Amira Nature Foods Ltd Announces Second Quarter Fiscal Year 2013 Financial Results

  Amira Nature Foods Ltd Announces Second Quarter Fiscal Year 2013 Financial
  Results

           Second Quarter Revenue Increased 28.7% to $79.4 Million

            Second Quarter EBITDA Increased 54.8% to $10.3 Million

Business Wire

DUBAI, United Arab Emirates -- November 20, 2012

Amira Nature Foods Ltd (the "Company") (NYSE: ANFI), a leading global provider
of packaged Indian specialty rice, today reported financial results for the
second quarter and six months ended September 30, 2012.

Second Quarter Financial Highlights:

  *Revenue increased 28.7% to $79.4 million, compared to $61.7 million in the
    second quarter of fiscal 2012
  *EBITDA increased 54.8% to $10.3 million, compared to $6.6 million in the
    second quarter of fiscal 2012
  *Profit after tax for the second quarter of fiscal 2013 increased 291.4% to
    $3.3 million, compared to $0.8 million in the second quarter of fiscal
    2012
  *Pro forma basic and diluted earnings per share^(1) for the second quarter
    of fiscal 2013 was $0.09 per diluted share, compared to $0.02 per diluted
    share in the second quarter of fiscal 2012

“We are pleased to report strong financial results for the second quarter of
fiscal 2013, as our year-over-year improvements in revenue and EBITDA
underscore the strength of our business model,” stated Karan Chanana, Amira’s
Chairman and Chief Executive Officer. "Global demand for Basmati rice
continues to grow, and with our strong team of distributors and experience in
the international market, we believe we are well positioned to capitalize on
the demand and achieve growth going forward.”

Mr. Chanana continued, “In October, we completed our initial public offering
and listed our shares on the New York Stock Exchange. In this offering, we
raised capital that will enable us to invest in our business and further
improve our foundation for long-term growth.”

Second Quarter Fiscal 2013 Results

Revenue for the second quarter ended September 30, 2012 increased 28.7% to
$79.4 million, compared to $61.7 million for the same period in fiscal 2012.
The revenue increase was primarily due to increased sales volumes.

Revenue in the second quarter of fiscal 2013 for the Company’s Amira and third
party branded products was 98.5% of total revenue, compared to 86.2% of total
revenue, for second quarter of fiscal 2012. Sales of bulk commodity products
to institutional customers in the second quarter of fiscal 2013 contributed
1.5% of total revenue, compared to 13.8% of total revenue, for the second
quarter of fiscal 2012.

Cost of materials including change in inventory of finished goods increased
$11.7 million, or 23.6%, to $61.2 million in the second quarter of fiscal 2013
from $49.5 million in the same period last fiscal year. This increase
primarily reflects the growth in Company’s revenue. As a percentage of
revenue, cost of material decreased to 77.1% in the second quarter of fiscal
2013 as compared 80.3% to in the second quarter of fiscal 2012.

EBITDA (defined as profit after tax plus finance costs, income tax expense and
depreciation and amortization) was $10.3 million in the second quarter of
fiscal 2013, compared to $6.6 million in the same period last year. A
reconciliation of EBITDA to the IFRS measure of profit after tax is provided
at the end of this release.

Profit after tax for the second quarter of fiscal 2013 increased 291.4% to
$3.3 million, compared to $0.8 million in the same period last year. Following
the Company’s initial public offering on October 10, 2012, the Company has
35.7 million diluted shares. Pro forma diluted earnings per share^(1) for the
second quarter of fiscal 2013 was $0.09 per diluted share, compared to $0.02
per diluted share in the same period last fiscal year.

First Six Months Fiscal 2013 Results

For the first six months of fiscal 2013, net revenue increased 23.9% to $159.5
million, compared to $128.8 million for the same period in fiscal 2012. EBITDA
increased 37.3% to $20.5 million compared to $15.0 million in the same period
of last fiscal year. Profit after tax increased 157.0% to $6.6 million
compared to $2.6 million in the same period last fiscal year.

