Future Consumer Limited · NSE:FCONSUMER

Future Consumer — Investor Presentation (March 2017)

43 slides from Future Consumer's investor presentation, March 2017

  1. Slide 1: Investor Presentation March 17

    Investor Presentation March 17

  2. Slide 2: Table of content

    Table of content 1 Indian Consumer Evolving 03-07 2 Integrated Food & FMCG Company 08-28 Q3 FY17 and 9M FY17 – At a Glance 09 Brands 10-18 Distribution Network Spanning across Channels 19-20 Sourcing and Manufacturing 21-24 Board of Directors & Key Management 25-28 Financial Update 29-37 3 Performan

  3. Slide 3: Indian Consumer is Evolving

    Indian Consumer is Evolving…. Confident Young, and and Experimental Expressive Globally Wedded to Aware choice and convenience Investor Presentation 3

  4. Slide 4: More Value for their Time

    More Value for their Time  Indian house makers spend 13.2 hours within the kitchen, compared to global peers who spend just 6 hours  Quality, consistency and value- added basic food to make time more productive Source: GFK Research Investor Presentation 4

  5. Slide 5: Premium and Value Ad FMCG Products

    Premium and Value Ad FMCG Products  Barely one-third of the US$185 billion FMCG market is branded, dominated by home and personal care and tobacco products.  Demographic and income changes are moving consumption towards discretionary food items such as snacks, savories, juices, ready to cook packs

  6. Slide 6: Safer and Holistic Home and Personal Care Options

    Safer and Holistic Home and Personal Care Options  Over 80% of India’s home and personal care market, estimated to be around US$ 28 billion, is branded  Yet existing brands face new challenges with changes in consumer preference towards premium products  Healthier options that take care of body S

  7. Slide 7: Food and Fast Moving Consumer Goods to the Fast Moving Generation

    What do we Offer? FCL is tapping into the unmet needs and unexpressed desires of this generation to create an organization that is geared to deliver... Food and Fast Moving Consumer Goods to the Fast Moving Generation Investor Presentation 7

  8. Slide 8: Integrated Food & FMCG Company

    Integrated Food & FMCG Company Food & Key FMCG Brands Two Strong Pillars Supporting the Furtherance of Business Purpose Distribution Network Sourcing & Manufacturing  Overall distribution footprint of ~29,000 stores  Strong presence in sourcing of agri commodities and fresh  Access to a vast netw

  9. Slide 9: Q3 and 9M FY17 - At a Glance

    Q3 and 9M FY17- At a Glance Revenues of INR 15,824 mn EBITDA of INR 150 mn in Brands like Karmiq (3.1x), Welcoming FMCG 2.0, a for 9M FY17 with top line 9M FY17 vs. loss of INR - Kara (1.2x) Tasty Treat whole new way of looking at growth of 40.8%* 104mn in 9M FY16 (31%), Veg Affaire (61%) an age-old

  10. Slide 10: Brands

    y FUTURE CONSUMER « i Snes BRANDS dp 10

  11. Slide 11: Portfolio: Key Brands and Categories

    Portfolio: Key Brands and Categories Food and Beverages (94%) Brands Staples, Dairy and Bakery, Fruits and Vegetables, Snacks, Juices, Frozen Foods, Ready to Cook Foods among others Home & Personal Care (6%) Wipes, Body Wash, Body Lotion, Toilet and Floor Cleaners, Kitchen Aides Note: 1) Remaining 7

  12. Slide 12: Broad Portfolio of Branded Commodities

    Broad Portfolio of Branded Commodities Investor Presentation 12

  13. Slide 13: Expanding Dairy and Bakery Footprint / Portfolio

    Expanding Dairy and Bakery Footprint / Portfolio  Along with its 110 year heritage the brand is, ‘Made, Not Manufactured’  Nilgiris operates a wide & integrated portfolio of over 200 SKUs in dairy & bakery  Recently invested in upgrading the packaging and communication of the brand  Commenced Ba

  14. Slide 14: Broad Range of Value Added Offerings

    Broad Range of Value Added Offerings Investor Presentation 14

  15. Slide 15: Personal and Homecare

    Personal and Homecare Investor Presentation 15

  16. Slide 16: KOSH - Oats for Every Meal

    KOSH - Oats for Every Meal  Plan for a larger scale launch of KOSH via General Trade 100% Oats Atta  Initiated the General Trade launch in over 8,500 stores  In process to set up Wheat + Oats Atta distributor network to accelerate the launch  Idea is to place Oats in the staples basket of Indian

