $ | (25,496 | ) | $ | (1,945,447 | ) | $ | — | $ | 9,398,927 | $ | 29,302,329 | $ | 36,730,413 | $ | 8,954,156 | $ | 45,684,569 | |||||||||||||||||
| Issue of shares (net of issuance cost) | 9,000 | 82,639,766 | — | — | — | — | — | — | 82,648,766 | — | 82,648,766 | ||||||||||||||||||||||||||||||
| Issue of shares | 11 | 44,160 | — | — | — | — | — | — | 44,171 | — | 44,171 | ||||||||||||||||||||||||||||||
| Share-based compensation | — | — | 183,514 | — | — | — | — | — | 183,514 | — | 183,514 | ||||||||||||||||||||||||||||||
| Profit after tax for the year | — | — | — | — | — | — | — | 15,056,309 | $ | 15,056,309 | 4,192,729 | $ | 19,249,038 | ||||||||||||||||||||||||||||
| Other comprehensive income /(loss) for the year | — | — | — | 3,935 | (3,637,536 | ) | 258,647 | — | 16,386 | $ | (3,358,568 | ) | (818,755 | ) | $ | (4,177,323 | ) | ||||||||||||||||||||||||
| Total comprehensive income/(loss) for the year | $ | — | $ | — | $ | — | $ | 3,935 | $ | (3,637,536 | ) | $ | 258,647 | $ | — | $ | 15,072,695 | $ | 11,697,741 | $ | 3,373,974 | $ | 15,071,715 | ||||||||||||||||||
| Balance as at March 31, 2013 | $ | 9,111 | $ | 82,683,926 | $ | 183,514 | $ | (21,561 | ) | $ | (5,582,983 | ) | $ | 258,647 | $ | 9,398,927 | $ | 44,375,024 | $ | 131,304,605 | $ | 12,328,130 | $ | 143,632,735 | |||||||||||||||||
| Balance as at April 1, 2013 | $ | 9,111 | $ | 82,683,926 | $ | 183,514 | $ | (21,561 | ) | $ | (5,582,983 | ) | $ | 258,647 | $ | 9,398,927 | $ | 44,375,024 | $ | 131,304,605 | $ | 12,328,130 | $ | 143,632,735 | |||||||||||||||||
| Issue of shares | 4 | 120,824 | — | — | — | — | — | — | 120,828 | — | 120,828 | ||||||||||||||||||||||||||||||
| Share-based compensation | — | — | 2,679,848 | — | — | — | — | — | $ | 2,679,848 | — | $ | 2,679,848 | ||||||||||||||||||||||||||||
| Profit after tax for the year | — | — | — | — | — | — | — | 29,956,327 | $ | 29,956,327 | 8,176,377 | $ | 38,132,704 | ||||||||||||||||||||||||||||
| Other comprehensive income /(loss) for the year | — | — | — | (8,566 | ) | (10,435,418 | ) | 215,017 | — | 3,336 | $ | (10,225,631 | ) | (2,499,477 | ) | $ | (12,725,108 | ) | |||||||||||||||||||||||
| Total comprehensive income/(loss) for the year | $ | — | $ | — | $ | — | $ | (8,566 | ) | $ | (10,435,418 | ) | $ | 215,017 | $ | — | $ | 29,959,663 | $ | 19,730,696 | $ | 5,676,900 | $ | 25,407,596 | |||||||||||||||||
| Balance as at March 31, 2014 | $ | 9,115 | $ | 82,804,750 | $ | 2,863,362 | $ | (30,127 | ) | $ | (16,018,401 | ) | $ | 473,664 | $ | 9,398,927 | $ | 74,334,687 | $ | 153,835,977 | $ | 18,005,030 | $ | 171,841,007 | |||||||||||||||||
| Balance as at April 1, 2014 | $ | 9,115 | $ | 82,804,750 | $ | 2,863,362 | $ | (30,127 | ) | $ | (16,018,401 | ) | $ | 473,664 | $ | 9,398,927 | $ | 74,334,687 | $ | 153,835,977 | $ | 18,005,030 | $ | 171,841,007 | |||||||||||||||||
| Issue of shares | 9 | 130,032 | 1,785,704 | - | - | - | - | - | 1,915,745 | - | 1,915,745 | ||||||||||||||||||||||||||||||
| Share-based compensation | (4 | ) | (38,186 | ) | - | - | - | - | - | (38,190 | ) | - | (38,190 | ) | |||||||||||||||||||||||||||
| Profit after tax for the year | - | - | - | - | - | - | - | 40,669,867 | 40,669,867 | 10,699,239 | 51,369,106 | ||||||||||||||||||||||||||||||
| Other comprehensive income /(loss) for the year | - | - | - | 23,576 | (3,952,127 | ) | (473,664 | ) | - | 7,854 | (4,394,361 | ) | (1,073,957 | ) | (5,468,317 | ) | |||||||||||||||||||||||||
