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Westlife Development Ltd.Hardcastle Restaurants Pvt. Ltd.
Corporate Presentation
November, 2019
www.westlife.co.inWestlife Development Limited | Confidential | November 2019
This presentation contains forward-looking statements that represent our beliefs, projections and predictions about future
events or our future performance. Forward-looking statements can be identified by terminology such as “may,” “will,”
“would,” “could,” “should,” “expect,” “intend,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “potential,” “continue” or the
negative of these terms or other similar expressions or phrases. These forward-looking statements are necessarily subjective
and involve known and unknown risks, uncertainties and other important factors that could cause our actual results,
performance or achievements or industry results to differ materially from any future results, performance or achievement
described in or implied by such statements. The forward-looking statements contained herein include statements about the
business prospects of Westlife Development Ltd. (‘Westlife Development’), its ability to attract customers, its affordable
platform, its expectation for revenue generation and its outlook. These statements are subject to the general risks inherent in
Westlife Development’s business. These expectations may or may not be realised. Some of these expectations may be
based upon assumptions or judgements that prove to be incorrect. In addition, Westlife Development’s business and
operations involve numerous risks and uncertainties, many of which are beyond the control of Westlife Development, which
could result in Westlife Development’s expectations not being realised or otherwise materially affect the financial condition,
results of operations and cash flows of Westlife Development. Additional information relating to the uncertainties affecting
Westlife Development’s business is contained in its filings with various regulators and the Bombay Stock Exchange (BSE).
The forward-looking statements are made only as of the date hereof, and Westlife Development does not undertake any
obligation to (and expressly disclaims any obligation to update any forward-looking statements to reflect events or
circumstances after the date such statements were made, or to reflect the occurrence of unanticipated events.
Westlife Development Ltd.
www.westlife.co.inPg 2Westlife Development Limited | Confidential | November 2019
McDonald’s Leads Globally
www.westlife.co.in
Forbes 2019 Brand Ranking - World’s 10th most valuable brand
# 1. Apple
# 2. Google
# 3. Microsoft
# 4. Amazon
# 5. Facebook
# 6. Coca-Cola
# 7. Samsung
# 8. Disney
# 9. Toyota
# 11. AT&T
# 10. McDonald’s
# 12. Louis Vuitton
# 13. Intel
# 14. Nike
# 15. Cisko
Source: www.forbes.com
Pg 3Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
McDonald’s Leads Globally
Interbrand’s best Global Brands Ranking 2019 - World’s 9th most valuable brand
# 1. Apple
# 2. Google
# 3. Microsoft
# 4. Amazon
# 5. Coco-Cola
# 6. Samsung
# 7. Toyota
# 8. Mercedes
Benz
# 10. Disney
# 9. McDonald’s
Westlife Development Limited | Confidential | November 2019 Pg 4
www.westlife.co.in
Global Facts – Power of the Brand
A new McDonald’s restaurant is opened in every 14.5 hours
McDonald’s restaurants feed 68 mn people every day
McDonald is also one of the world’s largest supplier of toys. It gives
away ~ 1.5 bn toys each year with Happy Meals
McDonald’s hires ~1 mn workers in the US every year
Source: www.seriousfacts.com/mcdonalds-facts/
McDonald’s sells over 75 burgers every single second
McDonalds serves 9 mn pounds of fries per day globally
~7% of the potatoes grown in the U.S. are turned into McDonald’s fries
McDonald’s earn ~USD 75 mn each day
Westlife Development Limited | Confidential | November 2019 Pg 5
Westlife Development Limited – The Custodian
of Brand McDonald’s in West and South India
www.westlife.co.in
WDL through its
subsidiary HRPL operates
