CCL Products (India) Ltd

- No mention of any new fundraising through debt or equity in the conversations. - Company has completed its capex and plans to use future cash flows to reduce existing debt. - Debt reduction plan targets lowering net debt from INR1,671 crores (June 2025) to INR1,350 crores by December 2025. - Interest costs are expected to decrease due to debt reduction and lower working capital requirements. - Focus is on prudent financial management and leveraging existing capacity without new capital raising.

- No new capex planned for B2C/branded business; investments are focused on brand building rather than capacity expansion. - Expansion into new categories like snacks is planned through third-party manufacturing, avoiding capital-intensive investments. - Capacity expansion has recently occurred with doubling of capacity in India and Vietnam, with new capacity utilization around 10-15%. - Going forward, cash flows from operations will be used to retire debt rather than fund new capex. - Investment emphasis is on advertising, brand promotion, and market expansion, such as doubled value growth expected for Percol in the UK and brand building in Indian and diaspora markets. - Management is focused on leveraging existing capacities and growing branded business through marketing and strategic partnerships rather than investing in new production facilities.

- Volume growth guidance maintained at 10% to 20% annually, reflecting confidence in continued expansion (Page 16, 17). - Company achieved a 37% turnover growth in 1QFY26, reaching INR1,058 crores, signaling strong sales momentum (Page 3). - EBITDA growth guidance is steady at 15% to 20% year-on-year, with volume growth closely tracking EBITDA growth (Pages 4, 17). - Branded business turnover expected to be around INR400 crores to INR500 crores by year-end, up from INR150 crores in 1Q (Pages 10, 18). - Ongoing brand-building investments in coffee and snacks categories to drive further market penetration and sales growth (Page 10). - Confidence in maintaining or surpassing volume growth in Q2 due to stable consumption patterns despite market volatility (Page 9). - Growth in FDC (Freeze Dried Coffee) volumes expected to be higher than SDC (Spray Dried Coffee) (Page 17).

- The company maintains a volume growth guidance of 10% to 20% for the full year. - EBITDA growth guidance is between 15% to 20% for the full year. - EBITDA per kg is expected to be approximately INR125 to INR135. - EBITDA growth has recently been at 23%, outpacing volume growth due to better margins. - Incremental volume growth is now contributing positively to margins, no longer being margin dilutive. - The branded business is growing aggressively and is EBITDA-positive, with plans to continue increasing EBITDA margins. - Interest costs and depreciation are currently at peak levels but expected to decrease, improving profitability. - The company aims to maintain consistent EBITDA growth momentum of 15% to 20% for the next 3 to 4 years.

- The company has good visibility on orders for the upcoming quarters. - Approximately 50% to 60% of the order book visibility for subsequent quarters is already secured with long-term clients. - Long-term clients generally give visibility but prefer shorter-term contracts (3-6 months) due to market volatility. - The company expects more long-term contracts to come in as the Vietnam crop cycle closes. - There is confidence to maintain or surpass the volume reported in the current quarter, supported by a steady consumption trend. - While not all contracts are confirmed for 12 months ahead, near-term visibility is strong, allowing for expansion and capacity increase.