Bajaj Consumer Care Limited · NSE:BAJAJCON
Bajaj Consumer Care — Q2 FY25 Earnings Presentation
40 slides from Bajaj Consumer Care's earnings presentation, Nov 11, 2024
Slide 1: Cover letter to stock exchanges
bajaj coNsuMrn cAnE November 11, 2024 To: To: DCS-CRD Listing Compliance BSE Limited National Stock Exchange of India Ltd. First Floor, New Trade Wing Exchange Plaza, 5th Floor Rotunda Building, Plot No. C/1, ‘G’ Block Phiroze Jeejeebhoy Towers Bandra- Kurla Complex Dalal Street, Fort, Mumbai 400 02
Slide 2: Investor Presentation Q2 & H1 FY25
INVESTOR PRESENTATION Q2 & H1 FY25 II .. " ..- .,u. ..... , lt,.G t U tllolG -""1•1- bajaj coNsuMrn CARE
Slide 3: Product Range
Product Range Almond Drops Hair Oil Coconut Hair Oil Range Amla Hair Oil Range No Marks Range •··· ·• ..t:.~ \- 1. ~a \ \JCOlG PL ' p ' , ~_:~ : '". csn,.,• 1 .. ~- -- • ' •"~·· Almond Drops Skin & Hair Care Range Ethnic Range Digital First Brands 100% Pure Natyv Soul •VH (i
Slide 4: Q2 & H1 FY25 Performance
Q2 & H1 FY25 PERFORMANCE bajaj coNsuMrn CARE
Slide 5: Standalone Q2 FY25
Standalone Q2 FY25 GROSS PROFIT AFTER TOPLINE EBITDA MARGIN TAX INR 225.4 Crs 52.5% INR 34.8 Crs INR 33.2 Crs 15.5% of Sales YoY -1.4% -200 bps - 150 bps -13.7% On Consolidated basis topline declined by 0.5% bajaj caNsUMER CARE
Slide 6: Standalone H1 FY25
Standalone H1 FY25 GROSS PROFIT AFTER TOPLINE EBITDA MARGIN TAX INR 462.4 Crs 53.9% INR 73.2 Crs INR 71.1 Crs 15.8% of Sales YoY -5.3% -70 bps -200 bps -15.1% On Consolidated basis topline declined by 5.0% bajaj coNsuMER CARE
Slide 7: Sales & Marketing
SALES & MARKETING bajaj coNsuMrn CARE
Slide 8: Brand Performance Highlights
Brand Performance Highlights ADHO NPDs + Traditional ~~ "'- . J. -=- ...,,..,,. ...= ,- ▪ Overall ADHO saw low single-digit ▪ Continued scale up with YoY growth of decline YoY, impacted by mid packs 11% in H1 FY25 ▪ Sachet sales grew by double digit YoY in ▪ Bajaj 100% Pure Coconut Oil registered th
Slide 9: Channel Performance Highlights - Q2 FY25
Channel Performance Highlights - Q2 FY25 ▪ Topline declined by mid-single digit YoY ▪ Rural performed better with low single digit growth in quarter General Trade ▪ Urban remained under pressure largely led by muted wholesale performance ▪ Infrastructure revamp underway through ‘Project Aarohan ’; P
Slide 10: ADHO – Q2 Performance review
ADHO – Q2 Performance review ▪ Large pack continues to perform better with high single digit growth in OT specific packs of 650 ml and 750 ml; Scale up of 190 ml PET bottle continues, registered a growth of 8% YoY ▪ Mid packs saw a decline largely due to subdued performance in Wholesale channel ▪ Sa
Slide 11: ADHO – Q2 Initiatives
ADHO – Q2 Initiatives 285 ml ADHO Hair Regime Kits • Launch of 285 ml new Flip top pack Special Hair Regime Kits for events on E-Commerce platforms for added consumer convenience and lower PM Cost bajaj caNsUMER CARE
Slide 12: ADHO – Q2 Digital Marketing Initiatives
ADHO – Q2 Digital Marketing Initiatives Programmatic Advertising Influencer Marketing Social Media Objective: Build incremental No. of Influencers: 60 Our Teacher’s Day post was reach and tap TV dark market featured on ‘Ads With Benefits,’ ER%: 5.9% a popular Instagram page with Platforms: YouTube &
Slide 13: Almond Drops Hair & Skin Care Range
Almond Drops Hair & Skin Care Range ■ ' 'Jt11UllG1i7 80DY LOTIOM I bajaj caNsUMER CARE
Slide 14: Almond Drops Shampoo & Conditioner
Almond Drops Shampoo & Conditioner ▪ New activations such as regime kits were initiated during Sep + Oct months to build traction ▪ Brand formats gaining traction with an average rating of 4.3 with more than 5,000+ organic ratings & 350+ reviews Hair Care Regime MT Visibility Extended Support by pla