Recent Developments:

On October 15, 2012, the Company completed an initial public offering (IPO) of
its ordinary shares at $10.00 per share and raised $90.0 million. The Company
received approximately $81 million in net proceeds. Contemporaneously with the
completion of the offering, these net proceeds were used to fund the purchase
by Company’s direct wholly owned subsidiary Amira Nature Foods, Ltd. (Amira
Mauritius), of 80.4% of the equity shares of Amira Pure Foods Private Limited
(“Amira India”), of which Amira India will use approximately $25.0 million to
partially fund the development of a new processing facility. Amira India has
also used $52.0 million to reduce its indebtedness. Assuming the Company’s
receipt of these net proceeds on September 30, 2012, and the repayment of
$52.0 million of indebtedness, as of such date, proforma cash and cash
equivalents were $33.3 million (with $25 million of this, reserved for the new
facility and $4.0 million retained to fund future operating expenses through
2015). Total pro forma debt as of such date was $111.0 million.

On November 14, 2012, the Company announced that Amira India has entered into
an agreement with an Indonesian customer to supply 90,000 metric tons of
Indian white rice for $39.4 million. Amira India previously supplied its
products to this customer in the fiscal year ended March 31, 2012. The $39.4
million of revenue under the contract is expected to be recognized in the
current fiscal year ending March 31, 2013.

In a separate press release today the Company also announced Ritesh Suneja,
Chief Financial Officer, will resign due to health and personal reasons,
effective December 1, 2012. The Company's Board of Directors has named Ashish
Poddar, currently Executive Director of Finance, as Chief Financial Officer,
effective the same date.

Outlook

The Company is on track to deliver its full year fiscal 2013 and long-term
growth target guidance provided during the time of the IPO which is greater
than 20% revenue growth, 25% EBITDA growth and greater than 30% earnings per
share growth.

Conference Call

The Company will hold an investor conference call today at 5:00 p.m. Eastern
time. The dial-in number for this conference call for domestic callers is
(877) 407-3982 and (201) 493-6780 for international callers. Live audio of the
conference call will be simultaneously webcast in the investor relations
section of the company's website at http://www.amirafoods.com.

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 403565). The webcast of the
teleconference will be archived and available on the Company’s website.

About Amira Nature Foods

Founded in 1915, Amira has evolved into a leading global provider of packaged
Indian specialty rice, with sales in over 40countries today. Amira sells
Basmati rice, premium long-grain rice grown only in certain regions of the
Indian sub-continent, under their flagship Amira brand as well as under other
third party brands. Amira sells its products primarily in emerging markets
through a broad distribution network. Amira’s headquarters are in Dubai,
United Arab Emirates, and it also has offices in India, Malaysia, Singapore,
the United Kingdom, the United States and Nigeria.

Cautionary Note on Forward-Looking Statements

This release may contain 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 global
rice market, 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
perform our agreements with customers; 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. Other than as required under the
securities laws, we undertake no obligation to update any forward-looking or
other statements herein, whether as a result of new information, future events
or otherwise.

(1) Pro forma basic earnings per share is calculated by dividing our profit
after tax, which starting with our first financial statements for the period
in which our initial public offering occurred, or the third quarter of fiscal
2013, will be reduced by the amount of a non-controlling interest reflecting
the remaining approximately 19.6% of Amira India that will not be indirectly
owned by ANFI, by our weighted average outstanding ordinary shares, during the
applicable period. Pro forma diluted earnings per share is calculated by
dividing our profit after tax by the weighted average of the sum of our
outstanding ordinary shares and the ordinary shares subject to an exchange
agreement between the company and certain shareholders of Amira India, during
the applicable period.

