Slide 1: Q3FY14 Update
Q3FY14 Update January 20, 2014
Slide 2: Financial Highlights: Net Sales, EBIDTA, PAT
FINANCIAL HIGHLIGHTS ... consolidated 3 1 1 %
Slide 3: Financial Highlights: Net Sales, EBIDTA, PAT (9M)
FINANCIAL HIGHLIGHTS ... consolidated 3 2 0%
Slide 4: Domestic IMD and CSD
40.0% 40.0% 30.0% 20.0% 20.0% 0.0% 10.0% Domestic IMD CSD 0.0% ‐20.0% Domestic IMD CSD Q3FY14 9MFY14 CSD IMD Domestic DOMESTIC IMD CSD 4
Slide 5: Sales Growth, COGS Growth, A&P Growth
30% 27% Sales Growth 25% COGS Growth 21% 21%21% A&P Growth 20% 18% 16% 15% 14%14% 14% 13% 13% 11% 8% 10% 10% 7% 7% 5% 5% 5% 0% 0% Q1FY13 Q2FY13 Q3FY13 Q4FY13 Q1FY14 Q2FY14 Q3FY14 ‐5% ‐2% ‐10% ‐15% ‐14% 5
Slide 6: Sales and EBIDTA Growth
40% 36% 35% SALES EBIDTA 30% 29% 28% 25% 21% 21% 20% 18% 16% 15% 14%14% 14% 13% 13% 13% 10% 7% 5% 0% Q1FY13 Q2FY13 Q3FY13 Q4FY13 Q1FY14 Q2FY14 Q3FY14 6
Slide 7: BoroPlus
BOROPLUS Antiseptic cream de‐grew by 3% during the quarter. ‐ Market share at 77.4% in Q3 grew by 1% Moisturizing Body lotion grew by 3% in Q3. Also launched a new variant of Body Lotion with exotic ingredients – Grapes & Olive Oil. New Extension BoroPlus Anti Pollution Face wash performed well 7
Slide 8: Zandu & Menthoplus Balm; Chyawanprash
Zandu & Menthoplus Balm Balm sales have improved since the last quarter. It grew by 9% in Q3. Zandu Kesari Jeevan and Sona Chandi Chyawanprash Strong growth in Zandu Kesari Jeevan & Sona Chandi Chyawanprash ‐ Zandu Kesari Jeevan grew by 26% and Sona Chandi Chyawanprash grew by 17% during the quarter
Slide 9: Fair & Handsome, Navratna, Vasocare
Fair & Handsome Fair and Handsome grew by 12% during the quarter ‐ Market share of 62% in Q3 with a gain of 4% this quarter Navratna Cool Oil grew by 6% during the quarter. ‐ ‐ Market share of 57% in Q3 with a gain of 2% this quarter Vasocare Petroleum jelly registered a growth of 31% in Q3 9
Slide 10: Zandu HCD
Zandu HCD HCD range continued its robust growth. It grew by 30.8% during the quarter. ‐ Pancharishta led the growth with increase of 77% in Q3 ‐ The new launch Vigorex also performed well 10
Slide 11: International business and CSD sales
International business at Rs. 652mn grew by 37.3% during the quarter. Australasia, 6% CIS, 4% Others, 6% ‐ GCC region grew by 212% ‐ SAARC region grew by 17% SAARC, 43% Africa, 14% ‐ Bangladesh degrew by 5% GCC, 27% CSD sales at Rs. 306mn degrew by GCC ‐ Gulf Cooperation Council SAARC ‐ South Asian
Slide 12: EBIDTA and EBIDTA Margin
2000 4000 1500 3000 Up Up 1000 29% 2000 31% 500 1000 0 0 Q3FY13 Q3FY14 9MFY13 9MFY14 E B I DTA 40.0% 25.0% 30.0% Up 20.0% Up 520 15.0% 370 20.0% bps bps 10.0% 10.0% 5.0% 0.0% 0.0% Q3FY13 Q3FY14 9MFY13 9MFY14 EBIDTA Margin 12
Slide 13: Cost structure: COGS, staff, A&P, other expenses
COGS at 37.2% of sales, reduced by 360bps on account of reduction in input prices and judicious price increases Staff costs at ` 1065mn increased from 7% to 7.7% of sales Advert. & Promotion costs at ` 2279mn decreased 180 bps to 16.6% of sales Other expenses at ` 2056mn increased by 100bps at 15% o
Slide 14: Q3FY14 Profit and Loss Summary
Rs. in Millions Particulars Q3FY14 % of Q3FY13 % of Growth % FY13 % of Sales Sales Sales Net Sales 5846.7 100% 5484.4 100% 6.6% 16991.0 100% Materials Cost 2045.2 35.0% 2081.9 38.0% -1.8% 7154.5 42.1% A&P 878.5 15.1% 1020.8 18.6% -13.9% 2790.0 16.4% Staff Cost 356.5 6.1% 314.1 5.7% 13.5% 1155.5 6.8%
Slide 15: 9MFY14 Profit and Loss Summary
Rs. in Millions Particulars 9MFY14 % of 9MFY13 % of Growth % FY13 % of Sales Sales Sales Net Sales 13750.6 100% 12479.3 100% 10.2% 16991.0 100% Materials Cost 5118.2 37.2% 5090.5 40.8% 0.5% 7154.5 42.1% A&P 2278.8 16.7% 2300.5 18.4% -0.9% 2790.0 16.4% Staff Cost 1064.6 7.7% 871.8 7.0% 22.1% 1155.5 6
Slide 16: Manufacturing and quality awards
GOLD Award To Abhoypur unit and SILVER Award to BT Road unit by The Economic Times India Manufacturing Excellence Awards in partnership with Frost & Sullivan Abhoypur Unit received “Healthy Workplace Gold Award – 2013” from Arogya World. Received Gold, Excellence and Par Excellence Quality Awards ac
Slide 17: Brand rankings and company recognition
Two of the Power Brands, BoroPlus & Zandu Balm have been ranked 61st and 65th in the “Top 100 Most Trusted Brands” of the Brand Equity Survey 2013 of The Economic Times. Navratna BoroPlus Fair & Handsome Zandu Balm • Ranked 3rd in the • Ranked 16th in the • Ranked 27th in the • Ranked 3rd in the Hai
Slide 18: Thank you