Slide 15: Almond Drops Body Lotion and Hair Serum
Almond Drops Body Lotion and Hair Serum ▪ Brands saw an uplift in E-Commerce channel on account of optimization of display image, new pack launch, influencer campaigns and aggressive pricing ▪ Positive consumer ratings, reviews ensuring good traction in E-Commerce channel ii • ,o.::,IIIUl(tr DODY LO
Slide 16: Bajaj 100% Pure Coconut Oil – Q2 Performance review
Bajaj 100% Pure Coconut Oil – Q2 Performance review ▪ Market Share is high in Traditional Bajaj Strongholds states - Punjab, Rajasthan, MP, UP ▪ Steady increase of MS% in Maharashtra from 1.6% in Q2 FY24 to 2.1% in Q2 FY25 on the back of media initiatives and distribution drives ▪ 300ml Jar & Bottle
Slide 17: Launch of Bajaj Gold 100% Pure Coconut Oil
Launch of Bajaj Gold 100% Pure Coconut Oil ▪ New improved formulation of CNO Green launched in Eastern markets in Aug 2024 ▪ Successfully completed GTM in the eastern markets with 100% achievement of ECO and BE targets ▪ Launch done with 3 SKUs 85+15 ml, 175+25 ml and new variant 175ml Tin bajaj coN
Slide 18: On Platform Media Execution
On Platform Media Execution Festive led creatives and visibility across platforms Diwali Beauty St ore 13:57 1:181111 • lle-11.fi,r )\nir ~hdf • follow «:: CATEGORIES ) $ Fliplwrl .i Gtocc,y PJ fl1pkart ' !' Grocery __J Q ~~rcl, ~,ooery l')rOCtl(.t~ • ( ;lan1 up ~our loo~ with Ptnclls C!othl.,g AM A
Slide 19: Marketing Initiatives in Bangladesh
Marketing Initiatives in Bangladesh ▪ Digital engagement activities - 9.7 Mn Reach and 20 Mn Impressions in Q2 FY25 ▪ Print-Ad in a special memorabilia edition generated goodwill with channel partners and retailers ~~ - ---~..... 0 ,m.-,;m ;:,:<,; ~ ' c--. , ~ / 'i'- - -~ ~ /ANourishme ntin ovcry dr
Slide 20: Project Aarohan Update
AAROHAN A TRANSFORMATION JOURNEY PROJECT AAROHAN UPDATE
Slide 21: Project Aarohan: Revamping our RTM to drive growth
Project Aarohan >> Revamping our RTM to drive growth Phased expansion in urban reach (in 50k+ population towns) Improved servicing in high potential outlets 1.4X X outlets outlets High potential outlets Weekly , I ,- ---------------~, I servicing ✓ High throughput I I I I I Pointed expansion in high
Slide 22: Project Aarohan: Progress Update across UP and MP
Project Aarohan >> Progress Update across UP and MP* Representation Changes UP MP Reach & Ways of working Changes UP MP Improvement in representation # of New outlets added 1 1 (% of recommended upgrades in 37% 49% (Improvement in direct coverage of 1.2x 1.2x representation from Sub DB to Direct DB,
Slide 23: Improvement across sales enablement and sales development
Improvement across sales enablement and sales development functions to drive off-take Organization Structure & Process Improvement Channel Specialization - rh ••• Organization Structure >> • Optimized organization structure across levels through improvement in span of control Re-defined channel loya
Slide 24: Geo Tagging & Fencing - Urban Markets
Geo Tagging & Fencing - Urban Markets ▪ Geo tagging undertaken for all our direct coverage stores ▪ The exact location of store will be captured in the app used by sales force ▪ Subsequently this location (latitude / longitude) will be locked (fenced) so that orders have to be taken only at the loca
Slide 25: Update on Strategic Directions
UPDATE ON STRATEGIC DIRECTIONS
Slide 26: Update on Strategic Directions
Update on Strategic Directions Grow the Core ▪ Continuous Support through Visibility investments and digital media ▪ Regime Kits introduced for E-Commerce channel for new age consumers Distribution Scale Up ▪ Infrastructure in GT revamp underway through ‘Project Aarohan’ ▪ Pilot implementation in pr
Slide 27: ESG & Recognition
