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companylogoJagatjit Industries Ltd

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BSE Code : 507155 | NSE Symbol : JAGAJITIND | ISIN : INE574A01016 | Industry : Breweries & Distilleries |


Chairman's Speech

CHAIRMAN'S MESSAGE

Promoter & Executive Director

Dear Shareholders,

I am pleased to share the Annual Report for the Financial Year 2023-24, highlighting our exceptional performance in the previous year and outlining our vision for the future. Building on a strong foundation of 80 years, our unwavering commitment to quality has resulted in remarkable achievements and delighted millions of customers. Despite challenging market conditions, our team's resilience and dedication have driven our success.

Phase 1 of our turnaround strategy has been highly successful, transforming Jagatjit Industries into a profitable and thriving enterprise. By optimizing operations, investing in cutting-edge technology, capitalizing on market trends, and focusing on premium offerings, we have established a strong market position and achieved remarkable results. The company reported a strong financial performance in FY24 with revenue growth of 22% to Rs. 734 crore, and net profit increased by 17.1% to Rs. 9.71 crore from continuous operations.

As we embark on phase 2 of our transformation we will focus on re-entering Kerala, UP and West Bengal. Our key strategies will position us for a new paradigm of success propelling us to new heights. One driver of this growth will be the launch of our grain-based ethanol plant which is expected to significantly boost our revenue and profitability. We are also aiming to bring back a few of our state franchises under our control, which will potentially lead to 3X growth in the next 2 to 3 years. The plans for phase 2 will commence which will help us achieve some of the endeavors mentioned above and strengthen our IMFL portfolio significantly.

In the current year as we prepare for acceleration we have changed the mix of our product offering and have increased our production of malt spirit from 1.2 lakh liters to 2.5 lakh liters per month. This will in the short term strengthen our bottom line and get us ready to launch a single malt in the near future. This move aims to bolster our existing malt spirits offerings and contribute to the goal of reaching 1920 crore in revenue by the end of FY25. This number is likely to grow further if we succeed in completing our fund raise by the next quarter. We will also deepen our existing market penetration in key regions like Punjab, Andhra Pradesh, Telangana, and Assam while expanding our global footprint to include Nigeria and Russia, taking our total export markets to 15.

We aim to capitalize on the premiumisation boom in the country by introducing offerings such as Royal Pride, the exceptional King Henry VIII (Damn Good Scotch), and Royal Medallion in various markets across India. The company has set its sights on the premium market with plans to launch a single malt whisky in the near future.

As a part of our strategic growth initiatives, the ethanol plant is set to launch in the last quarter of FY 25. The plant, once operational, is projected to generate annual revenues exceeding Rs 500 crore, with a robust healthy EBITDA margin from the first year itself. The ethanol plant will also help in redefining the company's transformation strategy while contributing 10% of the company's total revenue in FY 25 and this is expected to grow further exponentially in the following fiscal year.

The outlined strategies are designed to propel Jagatjit Industries into a new phase of growth. The unwavering trust and support of our stakeholders have been instrumental in empowering us to pursue these ambitious goals. Our commitment to delivering exceptional value to both our customers and stakeholders remains steadfast as we execute on our vision.

I am immensely proud of our team's extraordinary achievements during this year. Your resilience, dedication, and unwavering commitment have been instrumental to our success. Together, we have demonstrated that with determination and a shared vision, we can overcome any challenge.

I want to express my sincere gratitude to each and every one of you for your contributions. Your trust and confidence in our leadership are invaluable. As we look ahead, I am excited about the opportunities that lie ahead and confident in our ability to continue to grow and thrive together.

Yours sincerely,

Roshini Sanah Jaiswal

Promoter & Executive Director.

   

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