| Total comprehensive income/(loss) for the year | $ | - | $ | - | $ | - | $ | 23,576 | $ | (3,952,127 | ) | $ | (473,664 | ) | $ | - | $ | 40,677,721 | $ | 36,275,506 | $ | 9,625,283 | $ | 45,900,788 | |||||||||||||||||
| Balance as at March 31, 2015 | $ | 9,120 | $ | 82,896,596 | $ | 4,649,066 | $ | (6,551 | ) | $ | (19,970,528 | ) | $ | - | $ | 9,398,927 | $ | 115,012,408 | $ | 191,989,039 | $ | 27,630,313 | $ | 219,619,352 | |||||||||||||||||
Note: Reported results and other information herein are preliminary and not final until the filing of the Company’s annual report on Form 20-F with the Securities and Exchange Commission and therefore remain subject to adjustment.
| Amira Nature Foods Ltd | ||||||||||||||
| Condensed Consolidated Statements of Cash Flows | ||||||||||||||
|
(Amounts in USD) |
||||||||||||||
| Fiscal years ended | ||||||||||||||
|
March 31, 2015 |
March 31, 2014 | March 31, 2013 | ||||||||||||
|
(A) CASH FLOW FROM OPERATING ACTIVITIES |
||||||||||||||
| Profit before tax for the year | $ | 62,160,448 | 47,425,775 | $ | 27,516,600 | |||||||||
| Adjustments for non-cash items | 7,178,908 | 2,277,965 | 2,039,904 | |||||||||||
| Adjustments for non-operating incomes and expenses | 32,050,730 | 23,086,950 | 20,936,946 | |||||||||||
| Changes in operating assets and liabilities | (94,957,979 | ) | (66,008,898 | ) | (105,435,127 | ) | ||||||||
| $ | 6,432,107 |
6,781,792 |
$ | (54,941,677 | ) | |||||||||
| Income taxes paid | (3,303,886 | ) | (3,783,471 | ) | (3,701,951 | ) | ||||||||
| Net cash generated from/(used in) operating activities | $ | 3,128,221 | 2,998,321 | $ | (58,643,628 | ) | ||||||||
|
(B) CASH FLOW FROM INVESTING ACTIVITIES |
||||||||||||||
| Purchase of property, plant and equipment | $ | (2,374,971 | ) | (3,324,778 | ) | $ | (877,981 | ) | ||||||
| Purchase of intangible assets | - | (315,649 | ) | (334,793 | ) | |||||||||
| Advance for property, plant and equipment | (33,408 | ) | - | - | ||||||||||
| Proceeds from sale of property, plant and equipment | 1,732 | 4,787 | 13,569 | |||||||||||
| Net cash outflow on acquisition of subsidiaries | - | (1,954,432 | ) | -- | ||||||||||
| Net investments in term deposits | (694,519 | ) | (1,183,286 | ) | (84,630 | ) | ||||||||
| Purchase of short term investments | (202,980 | ) | (249,000 | ) | (110,400 | ) | ||||||||
| Proceeds from the sale of short term investments | 180,905 | 4,248 | -- | |||||||||||
| Interest received | 2,416,729 | 2,685,657 | 802,146 | |||||||||||
| Net cash used in investing activities | $ | (706,512 | ) | (4,332,453 | ) | $ | (592,089 | ) | ||||||
|
(C) CASH FLOWS FROM FINANCING ACTIVITIES |
||||||||||||||
| Net proceeds from issue of shares | $ | - | -- | $ | 82,648,766 | |||||||||
| Repurchase of shares from ex-director | (38,190 | ) | - | - | ||||||||||
| Net proceeds from short term debt | 34,987,109 | 37,982,254 | 27,973,449 | |||||||||||
| Proceeds from long term debt | 18,040 | 128,540 | 34,220 | |||||||||||
| Repayment of long term debt | (1,205,893 | ) | (1,764,307 | ) | (2,241,703 | ) | ||||||||
| Interest paid | (25,090,402 | ) | (25,870,607 | ) | (21,751,614 | ) | ||||||||
| Net cash generated from/(used in) financing activities | $ | 8,670,664 | 10,475,880 | $ | 86,663,118 | |||||||||
