Tasty Bite 1.0 - Ist 15yrs struggled to survive, declared Sick & place under BIFR. Lasted till 1998.
Tasty Bite 2.0 - Started in 1999 with turnaround & transformation. One of the most Respected food companies in country…
Tasty Bite 3.0 - Future Phase called Wholesome Mazaa (in AR 2018). Global Expansion with help from parent Mars Inc.
Factory -> Village Bhandgaon, Taluka Daund, Pune, Maharashtra
Factory is ISO9001-2000, HACCP (Hazard Analysis and Critical Control Point), and ISO14000 (environmental management) certified.
Ist Owner Ghai Family (Kwality Ice Cream). Unable to survive, Company was referred to Board of Industrial & Financial Restructuring & then sold to HLL (now HUL).
13 yrs gone since inception (1986), small operation & no profits.
They turnaround the company & aggressive growth started.
1995 - ‘Tasty Bite’ brand launched in USA.
Mars Pet food brands like Pedigree, Royal Canin, Whiskas
& many more brands list is really long …
Can the same happen to Tasty Bite? I think so. Continue reading you will know soon..
It is No. 1 RTE Indian Food Brand (you read it right not Haldiram, MTR, Deep Foods etc) and fastest growing Asian brand in US.
It had more than 60 products in 2018 & that no. must be way higher now.
Quality & product innovation is top-notch. Good distribution network & deep penetration (US, India, UK, Japan, Australia, Canada & New Zealand).
Canada & Australia – Dominant market share
New Zealand & Japan – growing fast presence
India – Supplies Formed Frozen Products (FFP) & sauces to food service industry (FSI).
Tasty Bite products sell in following stores -
Whole Foods (owned by Amazon)
Fresh Thyme Farmers Market
Family Fare Supermarket
Morton Williams Supermarket
Wohlners Grocery & Deli
Smart & Final
Sprouts Farmers Market
Mollie Stone's Markets
Giant Food Store
& many more..
.. may be more
Canada Stores – list is long. Exercise for you (Use Zipcode & find list) –
Australia – Woolworths, IGA, Costco, Countdown
UK, Japan – Costco
1)AR 2019 -High inflation, increase in our organic sourcing and long-term contracts for key commodities our material cost increase by 1.4% to 58% of revenues. Shocked & concerned me, hope it is typo. Would need to seek clarification from Management. @Ashokvasudevan
2)The US Government announced earlier this year that it would terminate GSP benefits for Indian exports to the US. (AR 2019)
3)No long-term contracts with customers and they could stop purchasing with little or no notice period
Equity Capital is just 2.57 cr
Promotor change has happened (Kagome & then Mars Inc) but there is no major insider trading in last 5-6 yrs. (Good Sign)
MF holding is low reason may be low float (not enough shares to buy)
Remuneration of Executives are within limit of Company Act 2013.
Total Managerial Remuneration 2,24,50,674 (AR 2019)
Ceiling as per the Companies Act 2013 2,47,66,123
Cash flow from Operations is now big Source of Cash & Net Borrowings became lesser significant compared to Tasty Bite 1.0
Cash Conversion Cycle has significantly improved from 70 days in 1998 to 52 in 2019.
Both are Good Sign.
Q1-How Tasty bite RTE is different from Haldiram, MTR, Deep foods, other Indian Brands? Why so premium?
Me- We know from above, Tasty bite focuses on Supermarkets,retail/wholesale chains…
Mr. Ravi Nigam appointed MD for 5yrs in Sep 2016.
Why Tasty Bite’s long-term CFO & MD resigned at same time before their term finished?
Me - I feel Year 2014 onwards was inflection point for Tasty Bite. It’s like some kind of rejuvenation happened. It was trading in 600+ level in 2015. Overall Sales & Profit Growth, Operating efficiency,
significant market expansion in India & abroad,..
Tasty Bite 3.0 with Mars I get +ive vibes. It is taking leverage of Mars reach & expanding fast. Mars is a private firm. Tasty bite is a small Equity capital & not much FII & Mutual fund holding will knows Mars
If it has potential & bright looking future there are certain significant risks associated please do read them in 32n ,33n & 34n.
It gives a feel of Company, Facility & people –
Tastybite experimented with packaging Strategy & it played well. Initially starting with 1 packet they increased to 2 to 4 to 6 to 8.
Volume gain by 30% & customer lost was only 5-7%.Lot of +ive customer feedback.
On Amazon.com Tastybite is selling Pack of 18,24,26,72,198 & 144 too. Not sure if they are 8 pouch packet or single boxes.
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