McDonald’s; 62%
promoter holding
One of the fastest
growing players in
India’s Quick Service
Restaurant (QSR) sector
304* restaurants
across 42 cities
(as of Sep, 2019)
205 McCafé's and239 McDelivery hubs
(as of Sep, 2019)
Modern and
contemporary store
designs enhancing
customer experience
Wide range of menu
offering, servicing all
day and providing value
for money
Robust Supply Chain;
Integrated
Farm to Fork model
Good Food Story-
Continuous
improvement
to provide wholesome
and nutritious food
Westlife Development Limited | Confidential | November 2019 Pg 6
A Highly Recognized Organization
www.westlife.co.inPg 7
Akshay Jatia conferred with the 21st Century
Icon Awards 2019 under the category
Dedicated Stalwart Award
Won the highest honour at the Sabre South Asia Awards 2019 for efforts to drive Brand Advocacy –
‘Superior Achievement in Brand Building’
Achieved 2 Gold Awards at the DMA Asia ECHO
Awards 2019 in the retail and experiential
category for the Election Campaign
#MakeYourChoice
Won the ‘Bronze Spike’ for our Election Campaign #MakeYourChoice, under the
category ‘Media-use of Stunts’
Bagged a Silver EMVIE, 2019 at The Advertising
Club’s EMVIE Awards for our Election Campaign
#MakeYourChoice under the category
Innovation / Experiential Marketing
Smita Jatia, among the four Indians featured in
Forbes Asia’s Power Businesswoman list
The list highlights 25 accomplished women who are playing a significant role
in shaping Asia’s business landscape in the next few decades. These women
are defying stereotypes and breaking down barriers across industries
Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
MADHYA PRADESH 5
GUJARAT 41
CHHATTISGARH 2
MAHARASHTRA 132
TELANGANA 29
KARNATAKA 55
GOA 3
ANDHRA PRADESH 5
PUDUCHERRY 1
KERALA 8
TAMIL NADU 23
With an Extensive Footprint
Total restaurants – 304*
Presence in 42 cities
(as of Sep, 2019)
Note: * System-wide HRPL stores. India map not to scale.
2%
13% 1%
43%10%
18%
1%
2%0%
3%
8%
Madhya Pradesh Gujarat Chhattisgarh
Maharashtra Telangana Karnataka
Goa Andhra Pradesh Puducherry
Kerala Tamil Nadu
www.westlife.co.inPg 8Westlife Development Limited | Confidential | November 2019
A Journey of Innovation and Excellence
Spice Fest
2012
Note: *DL – Development License
Stores are system-wide HRPL stores
PRODUCT PLATFORMS and INNOVATIVE PRODUCT ADDITIONS
McAloo
TikkiTM
2004
Chicken
McNuggetsTM
2010
McFlurryTM
2011
McEggTM
2012
Veg Pops
2013
Chicken Wings
2014
Indi McSpicyTM
2015
Good Food
Journey; Rice
Bowls 2018Breakfast
2010
McSpicyTM
2011
Masala Grill
2013
Royale
2014
Chicken Pops
2015
Maharaja MacTM
2016/17
STORE ADDITIONS
FY95 – FY97
1995 - Started as a JV
Oct, 1996 - 1st store in
Mumbai
FY04 – FY06
Mar, 2004 – Started MDS
Oct, 2004 - Entered south
market
FY10 – FY12
May, 2010 - Ownership
status changed to DL*
Oct, 2010 - 100th store
FY16 – FY19
Sept, 2015 - 50th McCafe
Mar, 2016 - 250th store Dec,
2016 - 100thMcCafe
Mar, 2018 - 150th McCafe
Jan, 2019 – Launched
McDonald’s App
FY01 – FY03
Dec, 2001 - Drive-thru
started at Mumbai
(Kalamboli)
FY07 – FY09
Sept, 2007 - 50th store
FY13 – FY15
Oct, 2013 – Launched McCafe
Jun, 2014 - 200th store
www.westlife.co.in
FY20
June, 2019 –300th store
Pg 9Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
With Immense Growth Potential
Source: 1) Euromonitor, 2018; 2) Brand Track, Mumbai and Internal McDonald’s sources
2018 Market Size
USD 128 bn
8.9% CAGR
IEO MARKET1
WESTERN
FAST FOOD
2023E Market Size
USD 195 bn
QUICK SERVICE
RESTAURANT1
2018 Market Size
USD 22 bn
8.9% CAGR 2023E Market Size
USD 33 bn
2018 Market Size
USD 1.9 bn
12.5% CAGR 2023E Market Size
USD 3.4 bn
2018 Market Size
USD 19.8 bn
8.5% CAGR 2023E Market Size
USD 29.8 bn
INDIAN
FAST FOOD1
WESTERN
FAST FOOD12018 Market Size
USD 1.9 bn3
108.6
18
12.1
20
Mumbai Benchmark Asian City
2003 2013 2018
15 year
CAGR 9.7%
15 year
CAGR 4.7%
IEO Monthly Frequency2
Pg 10Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
India is expected to
become the world’s
youngest country by 2020,
with a mean age of 29.
