Jyothy Labs Limited · NSE:JYOTHYLAB
Jyothy Labs — Q3 FY2022 Earnings Presentation
28 slides from Jyothy Labs's earnings presentation, Jan 21, 2022
Slide 1: Cover letter to stock exchanges
January 21, 2022 To, National Stock Exchange of India Limited Exchange Plaza, Bandra Kurla Complex, Bandra (East), Scrip Code: JYOTHYLAB Mumbai - 400051 BSE Limited Phiroze Jeejeebhoy Towers, Dalal Street, Scrip Code: 532926 Mumbai - 400 023 Dear Sir, Sub: Copy of Presentation With reference to the
Slide 2: Jyothy Labs logo
Slide 3: Presentation Q3FY22
PRESENTATION Q3FY22 January 21, 2022 2
Slide 4: Content Flow
Content Flow 01. Overview 03. Our Performance Journey 05. Brand Performance & Initiatives 04. Result Highlights 02. Market Scenario 06. Way forward 3
Slide 5: Overview
OVERVIEW • Founded in 1983 by a first generation entrepreneur, our ‘Chairman Emeritus’ Mr. MP Ramachandran. ~Rs 1900+ cr Revenue in FY 2021 • Jyothy Labs is primarily in Home Care and Personal Care 2.8 Mn Outlets – Pan India availability segments which constitute 50% of the Indian FMCG industry. 0.8
Slide 6: Market Scenario
MARKET SCENARIO • Business Environment : • Mixed consumer sentiment with normalisation of economy, however higher inflation is adversely impacting the monthly household budgets of the consumers • Addition of Rural Stockists and on-ground sales team aiding Sales Growth • Institutional Business back t
Slide 7: Our Strategic Levers - Delivers Robust Performance Across Categories
OUR STRATEGIC LEVERS- DELIVERS ROBUST PERFORMANCE ACROSS CATEGORIES #4 Relevant #1 Distribution #2 Brand Investment #3 Digital Technology #5 Sustainability Innovation Growth (%) Q3FY22 18.8% 10.4% 9.8% 0.2% YTDFY22 23.6% 14.6% 8.9% 6.5% Q3FY22 (2Y CAGR) 10.3% 15.7% 9.9% 21.9% YTDFY22 (2Y CAGR) 4.6%
Slide 8: High Input Prices
High Input Prices Unit Currency Mar-20 Mar-21 Oct-21 Jan-22 % Increase Key Products (Jan’22 vs Mar’20) Linear Alkyl Benzene ** Tonne $ 1195 1580 1894 1730 45% Caustic Soda LYE * Tonne $ 331 340.8 516.8 800 142% Crude Palm Oil *** Tonne $ 690 1269 1705 2082 202% LDPE-Laminate Grade * Kg. ₹ 84 133 136
Slide 9: Result Highlights – Q3 FY22 Snapshot (Consolidated)
RESULT HIGHLIGHTS – Q3 FY22 SNAPSHOT (CONSOLIDATED) Revenue at Rs 539 Crores increase by 13.1% Gross Margin at 41.6% from 48.8% in the same period last year A&P Spend at Rs 38.4 Crores (7.1% of Net Sales) versus Rs 35.3 Crores (7.4% of Net Sales) in the same period last year, an increase by 8.7% Ope
Slide 10: Result Highlights – YTD FY22 Snapshot (Consolidated)
RESULT HIGHLIGHTS – YTD FY22 SNAPSHOT (CONSOLIDATED) Revenue at Rs 1,650 Crores increase by 16.7% Gross Margin at 41.6% from 47.6% in the same period last year A&P Spend at Rs 122 Crores (7.4% of Net Sales) versus Rs 85.2 Crores (6% of Net Sales) in the same period last year, an increase by 43.1% Op
Slide 11: Category Wise Net Revenue
CATEGORY WISE NET REVENUE Q3FY22 NINE MONTHS ENDED Q3 AND YTD FY22 Revenue Growth CY PY GR% CY PY GR% 20% 16.7% Fabric Care 209 176 18.8% 605 489 23.6% 15% 13.3% 13.1% Dishwashing 201 182 10.4% 608 530 14.6% 10% JLL Household Insecticides 52 47 9.8% 186 171 8.9% 7.3% Personal Care 53 53 0.2% 187 176
Slide 12: Q3FY22 & YTDFY22 Snapshot of Company's Performance (Consolidated)
Q3FY22 & YTDFY22 SNAPSHOT OF COMPANY’S PERFORMANCE (CONSOLIDATED) QUARTER ENDED NINE MONTHS ENDED PARTICULAR/GROWTH CY PY % CHANGE CY PY % CHANGE REVENUE FROM OPERATION 539 477 13.1% 1,650 1,414 16.7% OPERATING EBITDA 61.2 79.8 -23.3% 191.0 243.6 -21.6% PAT 38.0 53.2 -28.6% 122.2 163.4 -25.2% Financ
Slide 13: EBITDA Movement (Consolidated)
EBITDA MOVEMENT (CONSOLIDATED) Consolidated PARTICULARS Q3FY22 YTDFY22 EBITDA % - PREVIOUS PERIOD 16.7% 17.2% GROSS MARGIN -7.1% -6.0% EMPLOYEE COST 1.4% 1.2% ADVERTISEMENT & SALES PROMOTION 0.3% -1.4% OTHER EXPENDITURE 0.1% 0.5% EBITDA % - CURRENT PERIOD 11.3% 11.6% 12
Slide 14: Brand Performance & Initiatives
BRAND PERFORMANCE & INITIATIVES 13
Slide 15: Category Wise Business Share