                                                            
Amira Pure Foods Private Limited (Predecessor to Amira Nature Foods Ltd)
Unaudited Condensed Interim Consolidated Financial Statements for the three
months ended
September 30, 2012
Consolidated Statements of Financial Position

(Amounts in USD)
                                        As at               As at
                                          September 30, 2012   March 31, 2012
ASSETS
Non-current
Intangible assets                         $  443,857           $ 360,578
Property, plant and equipment                24,969,790          25,520,950
Other long-term assets                      435,445           580,168     
Non-current assets                        $  25,849,092       $ 26,461,696  
                                                               
Current
Inventories                               $  129,628,057       $ 141,620,690
Trade receivables                            59,998,322          37,175,413
Derivative financial instruments             5,343,625           2,239,129
Prepayments                                  10,329,122          6,965,302
Other current assets                         8,063,172           9,222,351
Cash and cash equivalents                   4,284,767         8,368,256   
Current assets                            $  217,647,065      $ 205,591,141 
Total assets                              $  243,496,157      $ 232,052,837 
                                                               
EQUITY AND LIABILITIES
Equity
Share capital                             $  2,546,542         $ 2,546,542
Securities premium                           8,757,683           8,757,683
Reserve for available for sale               (39,673      )      (31,712     )
financial assets
Currency translation reserve                 (3,161,639   )      (2,419,710  )
Cash flow hedge reserve                      (485,508     )      -
Actuarial gain reserve                       12,380              12,380
Capital redemption reserve                   385,983             385,983
Retained earnings                           43,009,648        36,433,303  
Total equity                              $  51,025,416       $ 45,684,469  
                                                               
Liabilities
Non-current liabilities
Employee benefit obligations              $  315,885           $ 178,497
Debt                                         6,127,306           7,344,938
Deferred tax liabilities                    4,998,616         4,821,503   
Total non-current liabilities             $  11,441,807        $ 12,344,938
                                                               
Current liabilities
Trade payables                            $  14,105,207        $ 21,302,059
Debt                                         156,916,436         134,410,915
Current tax liabilities (net)                3,566,514           1,942,637
Other current liabilities                   6,440,777         16,367,819  
Current liabilities                       $  181,028,934      $ 174,023,430 
Total liabilities                         $  192,470,741      $ 186,368,368 
Total equity and liabilities              $  243,496,157      $ 232,052,837 
                                                               

                                                                      
Amira Pure Foods Private Limited (Predecessor to Amira Nature Foods Ltd)
Unaudited Condensed Interim Consolidated Financial Statements for the three months ended
September 30, 2012
Consolidated Income Statements

(Amounts in USD)
                 For the period ended
                 
               Six months ended   Six months ended   Three months      Three months
                Sep 30, 2012      Sep 30, 2011      ended            ended
                                                       Sep 30, 2012      Sep 30, 2011
Revenue          $ 159,535,598     $ 128,796,492     $ 79,363,793      $ 61,667,142
Other income       92,102             406,879            40,703            177,881
Cost of            (128,146,010 )     (105,231,831 )     (91,367,217 )     (41,538,079 )
material
Change in
inventory of       1,080,029          302,212            30,188,582        (7,970,343  )
finished
goods
Employee           (1,839,450   )     (1,209,536   )     (1,034,770  )     (575,113    )
expenses
Depreciation
and                (937,322     )     (1,086,309   )     (476,424    )     (547,303    )
amortization
Freight,
forwarding and     (5,684,149   )     (3,874,234   )     (2,959,869  )     (1,502,966  )
handling
expenses
Other             (5,039,588   )    (3,993,653   )    (2,127,274  )    (1,808,894  )
expenses
                 $ 19,061,210       $ 14,110,020       $ 11,627,524      $ 7,902,325
Finance            (10,658,978  )     (10,811,798  )     (5,320,478  )     (5,418,706  )
costs
Finance            179,150            85,317             69,983            42,959
income
Other
financial         361,953          (322,525     )    (1,907,463  )    (1,862,213  )
items
Profit           $ 8,943,335        $ 3,061,014        $ 4,469,566       $ 664,365
before tax
Income tax        (2,366,989   )    (502,601     )    (1,165,074  )    179,860     
expense
Profit after
tax
attributable     $ 6,576,346       $ 2,558,413       $ 3,304,492      $ 844,225     
to equity
shareholders
                                                                                       