• World Bank estimates
64% of India’s current
population falls in the
working group
• Higher youth and
working population
exhibits the potential of
increase in consumption
expenditure
Bringing a shift in consumer
behaviour and spending
patterns
• In 2004-05, 7% of
households had annual
income of more than Rs
5 lacs.
• In 2017-18, 17% of
households have an
annual income of more
than Rs 5 lacs.
• Internet in India is
expected to grow to 700
mn + by 2020.
• Increase in penetration
of internet would lead to
higher usage of apps
including the plethora of
food ordering and
delivery service apps.
• Number of foreign
tourists arrival in India
stood at 10 mn in 2017
with annual growth rate
of 14%.
• Domestic tourism market
also expanded
considering 1,652.4 mn
domestic tourists in
2017.
• 34% of the population
resides in urban areas
and contributes 60% to
the GDP
Changing demographic landscape
Rising Income Levels
Increase in travel & tourism
Internet Penetration
Increase in urbanisation
Growth Drivers for Food Sector India
Source: NRAI Report 2019
Pg 11Westlife Development Limited | Confidential | November 2019
Solid Foundation - Our Competitive Advantage
• Contemporary store design, EoTF stores, ROP 2.0
• Diverse operating formats (Malls, Food Courts, DT, High Street & Transit Points)
• Long-term rental deals (20 years vs industry average of 9-12 years)
• Strong unit economics - cash on cash ROI of 20% + in 24 - 30 months
• Menu innovation
• Strong “Farm to Fork” supplychain
• Economies ofscale
• The Good Food Story
• One of the most experienced management team in QSR industry
• Deployment of global best practices
• One of the most skilled QSR player - ~1.25 lakh hours in training programs at
restaurant level
www.westlife.co.inPg 12Westlife Development Limited | Confidential | November 2019
Vision 2022
www.westlife.co.in
GROW BASELINE
SALES
BROADENING
ACCESSIBILITY OF
BRAND
McDONALD’S
GROW MARKET
SHARE & MARGIN
Sales growth to Rs. 20 - 25 bn
Restaurant level cash on cash returns >20%
Take EBITDA margin from low to
mid teens
Mid to high single digit SSSG%
400-500 restaurants Presence in
45+cities
80-100 EoTF restaurants
Investment of Rs. 5+bn
McCafe: 75 to 300-350
McDelivery: 124 to 300-325
Leverage other brand extensions
and menu in future
Pg 13Westlife Development Limited | Confidential | November 2019
Strategic Levers
www.westlife.co.in
Running great restaurants
Right location & Right economics
Modern and Contemporary Design
Food – Menu and Value
Brand Extensions
Trust and Permissibility
Talent Management
High Performance Culture
Training and Development
Financial Discipline
Our
Restaurants
Our
BrandOur
People
Pg 14Westlife Development Limited | Confidential | November 2019
Broadening Accessibility of Brand McDonald's
OUR RESTAURANT
www.westlife.co.inPg 15Westlife Development Limited | Confidential | November 2019
Store Additions
Over 3x stores in last ~9 years
* System-wide HRPL store count
www.westlife.co.in
FY10
87
FY11
107
FY12
129
FY13
161
FY14
184
FY15
209
FY16
236
FY17
258
FY18
277
FY19
296
H1FY20
304
Pg 16Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
CHURCHGATE
300th
RESTAURANT
300th Restaurant Milestone
23 years ago, we brought the iconic McDonald’s Golden
Arches to India.