14 Fabric Care (Main Wash) 28% Fabric Care (Post Wash) 11% Q3 FY 2022 Dishwash 38% Other 3% Category Wise Household Business Share Insecticide 10% Personal Care 10% 14
Slide 16: Preserving the value offering to our consumers
15 Q3 FY2022 Preserving the value offering to our consumers and effectively managing the exponential rise in input costs. We have delivered double digit growth by offering value to the end consumers navigating the challenging situation of high input costs. 15
Slide 17: Category highlights
Category highlights Fabric care Home care Dish Wash Personal Care Post wash continues Maxo continues leveraging Brand positioning and Continued focus on to show resurgence. its innovations to offer focus on availability the 100 years heritage superior value. continues to show of Margo and its growth
Slide 18: Fabric care (post wash)
17 Fabric care (post wash) Performance Continue to register growth Market share post normalizing of economy CY19 CY20 MQ21 SQ21 DQ21 leveraging its unique strength of low-cost whitening solution. 82.0% 82.6% 84.0% 84.9% 84.5% Source – AC Nielsen; CY-Calendar Year Key initiatives Ujala High visibilit
Slide 19: Fabric care (post wash)
18 Fabric care (post wash) Performance The need for a superior finish to the fabric, only provided by Ujala Crip & Shine, continues to register robust growth (albeit on lower base). Ujala Key initiatives Crisp & Driving penetration in new markets through 360 degree marketing Shine support. Sustained
Slide 20: Fabric care (main wash)
19 Fabric care (main wash) Performance Market share (Detergent powder in Ujala IDD continues to be Kerala) the preferred choice CY19 CY20 MQ21 SQ21 DS21 registering double digit growth. 19.2% 19.9% 19.3% 21.1% 20.3% Key initiatives Source – AC Nielsen; CY-Calendar Year Ujala Focus on liquid detergen
Slide 21: Fabric care (main wash)
20 Fabric care (main wash) Performance Brand continues to deliver sustained growth with improved mobility in Urban areas and increased foot falls in large format stores (Modern Trade & CSD). Key initiatives Superstar Kajal Agarwal roped in to endorse the brand. New campaign delivering the propositio
Slide 22: Dish wash
21 Dish wash Performance Market Share Double Digit growth in Brand CY 19 CY 20 MQ21 SQ21 DQ21 Dishwash on the back of superior brand promise and Exo 11.3% 12.5% 13.2% 13.4% 13.7% product delivery. Pril 16.3% 17.5% 15.3% 15.2% 15.6% Source – AC Nielsen; CY-Calendar Year Key initiatives ATL communicat
Slide 23: Household Insecticide
22 Household Insecticide Performance Market Share Brand continued to register strong Format CY 19 CY 20 MQ21 SQ21 DQ21 double-digit growth Coil 21.2% 22.9% 23.3% 24.0% 23.1% in liquids. Liquid 8.3% 8.7% 8.6% 9.8% 10.2% Source – AC Nielsen; CY-Calendar Year Key initiatives Continued ATL investments t
Slide 24: Personal Care
23 Personal Care Performance Our Neem based Margo portfolio of Soaps, Handwash, etc continues to be consumer preference as these products are made from natural ingredients. Delivered 21.9% growth on a 2 year CAGR basis Key initiatives ATL spends, including print ads in leading dailies across India.
Slide 25: Way Forward
WAY FORWARD • Relentless focus on Volume Led Growth to achieve Higher Scale of Business operations • Sharp management focus on • Driving category development and increased Brand Building initiatives • Gaining Market Share across Brands • Continue expansion into Rural Areas • Strengthening Distributi
Slide 26: Shareholding Pattern
SHAREHOLDING PATTERN As on 31 December 2021 FII 10.45% DII 18.92% Promoter and Promoter FII Group 62.89% Public DII 7.74% Public Promoter and Promoter Group 25
Slide 27: Disclaimer
DISCLAIMER Some of the statements in this communication may be forward looking statements within the meaning of applicable laws and regulations. Actual results might differ substantially from those expressed or implied. Important developments that could affect the Company’s operations include change
Slide 28: Thank You
THANK YOU Contact for any queries Sanjay Agarwal – CFO Email: Sanjay.Agarwal@Jyothy.com Contact No: +91 22 6689 2800/+91 9167012328 27