                                                               
Amira Pure Foods Private Limited (Predecessor to Amira Nature Foods Ltd)
Unaudited Condensed Interim Consolidated Financial Statements for the three
months ended
September 30, 2012
Consolidated Statements of Comprehensive Income/ (Loss)

(Amounts in USD)
                     For the period ended
                     
                     Six months     Six months     Three months   Three months
                   ended         ended         ended         ended

                     Sep 30, 2012   Sep 30, 2011   Sep 30, 2012   Sep 30, 2011
Profit after tax     $ 6,576,346   $ 2,558,413   $ 3,304,492    $ 844,225
Other
comprehensive
income
Available for sale
financial assets
-Current period      (11,785)       (107,640)      2,500          (83,741)
gain/(loss)
-Reclassification
to income            -              -              -              -
statement
-Income tax          3,824          34,924         (811)          34,924
Cash flow hedge
reserve
-Current period      (2,450,694)    -              7,773,710      -
loss
-Reclassification
to Income            1,732,009      -              1,732,009      -
Statement
-Income tax          233,177        -              (3,084,130)    -
Exchange
differences on       $ (741,929)    $              $ 2,151,500    $
translation of                      (3,881,174)                   (3,858,824)
foreign operations
Other
comprehensive        $              $                             $
gain/ (loss) for     (1,235,398)    (3,953,890)    $ 8,574,778    (3,907,641)
the period, net of
tax
Total
comprehensive
income/(loss) for                   $                             $
the period           $ 5,340,948    (1,395,477)    $ 11,879,270   (3,063,416)
attributable to
equity
shareholders
                                                                  


Amira Pure Foods Private Limited (Predecessor to Amira Nature Foods Limited)
Unaudited Condensed Interim Consolidated Financial Statements for the three months ended September 30, 2012
Consolidated Statements of Change in Equity

(Amounts in USD)
Equity attributable to shareholders of the Group
                                                         Reserve for
               Share capital                          available    Currency        Cash flow     Actuarial    Capital                   Total
                                           Securities    for           translation      hedging        gain/loss     redemption   Retained       attributable
                No. of                     premium       sale          reserve          reserve        reserve       reserve      earnings       to
               shares      Amount                      financial                                                                               shareholders
                                                         assets
Balance as at   12,979,975   $ 2,546,542   $ 8,757,683   $ 15,523      $ 3,085,147      $ -            $ (15,146 )   $  385,983   $ 24,489,065   $ 39,264,797
April 1, 2011
Profit after    -              -             -             -             -                -              -              -           2,558,413      2,558,413
tax
Other
comprehensive   -             -            -            (72,716 )    (3,881,174 )    -            -            -          -             (3,953,890 )
loss for the
period
Total
comprehensive
income/(loss)   -             -            -            (72,716 )    (3,881,174 )    -            -            -          2,558,413     (1,395,477 )
for the
period
Balance as at   12,979,975   $ 2,546,542   $ 8,757,683   $ (57,193 )   $ (796,027   )   $ -           $ (15,146 )   $  385,983   $ 27,047,478   $ 37,869,320 
Sep 30, 2011


Balance as at   12,979,975   $ 2,546,542   $ 8,757,683   $ (31,712 )   $ (2,419,710 )   $ -            $ 12,380      $  385,983   $ 36,433,303   $ 45,684,469
April 1, 2012
Profit after    -              -             -             -             -                -              -              -           6,576,346      6,576,346
tax
Other
comprehensive   -             -            -            (7,961  )    (741,929   )    (485,508 )    -            -          -             (1,235,398 )
loss for the
period
Total
comprehensive
income/(loss)   -             -            -            (7,961  )    (741,929   )    (485,508 )    -            -          6,576,346     5,340,948  
for the
period
Balance as at   12,979,975   $ 2,546,542   $ 8,757,683   $ (39,673 )   $ (3,161,639 )   $ (485,508 )   $ 12,380     $  385,983   $ 43,009,649   $ 51,025,417 
Sep 30, 2012
                                                                                                                                                 