It has been an incredibly delicious journey ever since.
Pg 17Westlife Development Limited | Confidential | November 2019
Our Restaurant Designs
www.westlife.co.in
EoTF design enhancing customer experience
Modern and contemporary store designs
Providing digital experience and table service to our customers
through EOTF stores is receiving good traction
EOTF stores expansion increased from 25 in FY19 to 50+ in H1FY20
90% of our restaurants are now of modern and contemporary design
Continuous investments made in restaurants to make it modern and
contemporary
Pg 18Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
Experience of the Future Stores
EOTF elements that enhance the overall customer experience at the store
EoTF design enhancing customer experience
Table Service Self Ordering
ScreensPersonal Guest
Assistance
Gaming Pads Air Chargers
Pg 19Westlife Development Limited | Confidential | November 2019
New Business Unit Economics (ROP 2.0)
www.westlife.co.in
Average Investment
of ~ Rs. 25 – 30 mn
Stores typically need 2-3 years
to establish, depending upon the
brand awareness in the city
Year 1: Positive
contribution
to ROM%
Year 3:
Sales: Rs. 40-45 mn;
Cash ROI 20%+
Pg 20Westlife Development Limited | Confidential | November 2019
Achievements under ROP 2.0
Initiatives under ROP 2.0 Results of ROP 2.0 significantly
outperformed our targets
Equipment Options
• Localisation of seating and kitchen equipment, yet providing an upgradedlook
Operating Costs• Use of energy saving equipments• Redesign of HVAC basis heat map• Improved labour productivity
Break
even
Avg.
Development
Cost1
2013-14ROP 2.0
Target
ROP 2.0Actual
1x
24Months
Negative margins
Positivemargins
and cash flow
12-18Months
~12Months
0.8x 0.7x
Cash
Break-even1
ROM %1
Note: 1. Can vary basis restaurant type, region and presence of brand extensions.
Cash on Cash ROI1 to 10%+ in Year 1
Restaurant Design
• New external Façade
• Pre-fabrication of parts of the building structure
www.westlife.co.inPg 21Westlife Development Limited | Confidential | November 2019
Grow Baseline Sales
OUR BRAND
www.westlife.co.inPg 22Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
Servicing Multiple Segments
Menu: Strategic lever for driving AUV
Burgers
~13 products with many burgers that record annual sales of Rs. 1+bn
Wraps
3 wraps
Naan & Sides
12 Strong product offerings
Desserts
15 desserts offerings
Breakfast
Only organised WFF player in this space offering ~13 products
Beverages
WFF player having 47 products among hot & cold beverages
Rice Platform
2 product offerings1 – QSR 50 – QSR Magazine 2017
* Graphs not to scale, for representational purpose only
McDonald’s globally has one of the highest average unit volume of $2.6 mn1
McDonald’s India has wide exposure to the different segments in QSR
Chicken
Burger
Pizza
Beverages
Desserts
Delivery
Breakfast
Indian fast food
Others
Pg 23Westlife Development Limited | Confidential | November 2019
Strong Focus on Value and Menu innovation
Some of the initiatives and menu additions
Grilled Chatpata Aloo Burger
new new
Eggstival
Fruit Splash
www.westlife.co.in
Fries on Us Campaign McSaver – Breakfast Mix & Match
Pg 24
10 mn cups brewed in 5 years
Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
Building Trust and Permissibility
…By constantly improving our food
Up to 20% less sodium in our products
Most breakfast patties are grilled or
steamed
McAloo TikkiTM is abalanced meal
40% less oil in our mayo; Up to 11% lesscalories in our burgers
McVeggieTM has 25% more dietary
fibres
No artificial colour, preservatives or flavours in
our patties
Whole Wheat Buns with sesame lining
Soft serve is 100%milk 96% fat free
www.westlife.co.inPg 25Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
… By taking into consideration cultural sensitivity & menu localisation