ESG & RECOGNITION
Slide 28: ESG – Focus on Resource Optimization
ESG – Focus on Resource Optimization % reduction Theme Indicator Target FY 22 H1 FY24 H1 FY25 % reduction from baseline YoY FY 22 Energy Intensity In T CO2 equivalent per Reduce Carbon Intensity by 25% 52 45 42 7% 20% Operations kl of oil produced in 5 yrs from FY 22 in Scope 1 & 2 Water Consumption
Slide 29: ESG – Focus on Resource Optimization
ESG – Focus on Resource Optimization S.no. Major Initiative for Carbon Emissions 1 Automation and installation of newer machines / technologies in the plants 2 Energy efficient compressor Installation at our plants 3 Miyawaki Tree Plantation Project at Guwahati S.no. Major Initiatives for Water Cons
Slide 30: Rainwater Harvesting Project at Paonta
Rainwater Harvesting Project at Paonta Harvesting more than 24,000 KL water at Paonta till Sep’24 through RWH Project BCCL has becomes Water Positive (500% of the expected consumption) • UOJdJ CONSUMER CARE
Slide 31: CSR - Initiatives undertaken in H1 FY25
CSR - Initiatives undertaken in H1 FY25 Villages Families Area 421 •• 11,797 3,095 acres .... ■• ■--· ■• ■--· ■• ■--· ■• ■--· ■• ■-. ' Group Well built at Village Pilapur On field training about Well recharge Sustainable Agriculture through covering 5 farmers through rainwater harvesting Promotion o
Slide 32: Rewards and Recognitions
Rewards and Recognitions Quality Circle – 3 Gold Awards won by BCCL, Guwahati (2) & Vinayak Industries (1) at QCFI Quality Circle – 34th CCQC-2024 on 7th September Quality Circle – 12th ACCQC-2024 on 21st September 2024 at Amingaon, Guwahati 2024 at Ankleshwar bajaj caNsUMER CARE
Slide 33: Financials
FINANCIALS
Slide 34: Standalone - Expenses To Sales Trend
Standalone - Expenses To Sales Trend Cost EmployeesCost Material Cost 45.5% 47.5% 10.4% 11.5% Employees Q2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 Other Expenses 16.7% 13.7% 11.9% 13.3% ASP Q2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 bajaj coNsuMrn CARE
Slide 35: Standalone - Expenses To Sales Trend
Standalone - Expenses To Sales Trend Cost EmployeesCost Material Cost 45.4% 46.1% 10.0% 11.4% Employees H1 FY24 H1 FY25 H1 FY24 H1 FY25 Other Expenses 16.5% 14.7% 11.9% 13.5% ASP H1 FY24 H1 FY25 H1 FY24 H1 FY25 bajaj caNsUMER CARE
Slide 36: Financial Performance - Standalone
Financial Performance - Standalone (in Rs. Crore) Particulars Q2 FY25 Q2 FY24 YoY% H1 FY25 H1 FY24 YoY% Net Sales Value 225.4 228.7 -1.4% 462.4 488.4 -5.3% Other Operating Income 3.4 3.2 6.4% 7.6 7.6 -0.6% Total Operating Income 228.8 231.9 -1.3% 470.0 496.0 -5.3% Cost of Goods sold 107.1 104.0 3.0%
Slide 37: Standalone Balance Sheet as at 30th Sept 2024
Standalone Balance Sheet as at 30th Sept 2024 I In Rs. Crore Particulars 30.09.2024 31.03.2024 Particulars 30.09.2024 31.03.2024 ASSETS EQUITY AND LIABILITIES 1. Non-Current Assets 1. Equity (a) Property, Plant & Equipment 45.7 44.9 (a) Share Capital 13.7 14.3 (b) Capital Work in progress 1.4 1.4 (b
Slide 38: Financial Performance - Consolidated
Financial Performance - Consolidated (in Rs. Crore) Particulars Q2 FY25 Q2 FY24 YoY% H1 FY25 H1 FY24 YoY% Net Sales Value 230.6 231.7 -0.5% 472.3 497.4 -5.0% Other Operating Income 3.4 3.2 6.4% 7.6 7.6 -0.6% Total Operating Income 234.0 234.8 -0.4% 479.9 505.0 -5.0% Cost of Goods sold 109.2 105.3 3.
Slide 39: Consolidated Balance Sheet as at 30th Sept 2024
Consolidated Balance Sheet as at 30th Sept 2024 In Rs. Crore Particulars 30.09.2024 31.03.2024 Particulars 30.09.2024 31.03.2024 ASSETS EQUITY AND LIABILITIES 1. Non-Current Assets 1. Equity (a) Property, Plant & Equipment 107.3 106.8 (a) Share Capital 13.7 14.3 (b) Capital Work in progress 27.9 27.
Slide 40: Thank You
THANK YOU bajaj coNsuMrn CARE