  17. Slide 17: Kosh Advertisement Campaign

    Kosh Advertisement Campaign Ab khaana yummy yummy, pet healthy healthy Roti ke pet mein kya hai? Investor Presentation 17

  18. Slide 18: Extending the Portfolio across Food & Beverages

    Extending the Portfolio across Food & Beverages Tasty Treat starting Nilgiris launched 4 Karmiq’s new Veg Affaire Fresh & Pure is a a trend with the variants of flavored launches add flavor extended its frozen manifestation of the Indo Western fusion Greek Yogurt – and color to and an food portfolio

  19. Slide 19: Distribution

    y FUTURE CONSUMER « i Snes DISTRIBUTION dp 19

  20. Slide 20: Distribution Network Spanning across Channels

    Distribution Network Spanning across Channels Aadhaar, 4% Other MT & Nilgiris , 10% GT, 19% EasyDay, 10% Channel Wise Sales** Big Bazaar, 58%  FCL reaches over 400 million customers through Future Group and other outlets  To commence harnessing the distribution network of Nissin Foods to reach out

  21. Slide 21: Sourcing and Manufacturing

    SOURCING AND MANUFACTURING 21

  22. Slide 22: Significant Value Addition Capabilities

    Significant Value Addition Capabilities Investor Presentation 22

  23. Slide 23: Created Strong Backend Infrastructure

    Created Strong Backend Infrastructure Sourcing Strengths Dairy & Bakery Facilities  Created fully integrated agri-commodity sourcing  One manufacturing facility each for dairy and bakery near capabilities Bangalore − Sourcing capacity of 1.5 lakh tonnes agri-produce  Daily milk handling capacity

  24. Slide 24: Significant Value Addition Capabilities

    Significant Value Addition Capabilities Investor Presentation 24

  25. Slide 25: Board of Directors & Key Management

    BOARD OF DIRECTORS & KEY MANAGEMENT 25

  26. Slide 26: Effective Board with Vast Experience

    Effective Board with Vast Experience Chairman CEO Future Group Director Director Previously been the Chairman of Founder and Group CEO of Future Founded Verlinvest & has been its Acting representative of Proterra SEBI, LIC, the Corporate Group. Has over 25 years managing director since then, Investm

  27. Slide 27: Management Team Footprint Well in Place Now (1/2)

    Management Team Footprint Well in Place Now (1/2) CEO Dairy & Bakery Agri & Staples Brands Over 20 years of industry Joined Future Group, post the Instrumental in successfully leading experience acquisition of Nilgiris by FCEL in agri-sourcing business of the group Been associated with the Group for

  28. Slide 28: Management Team Footprint Well in Place Now (2/2)

    Management Team Footprint Well in Place Now (2/2) Packaging Marketing Finance People Office 26+ years of experience in FMCG Joined from Times Group, most Experience in various industries, HR professional with strong Packaging portfolio covering recently served as Executive including Dairy, Internet

  29. Slide 29: Financial Update

    a FINANCIAL UPDATE y FUTURE CONSUMER « i Snes dp 29

  30. Slide 30: Performance Overview - Q3 FY17

    Performance Overview - Q3 FY17 Top Line Growth EBITDA Improvement on the Back of High Growth and Efficiency 5,516 62 23%* 5,048 24 Q3 FY16 Q3 FY17 Q3 FY16 Q3 FY17 Interest Expense Declined by INR 38 mn PAT loss narrowed by INR 64 mn 159 121 (140) (204) Q3 FY16 Q3 FY17 Q3 FY16 Q3 FY17 * Like to like

  31. Slide 31: Performance Overview - 9M FY17

    Performance Overview - 9M FY17 Top Line Growth EBITDA Improvement on the Back of High Growth and Efficiency 41%* 15,824 150 12,822 (104) 9M FY16 9M FY17 9M FY16 9M FY17 Interest Expense Declined by PAT loss narrowed by INR 272 mn INR 113 mn 473 360 (509) (781) 9M FY16 9M FY17 9M FY16 9M FY17 * Like