Only country to have SEPARATE
Vegetarian and Non Vegetarian Kitchen
sections
Adapting popular forms
like PUFF{Local tastes like “Aloo Tikki” & “Rice Meal” in a uniquely McDonald’s form}
www.westlife.co.in
Building Trust and Permissibility
Pg 26Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
McBreakfast
Brand Extensions
100% Arabica beans, freshly ground
handcrafted coffee
Exclusive Breakfast menu from
7 AM - 12 Noon
Pg 27Westlife Development Limited | Confidential | November 2019
Brand Extensions Increase AddressableMarket and Add More Occasions
Total market segment exposure
for McDonald’s* (USD bn) In-store for celebrations,
bonding and hanging out
McDelivery, Drive-thru and
breakfast for convenience
McCafé for experience and
indulgence
* Source: Euromonitor International, 2018 - QSR Food Service Market, HRPL proprietary third party market segmentation
study. Past market segment - Chicken, burger, pizza, other cuisine fast food + ice cream parlours
As we add brand extensions to eachrestaurant, the results are greater as a
whole than the individual parts resulting in
1+1+1=5
www.westlife.co.in
WFF marketexposure
Deliverymarket
New marketsegmentexposure
Café Total marketsegmentexposure
$ 1.9
$ 11.5 $ 13.4
$ 9.8 $ 23.2
Pg 28Westlife Development Limited | Confidential | November 2019
McCafé
McCafé’s goal is to become a coffee & beverage destination built around premium coffee at affordable
prices while also offering unique relevant food options
• Organised café market is expected to be $13.3 bn by 20221 from USD 9.8 bn in
20181
• McCafé brings premium coffee to India - 100% Arabica and handcrafted Barista
coffee
• With McCafé, HRPL gets an opportunity to serve customers at all hours and not
just during peak lunch and dinner time
• Enter the coffee and specialty beverages arena to broaden its opportunity beyond
the QSR industry
• Serves ~45 hot & cold beverages - cappuccinos, smoothies, share shakes,
frappes, iced teas & more
• Overall the Company has 205 McCafés as of Sep 2019
www.westlife.co.in
Source: 1) Euromonitor, 2018
Pg 29Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
McCafé Sales in 3 Years
McCafé sales have increased more than 6x in last 3 years
At the end of H1FY20, McCafé count stood at 205. McCafé base of restaurants has increased 2.7x in 3.5 years
75 110 149 190
Pg 30
1.0 1.2
2.1
4.11.0 1.1
1.6
2.5
0.0
0.5
1.0
1.5
2.0
2.5
3.0
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
4.5
FY16 FY17 FY18 FY19
Total Sales (x) Average Sales Per Day (x) No. of McCafes
Westlife Development Limited | Confidential | November 2019
McDelivery
If you can't come to McDonald's, McDonald's will come to you
• Online food delivery1 business is $ 11.5 bn in 2018 and is likely to more
than double to $ 23.5 bn in 2022
• Customer convenience is the core of all our operations, so it’s a way of
extending ease and convenience by delivering food at customers’ doorsteps
• McDelivery services are available through our own channels as well as third party
aggregators.
Digital and tech initiatives aid in driving robust growth of ~4.3x in sales
over last 4 years
• Our competitive advantage:
o Operations (Out time and delivery time is lot lower than most other QSR),
o Variety of food and beverages (most of the QSR don’t have full-fledged beverage and breakfast play),
o Strong reach and penetration
o Food offers
www.westlife.co.in
Source: 1) Euromonitor, 2018
Pg 31Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
McDelivery Sales in 3 Years
1.0 1.2
2.1
4.11.0 1.1
1.6
2.5
0.0
0.5
1.0
1.5
2.0
2.5
3.0
0.0
0.5
1.0
1.5
2.0
2.5
3.0
3.5
4.0
4.5
FY16 FY17 FY18 FY19
Total Sales (x) Average Sales Per Day (x) No. of MDS hubs
MDS sales have increased more than 4x in last 3 years
• At the end of H1FY20, MDS hubs count stood at 239.