                                                           
Amira Pure Foods Private Limited (Predecessor to Amira Nature Foods Limited)
Unaudited Condensed Interim Consolidated Financial Statements for the three
months ended
September 30, 2012
Consolidated Statements of Cash Flow

(Amounts in USD)
                                          Six months ended  Six months ended
                                           Sep 30, 2012       Sep 30, 2011
(A) Cash flow from operating activities
Profit before tax                          $  8,943,335       $  3,061,014
Adjustments for non-cash items                141,483            3,393,414
Changes in operating assets and               (34,027,228 )      (7,429,131  )
liabilities
Adjustment for non-operating expenses        8,516,398        8,789,532   
                                           $  (16,426,012 )   $  7,814,829
Income taxes paid                            (327,489    )     (423,439    )
Net cash generated from/(used in)          $  (16,753,501 )   $  7,391,390   
operating activities
                                                              
(B) Cash flow from investing activities
Purchase of property, plant and            $  (638,403    )   $  (605,873    )
equipment
Purchase of intangible assets                 (106,149    )      (1,083      )
Proceeds from the sale of property,           (350        )      (2,731      )
plant and equipment
Interest income                              179,150          85,317      
Net cash used in investing activities      $  (565,752    )   $  (524,370    )
                                                              
(C) Cash flows from financing activities
Proceeds from short term debt (net)           23,202,954         972,335
Net Repayment of long term debt               (963,036    )      (1,549,149  )
Interest paid                                (8,695,198  )     (8,872,118  )
Net cash generated from/(used in)          $  13,544,720     $  (9,448,932  )
financing activities
Net decrease in cash and cash              $  (3,774,533  )   $  (2,581,912  )
equivalents (A+B+C)
Cash and cash equivalents at the              8,368,256          8,200,695
beginning of the period
Effect of change in exchange rate on          (308,955    )      (1,303,063  )
cash and cash equivalents
                                                              
Cash and cash equivalents at the end of    $  4,284,768      $  4,315,720   
the period
                                                                             
                                                                             

Non-IFRS Financial Measure

In evaluating our business, we consider and use EBITDA, a non-IFRS measure as
a supplemental measure to review and assess our operating performance. The
presentation of this non-IFRS financial measure 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 EBITDA as profit
after tax plus finance costs, income tax expense and depreciation and
amortization. We use EBITDA as a measure of operating performance to assist in
comparing performance from period to period on a consistent basis, as measures
for planning and forecasting overall expectations and for evaluating actual
results against such expectations and as performance evaluation metrics,
including as part of assessing and administering our executive and employee
incentive compensation programs.

We believe that the use of this non-IFRS measure 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 structures (affecting relative finance or interest 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 (affecting
one-time transition charges). We also present this non-IFRS measure because we
believe this non-IFRS measure is frequently used by securities analysts,
investors and other interested parties as measures of the financial
performance of companies in our industry.

The following is a reconciliation of profit after tax to EBITDA:

(Amounts in USD)
                    Six months     Six months     Three months   Three months
                   ended         ended         ended         ended

                    30 Sep 2012    30 Sep 2011    30 Sep 2012    30 Sep 2011
Profit after tax    $ 6,576,346    $ 2,558,412    $ 3,304,492    $ 844,225
                                                                 
Add: Income tax       2,366,989      502,601        1,165,074      (179,860  )
     expense
Add: Finance          10,658,978     10,811,798     5,320,478      5,418,706
     costs
     Depreciation
Add: and              937,322        1,086,309      476,424        547,303
     amortization
                                                                 
EBITDA              $ 20,539,635   $ 14,959,120   $ 10,266,469   $ 6,630,374
                                                                 

Contact:

Amira Nature Foods Ltd
Rahul Nayar, Director of Global Communications and Strategy, 917-710-1154
or
ICR
John Mills/Katie Turner, 646-277-1200