  32. Slide 32: FCL Growth Reflects Impact of Demonetization

    FCL Growth Reflects Impact of Demonetization Since 75% of the topline is driven by Modern Trade channels, FCL witnessed limited impact of demonetization On the other hand, Aadhaar was impacted by demonetization 75% of Fair Price Shop business is cash based 90% of Aadhaar’s business is wholesale and

  33. Slide 33: Consolidated Income Statement – Q3 & 9M FY17

    Consolidated Income Statement – Q3 & 9M FY17 FY 2015-16 FY 2016-17 Particulars (INR Mn) Q3 9M FY16 Q3 9M FY17 5,015 12,715 Sales 5,473 15,699 33 107 Other Operating Income 43 125 5,048 12,822 Total Income from Operations 5,516 15,824  Reported a like to like growth of 23% 4,312 10,909 COGS 4,734 13

  34. Slide 34: Evolution of Operating Profits

    Evolution of Operating Profits Network expansion and increasing penetration Expansion of General Going Trade network forward New product launches potential to scale up Premiumization of Prior to 2016 products reported Economies of scale Operating Losses Currently achieving profitability at operating

  35. Slide 35: Consolidated Balance Sheet (Proforma & Unaudited)

    Consolidated Balance Sheet (Proforma & Unaudited) As on Particulars (INR mn) 31-Dec-16 Shareholder's Fund 9,348  Balance Sheet is as per IND-AS Minority Interest -12  Debt reduction of INR 646 mn during 9M FY17 Net Debt 4,298 Net Adjusted Capital Employed 13,633 Fixed Assets 4,375 Goodwill and Int

  36. Slide 36: Marquee Consumption Focused Funds Invested in FCL

    Marquee Consumption Focused Funds Invested in FCL FCL Shareholding Pattern # of Shares % Promoters 751,688,794 39.9% Institutional Investors 515,871,701 27.4% Arisaig Partners 152,043,000 8.1% Verlinvest 140,513,969 7.5% Proterra 131,918,269 7.0% IFC 58,953,025 3.1% Other Institutional Investors 32,

  37. Slide 37: India Food Forum Awards

    India Food Forum Awards Kosh Wins India Food Forum’s Prestigious Food & Grocery Innovation of the Year Award! Devendra Chawla was awarded the ‘Food & Grocery Professional of the Year’ Investor Presentation 37

  38. Slide 38: FCL Initiated an Era of FMCG 2.0

    FCL INITIATED AN ERA OF FMCG 2.0 38

  39. Slide 39: FMCG 2.0: Fast Moving Consumer Generation

     Primarily focused on goods  Built to cater to yesterday’s consumers  Goods are not really fast moving  Shifting the focus towards consumers  Built on “Future Consumers”  FAST MOVING CONSUMER GENERATION  Opportunity to lead the space Investor Presentation 39

  40. Slide 40: FCL's Journey Towards FMCG 2.0

    FCL’s Journey Towards FMCG 2.0 Unprecedented retail success Developing brands by upgrading and transforming a “branded commodity” Catering to the full spectrum of to a Genuine Brand consumers: Foodhall > Aadhar PDS Communicating the brand vision Expertise of Future Brands and Future Ideas aiding inn

  41. Slide 41: The Road Ahead

    The Road Ahead…  Leveraging the Group’s strong knowhow of Indian Consumer  Building a dynamic organization based on holacratic design to execute multiple ideas and initiatives at a time  Building a strong portfolio of brands in high margin and value add categories  Tap the immense potential of M

  42. Slide 42: Disclaimer

    Disclaimer This report contains forward-looking statements, which may be identified by their use of words like ‘plans’, ‘expects’, ‘will’, ‘anticipates’, ‘believes’, ‘intends’, ‘projects’, ‘estimates’, or other words of similar meaning. All statements that address expectations or projections about t

  43. Slide 43: Thank You

    Thank You Registered and Corporate Office: Future Consumer Limited Knowledge House, Shyam Nagar, Off Jogeshwari - Vikhroli Link Road, Jogeshwari (East), Mumbai 400 060 : +91 22 30841300 : www.futureconsumer.in Incase if any queries please contact: investor.care@futureconsumer.in

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