• Significant growth from digital channels and tie up with aggregators continue to be accretive
136 149 165 216
Pg 32Westlife Development Limited | Confidential | November 2019
McBreakfast
• Breakfast category was launched in 2010. McBreakfast, the first ever branded breakfast category in India was re-
introduced in 2017
• McBreakfast offerings aims at providing wholesome nutritious breakfast rich in protein
• Primary purpose is to add convenience to the fast paced lives of our customers
• New breakfast menu is a good blend between the classic Continental and Indian offerings - Veg & Egg Muffins,
Masala Dosa Brioche, Scrambled Eggs, Hot Cake and Waffles
www.westlife.co.inPg 33Westlife Development Limited | Confidential | November 2019
We are a Digital Trailblazer
Initiatives taken on the digital platform
www.westlife.co.in
Global McDonald’ App to
increase in-store frequency
Experience of the Future stores to enhance
overall customer experience
McDelivery App
Pg 34Westlife Development Limited | Confidential | November 2019
Good for people, Community and Planet
SCALE FOR GOOD
www.westlife.co.inPg 35Westlife Development Limited | Confidential | November 2019
Return logistics
(for plastic crates)
Tier 2 Supplier Tier 1 Supplier Distribution & Logistics Service Provider Restaurant
Grower /Processor
Processing unit
• Lettuce growers• Potato growers• Poultry• Coating systems
• Noida• Mumbai• Kolkata• Bengaluru
Strong long-term relationships with most of our suppliers / vendors
Dedicated fleet of refrigerated trucks
Dedicated fleet of multi-temp and single temptrucks
InboundTransportation
DistributionCentre
OutboundTransportation
Radhakrishna Foodland is sole service provider
304* restaurants across 42 cities
*System-wide HRPL stores
Differentiating Factors
• Temperature controlled movement and storage - utmost care taken of perishability and shelf life of each product
• Major supply points network optimised - either close to source of raw material or close to market - reduction in food miles
• Significant economies to the system - A result of the partnering and long-term approach with suppliers• Over 95% local sourcing
www.westlife.co.in
Only QSR in the Industry with an
Integrated ‘Farm to Fork’ Supply Chain
Pg 36Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
• Aim to establish care centres and care houses free of cost for the
benefit of families whose children are undergoing medical
treatment
• We built a family room and the OPD in Bai Jerbai Wadia Hospital
to give terminally ill children and their families a place to rest and
refresh
• In H1FY20, 2,686 patients utilized RMHC – Family Room
Services
• We achieved a significant milestone by reaching over 5,500
families through our facility, since inception three years back
• Generally carry out occasions related celebrations for cancer
patients to
Pg 37Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
Sustainable Growth
Pioneered large scale
lettuce farming
Sourced 95%
ingredients
locally and sustainably
Converted Used
Cooking Oil to 100%
bio-diesel
Indigenized
French fries
Introduced
bio-degradable cutlery
Deployed Energy
Management System
Sourced Forest
Stewardship
Council Certified Packaging
SUSTAINABILITY MILESTONES
Impact in 2018-19
Saved 28 lakh units
of electricity
Saved 300,000 Ltrs
of water
Saved 2,400 Gas
cylinders
Cut our carbon
emission by 4,300 tonnes
Saved 550,000 Ltrs
of diesel
Pg 38Westlife Development Limited | Confidential | November 2019
High Performance Culture
OUR PEOPLE
www.westlife.co.inPg 39Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
Our Board of Directors
ACHAL JATIA - DIRECTOR
EXECUTIVE CHAIRMAN –
HARDCASTLE PETROFER PVT. LTD.