| (D)Effect of change in exchange rate on cash and cash equivalents | (2,237,549 | ) | (4,805,988 | ) | (2,525,319 | ) | ||||||||
| Net increase/(decrease) in cash and cash equivalents | $ | 8,854,824 | 4,335,760 | $ | 24,902,082 | |||||||||
| Cash and cash equivalents at the beginning of the year | 37,606,098 | 33,270,338 | 8,368,256 | |||||||||||
| Cash and cash equivalents at the end of the year | $ | 46,460,922 | 37,606,098 | $ | 33,270,338 | |||||||||
Note: Reported results and other information herein are preliminary and not final until the filing of the Company’s annual report on Form 20-F with the Securities and Exchange Commission and therefore remain subject to adjustment.
Non-IFRS Financial Measures
In evaluating our business, we consider and use the non-IFRS measures EBITDA, adjusted EBITDA, adjusted profit after tax, adjusted earnings per share, adjusted net working capital and net debt as supplemental measures to review and assess our operating performance. The presentation of these non-IFRS financial measures is not intended to be considered in isolation or as a substitute for the financial information prepared and presented in accordance with IFRS. We define: (1) EBITDA as profit after tax plus finance costs (net of finance income), income tax expense and depreciation and amortization; (2) adjusted EBITDA, as EBITDA plus non-cash expense for share-based compensation for the three and twelve months ended March 31, 2015 and 2014, respectively (3) adjusted profit after tax, as profit after tax plus non-cash expense for share-based compensation for three and twelve months ended March 31, 2015 and 2014, respectively; (4) adjusted earnings per share as the quotient of: (a) adjusted profit after tax and (b) the sum of our weighted average number of shares (including dilutive impact of share options granted) for the applicable period and the ordinary shares subject to the exchange agreement between us and the non-controlling shareholders of Amira India; (5) adjusted net working capital as total current assets minus: (a) total current liabilities (b) cash and cash equivalents and plus current debt; and (6) net debt as total current and non-current debt minus cash and cash equivalents.
We use both EBITDA and adjusted EBITDA as measures of operating performance to assist in comparing performance from period to period on a consistent basis, as a measure for planning and forecasting overall expectations, for evaluating actual results against such expectations and as a performance evaluation metric, including as part of assessing and administering our executive and employee incentive compensation programs. We believe that the use of both EBITDA and adjusted EBITDA as non-IFRS measures facilitates investors’ assessment of our operating performance from period to period and from company to company by backing out potential differences caused by variations in items such as capital structure (affecting relative finance or interest expenses), non-recurring IPO-related expenses, the book amortization of intangibles (affecting relative amortization expenses), the age and book value of property and equipment (affecting relative depreciation expenses) and other non-cash expenses. We also present these non-IFRS measures because we believe they are frequently used by securities analysts, investors and other interested parties as measures of the financial performance of companies in our industry.