AMIT JATIA – VICE CHAIRMAN
WESTLIFE DEVELOPMENT LTD.
B. L. JATIA - CHAIRMAN
MANAGING DIRECTOR –
HARDCASTLE & WAUD MFG. CO. LTD.
SMITA JATIA – DIRECTOR
WESTLIFE DEVELOPMENT LTD.
TARUN KATARIA
NON-EXECUTIVE DIRECTOR, STERLITE
INVESTMENT MANAGERS LTD. AND PODDAR
HOUSING & DEVELOPMENT LTD.
BOARD MEMBER OF HSBC BANK (SINGAPORE)
P.R.BARPANDE
MEMBER OF INSTITUTE OF
CHARTERED ACCOUNTANTS OF INDIA
MANISH CHOKHANI
MEMBER OF LIVINGUARD AG
INDEPENDENT DIRECTOR – ZEE
ENTERTAINMENT LTD. & SHOPPOERS
STOP LTD. AMONG OTHERS
AMISHA JAIN
CEO - ZIVAME
INDEPENDENT DIRECTORS
Pg 40Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
Leadership Team
SURESH LAKSHMINARAYANAN
CHIEF FINANCIAL OFFICERSAURABH KALRA
SENIOR DIRECTOR – BUSINESS OPERATIONS,
RESTAURANT SOLUTIONS GROUP, BRAND
EXTENSIONS, STRATEGY & IT
VIKRAM OGALE
SENIOR DIRECTOR – SUPPLY
CHAIN, QUALITY INSURANCE &
NEW PRODUCT DEVELOPMENT
SEEMA ARORA NAMBIAR
SENIOR VICE PRESIDENT –
MARKETING & PEOPLE RESOURCES
DR. SHATADRU SENGUPTACOMPANY SECRETARY
Over 275 years of senior management cumulative experience
SANJAY SONI
SENIOR VICE PRESIDENT
DEVELOPMENT
Pg 41Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
Our People, Our Asset
OUR PEOPLE
• Employed a total of 10,000+ employees
• ~30% of our employees are women
• The Company invests lot of time and efforts in training
its employees. In H1FY20 the company invested
1,36,625 total man-hours in training
• Programs like Restaurant Leadership Practices,
Business Leadership Practices and various On-
Floor and Off Floor trainings for our employees
• International Business Leaders workshop,
hosted in Singapore for the restaurant managers
to build international exposure and best practices
of other countries
Employee Training
Skill India
Pg 42
• Pioneering people skilling initiative that supports
Government’s vision of creating skilled India.
• Started our first program – BBA – Retail Operations
Program in partnership with RASCI and Ness
Wadia College, Pune, to bridge the skill gap and
create industry ready talent for retail industry
Westlife Development Limited | Confidential | November 2019
Grow Market Share and Margin
FINANCIAL DISCIPLINE
www.westlife.co.inPg 43Westlife Development Limited | Confidential | November 2019
Strong SSSG Momentum Leading to
Strengthening of Baseline
Healthy SSSG for 15 consecutive quarters by
focusing on delivering great customer
experience, menu innovation and growth
across Delivery, McCafe and Breakfast
Sustained momentum in same store sales
resulted in higher average sales per
restaurant (AUV) and operational profitability
1.7
%
3.1
%
8.4
%
3.4
% 6.5
%
5.1
%
1.0
%
8.7
%
8.4
%
20
.7%
25.1
%
24
.1%
25
.7%
14
.5%
5.6
%
6.7
%
7.0
%
Q2
FY
16
Q3
FY
16
Q4
FY
16
Q1
FY
17
Q2
FY
17
Q3
FY
17
Q4
FY
17
Q1
FY
18
Q2
FY
18
Q3
FY
18
Q4
FY
18
Q1
FY
19
Q2 F
Y19
Q3
FY
19
Q4
FY
19
Q1
FY
20
Q2
FY
20
10
0.0
10
0.0
10
0.0
10
0.0
95.1
10
1.7
10
3.1
10
8.4
98
.3
10
8.3
10
8.4
10
9.5
10
6.9
11
7.4
13
0.8
13
6.9
13
2.6
14
7.6
14
9.8
14
4.6
14
1.5
15
8.0
Q1 Q2 Q3 Q4
FY15* FY16 FY17 FY18 FY19 FY20
NOTE: *FY15 SSG normalised to base of 100
www.westlife.co.inPg 44Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
7,403 7,643 8,334
9,308
11,349
14,016
-6.4% -5.9%
1.8%
4.0%
15.8%
17.0%
-10%
-5%
0%
5%
10%
15%
20%
-
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
FY14 FY15 FY16 FY17 FY18 FY19
Trend in Sales & SSSG
Pg 45
Note: 1) FY16 number is normalised to the extent of exceptional gain of Rs 234.01 mn related to additional credit in respect of indirect taxes paid on inputs up to March 31, 2015, recognized in Q2 FY16
1
Westlife Development Limited | Confidential | November 2019
6,918
7,785
H1FY19 H1FY20
24.9%
6.8%Sales (In Rs Mn) SSG Sales
(In Rs Mn)
SSG
www.westlife.co.in
Trend in Gross Margins
56.9%
58.4%
60.0%60.7%
62.6%
63.9%
64.7%
FY14 FY15 FY16 FY17 FY18 FY19 H1FY20
Pg 46
Note: 1) FY16 number is normalised to the extent of exceptional gain of Rs 234.01 mn related to additional credit in respect of indirect taxes paid on inputs up to March 31, 2015, recognized in Q2 FY16
1
Westlife Development Limited | Confidential | November 2019
www.westlife.co.in
Restaurant Operating Margins (ROM)
Operating EBITDA Margins
12.6%
8.7%
11.9% 11.0%13.1%
14.6% 14.7%
FY14 FY15 FY16 FY17 FY18 FY19 H1FY20
7.3%
2.7%
5.9% 5.3%
7.5%9.1% 9.5%
FY14 FY15 FY16 FY17 FY18 FY19 H1FY20
Trend in ROM & Op. EBITDA
Pg 47
1
1
Note: 1) FY16 number is normalised to the extent of exceptional gain of Rs 234.01 mn related to additional credit in respect of indirect taxes paid on inputs up to March 31, 2015, recognized in Q2 FY16
Westlife Development Limited | Confidential | November 2019
Trend in PAT & Cash Profits
(Rs. in mn)
488
273
438
560
889
1,258
719
FY14 FY15 FY16 FY17 FY18 FY19 H1FY20
10
-291
-206
-121
129
403
191
FY14 FY15 FY16 FY17 FY18 FY19 H1FY20
Profit After Tax (PAT) Cash Profits
www.westlife.co.inPg 48
Note: 1) FY16 number is normalised to the extent of exceptional gain of Rs 234.01 mn related to additional credit in respect of indirect taxes paid on inputs up to March 31, 2015, recognized in Q2 FY16
1 1
Westlife Development Limited | Confidential | November 2019
FII and Public38%Promoter
Group62%
Shareholding Pattern*
Major Public Institutional Shareholders
• Arisaig India Fund Limited
• SBI Mutual Fund
• Bay Capital Investments
• Wellington Management Company
• ICICI Prudential Life Insurance Company
• Mirae Asset Management
Shareholding Pattern of WDL
Strong Promoter Commitment
Westlife
Development Ltd.
(BSE: 505533)
Hardcastle
Restaurants
Pvt. Ltd.
100%
*Shareholding Pattern as on Sep 30, 2019
www.westlife.co.inPg 49Westlife Development Limited | Confidential | November 2019
THANK YOUIR Contact
For additional information:
Devanshi Dhruva
Investor Relations
(+91 22) 4913 5306
devanshi.dhruva@mcdonaldsindia.com
www.westlife.co.in
www.westlife.co.inPg 50Westlife Development Limited | Confidential | November 2019
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