These non-IFRS financial measures are not defined under IFRS and are not presented in accordance with IFRS. These non-IFRS financial measures have limitations as analytical tool, and when assessing our operating performance, investors should not consider it in isolation, or as a substitute for profit/ (loss) or other consolidated statements of operations data prepared in accordance with IFRS. Some of these limitations include, but are not limited to:
- it does not reflect our cash expenditures or future requirements for capital expenditures or contractual commitments;
- it does not reflect changes in, or cash requirements for, our working capital needs;
- it does not reflect the finance or interest expenses, or the cash requirements necessary to service interest or principal payments, on our debt;
- it does not reflect income taxes or the cash requirements for any tax payments;
- although depreciation and amortization are non-cash charges, the assets being depreciated and amortized often will have to be replaced in the future, and adjusted net profit, EBITDA and Adjusted EBITDA do not reflect any cash requirements for such replacements;
- other companies may calculate EBITDA, Adjusted EBITDA and other non-IFRS measures differently than we do, limiting the usefulness of this non-IFRS measure as a comparative measure.
We compensate for these limitations by relying primarily on our IFRS results and using non-IFRS measures only as a supplemental information.
We present adjusted EBITDA, adjusted profit after tax, adjusted earnings per share, adjusted net working capital and net debt because we believe these measures provide additional metrics to evaluate our operations and, when considered with both our IFRS results and the reconciliation to profit after tax, basic and diluted earnings per share, working capital and total current and non-current debt, respectively, provide a more complete understanding of our business than could be obtained absent this disclosure. We also believe that these non-IFRS financial measures are useful to investors in assessing the operating performance of our business after reflecting the adjustments described above.
Reported results and other information herein are preliminary and not final until the filing of the Company’s annual report on Form 20-F with the Securities and Exchange Commission and therefore remain subject to adjustment.
In the following tables we have provided reconciliation of the non-IFRS measures to the most directly comparable IFRS measure:
1. Reconciliation of profit after tax to EBITDA and adjusted EBITDA:
| (Amounts in USD) | |||||||||||||||||
| FY 2015 | FY 2014 |
Three months |
Three months |
||||||||||||||
| Profit after tax | $ | 51,369,106 | $ | 38,132,704 | $ | 17,593,804 | $ | 16,777,338 | |||||||||
| Add: Income tax expense | 10,791,342 | 9,293,071 | 3,161,550 | 2,512,762 | |||||||||||||
| Add: Finance costs (net of finance income) | 32,060,327 | 23,092,713 | 10,626,259 | 6,477,095 | |||||||||||||
| Add: Depreciation and amortization | 2,352,649 | 2,064,264 | 573,735 | 591,994 | |||||||||||||
| EBITDA | $ | 96,573,424 | $ | 72,582,752 | $ | 31,955,348 | $ | 26,359,189 | |||||||||
| Add: Non - cash expenses for share based compensation | 1,785,704 | 2,874,010 | (138,432 | ) | - | ||||||||||||
| Add: Onetime expenses related to Bond Issue | 1,156,995 | - | 1,156,995 | - | |||||||||||||
| Adjusted EBITDA | $ | 99,516,124 | $ | 75,456,762 | $ | 32,973,911 | $ | 26,359,189 | |||||||||
2. Reconciliation of profit after tax to adjusted profit after tax:
| (Amounts in USD) | |||||||||||||||||
| FY 2015 | FY 2014 |
Three months |
Three months |
||||||||||||||
| Profit after tax (PAT) | $ | 51,369,106 | $ | 38,132,704 | $ | 17,593,804 | $ | 16,777,338 | |||||||||
| Add: Non - cash expenses for share based compensation | 1,785,704 | 2,874,010 | (138,432 | ) | - | ||||||||||||
| Add: Onetime expenses related to Bond Issue | 1,156,995 | - | 1,156,995 | - | |||||||||||||
| Adjusted profit after tax | $ | 54,311,805 | $ | 41,006,714 | $ | 18,612,367 | $ | 16,777,338 | |||||||||
3. Reconciliation of earnings per share and adjusted earnings per share:
| (Amounts in USD) | |||||||||||||||||
| FY 2015 | FY 2014 |
Three months |
Three months |
||||||||||||||
| Profit after tax | $ | 51,369,106 | $ | 38,132,704 | $ | 17,593,804 | $ | 16,777,338 | |||||||||
|
Profit attributable to Shareholders of the
company (A) |
$ | 40,669,867 | $ | 29,956,327 | $ | 14,125,691 | $ | 13,371,145 | |||||||||
|
Weighted average number of shares (for
Basic earnings per share) (B) |
28,723,279 | 28,672,840 | 28,780,188 | 28,674,997 | |||||||||||||
|
Weighted average number of shares (for
Diluted earnings per share) (C) |
28,927,142 | 28,888,163 | 28,831,059 | 29,001,032 | |||||||||||||
|
Basic Earnings per share as per IFRS |
$ | 1.42 | $ | 1.04 | $ | 0.49 | $ | 0.47 | |||||||||
|
Diluted Earnings per share as per IFRS |
$ | 1.41 | $ | 1.04 | $ | 0.49 | $ | 0.46 | |||||||||
| Profit after tax (PAT) | $ | 51,369,106 | $ | 38,132,704 | $ | 17,593,804 | $ | 16,777,338 | |||||||||
| Add: Non - cash expense for share based Compensation | 1,785,704 | 2,874,010 | (138,432 | ) | - | ||||||||||||
| Add: Onetime expenses related to Bond Issue | 1,156,995 | 1,156,995 | |||||||||||||||
| Adjusted profit after tax, | $ | 54,311,805 | $ | 41,006,714 | $ | 18,612,367 | $ | 16,777,338 | |||||||||
|
Number of shares outstanding including
shares for non-controlling interest - fully diluted |
35,932,575.51 | 35,893,597 | 35,836,493 | 36,006,466 | |||||||||||||
| Adjusted earnings per share | $ | 1.51 | $ | 1.14 | $ | 0.52 | $ | 0.47 | |||||||||
4. Reconciliation of working capital (total current assets minus total current liabilities) and adjusted net working capital:
| (Amounts in USD) | ||||||||
| FY2015 | FY2014 | |||||||
| Current assets: | ||||||||
| Inventories | $ | 262,297,532 | $ | 254,952,549 | ||||
| Trade receivables | 130,426,136 | 80,882,986 | ||||||
| Derivative financial instruments | 260,034 | 2,352,886 | ||||||
| Other financial assets | 9,933,742 | 9,768,514 | ||||||
| Prepayments | 19,610,778 | 8,361,244 | ||||||
| Other current assets | 1,955,834 | 765,655 | ||||||
| Cash and cash equivalents | 46,460,922 | 37,606,098 | ||||||
| Total current assets | $ | 470,944,978 | $ | 394,689,932 | ||||
| Current liabilities: | ||||||||
| Trade payables | $ | 34,007,468 | $ | 41,197,158 | ||||
| Debt | 209,174,216 | 182,103,347 | ||||||
| Current tax liabilities (net) | 15,018,168 | 9,644,944 | ||||||
| Derivative financial instruments | 280,560 | - | ||||||
| Other financial liabilities | 6,961,163 | 6,031,593 | ||||||
| Other current liabilities | 2,850,955 | 1,980,369 | ||||||
| Total current liabilities | $ | 268,292,530 | $ | 240,957,410 | ||||
| Working Capital as per IFRS (Total current assets minus Total current liabilities) | $ | 202,652,448 | $ | 153,732,521 | ||||
| Less: Cash and cash equivalents | 46,460,922 | 37,606,098 | ||||||
| Add: Current debt | 209,174,216 | 182,103,347 | ||||||
| Adjusted net working capital | $ | 365,365,742 | $ | 298,229,770 | ||||
5. Reconciliation of total current and non-current debt to net debt:
| (Amounts in USD) | ||||||||
| FY2015 | FY2014 | |||||||
| Current debt | $ | 209,174,216 | $ | 182,103,347 | ||||
| Non-current debt | 1,465,707 | 2,739,414 | ||||||
| Total current and non-current debt as per IFRS | $ | 210,639,923 | $ | 184,842,761 | ||||
| Less: Cash and cash equivalents | 46,460,922 | 37,606,098 | ||||||
| Net debt | $ | 164,179,001 | $ | 147,236,663 | ||||