Dabur India Limited · NSE:DABUR
Dabur India — Kotak India Corporate Day June 2011
26 slides from Dabur India's conference presentation, June 2011
Slide 1: Dabur India Limited - Kotak India Corporate Day
DABUR INDIA LIMITED Kotak India Corporate Day June 2011, USA 1 1
Slide 2: FMCG Growth Story
FMCG GROWTH STORY India FMCG Sector – Volume and Value Growth Rate (Y-o-Y %) High Growth Phase Source: Industry data, Standard Chartered Research 9 India’s FMCG sector reported steady sales CAGR of 11.2% over FY00-10 on the back of strong annual volume growth of ~8.5%. 9 Growth being driven by incre
Slide 3: FMCG – Current Scenario
FMCG – CURRENT SCENARIO FMCG Split: OTC, Food and Non-Food 9 FMCG industry pegged at US$30 billion in CY10 140,000 128,580 Rs. Crores 120,000 116 053 116,053 3 (11%) 9 Of the th entire ti FMCG sector, t F d is Food i 97,276 4 (14%) 52%, Non-Food at 45% and OTC 3% 100,000 82,615 4 (10 %) 45 (8%) 80,0
Slide 4: Penetration Levels: Sufficient Headroom
PENETRATION LEVELS: SUFFICIENT HEADROOM Rural Penetration Urban Penetration 90% 80% 80% 77% 70% 67% 59% 60% 57% 50% 42% 40% 37% 32% 30% 26% 20% 18% 18% 19% 10% 5% 4% 3% 2% 0% Toothpaste Shampoo Hair Oil Skin Mosquito Instant Hair Dyes Floor Cream Repellants Noodles Cleaners Source: Industry Data 9 L
Slide 5: Per Capita Consumption: Room for Growth
PER CAPITA CONSUMPTION: ROOM FOR GROWTH India has low per capita consumption as compared to other emerging economies Skin Care – Per Capita Consumption (in US$) Shampoo – Per Capita Consumption (in US$) in US$ in US$ 9 3 2.7 7.4 7.7 8 2.5 2.4 7 6 2 5 1.5 4 3.2 1.0 1.1 3 1 2 0.8 0.5 0.3 1 0.3 0 0 Chi
Slide 6: Dabur Overview
DABUR OVERVIEW 9 Established in 1884 - more than 125 Years Eleven Billion Rupee Brands of Trust & Excellence 9 Among top 4 FMCG companies in India 9 World’s largest in Ayurveda and natural healthcare 9 Revenue of Rs.Rs 41.1 41 1 billion and profits of Rs. 5.7 billion in FY2010-11 9 Strong brand equi
Slide 7: Financial Performance
FINANCIAL PERFORMANCE Sales in Rs. million 45000 41 099 41,099 40000 34,158 35000 28,341 30000 20,803 23,963 25000 17,565 20000 12,004 12,849 12,356 14,170 15000 10000 5000 0 FY02 FY03 FY04^ FY05 FY06* FY07 FY08 FY09 FY10** FY11^^ EBITDA Margin (in %) Net Profit in % in Rs. million 22.0% 22 0% 19 8%
Slide 8: Global Footprint
GLOBAL FOOTPRINT UK Turkey y Canada Nepal UAE U.S. Egypt B’Desh Nigeria Domestic Mfg. Locations Key markets Manufacturing Facilities Our strategy is to localize manufacturing, manufacturing supply chain and product offerings to suit consumer requirements in each geography 8 8
Slide 9: Robust Distribution Network
ROBUST DISTRIBUTION NETWORK Factory C&FA (Carry & Forward Agents) St ki t Stockist S Super St Stockist ki t Institutions & Modern trade Wholesalers Sub Stockist RETAIL TRADE CONSUMERS Direct + Indirect Reach covering c.3 million Retail Outlets 9 9
Slide 10: Presence in FMCG Categories
PRESENCE IN FMCG CATEGORIES Category Position Market Share Key Brands Dabur Amla hair Oil, Vatika hair oil & Hair Care 3 12% Vatika Shampoos Red toothpaste, Babool, Meswak, Red Oral Care 3 13% toothpowder Skin Care 3 7% Dabur Gulabari, Fem, Dabur Uveda Ayurvedic 1 67% Dabur Chyawanprash Tonics Diges
Slide 11: Business Structure
BUSINESS STRUCTURE Dabur operates through three focused Strategic Business Units • FMCG portfolio comprising four distinct businesses: Consumer Care • Personal Care Division • Consumer Health Care 68% • Home Care • Foods • Catering to health and personal International care needs of customers across
Slide 12: Consumer Care Division Overview
CONSUMER CARE DIVISION OVERVIEW FPD HCPD Balsara Foods FEM 2003-2004 2006-2007 2007-2008 2008-2009 CCD FPD: Family Products Division Category-wise Share of CCD Sales HCPD: Health Care Products Division Balsara and Fem were acquisitions Foods division was a 100% subsidiary of DIL F d 15% Foods, Hair
Slide 13: Consumer Care Categories
CONSUMER CARE CATEGORIES Hair Oil Key Brands Market Share 15% Dabur 30% 8% Bajaj Marico 5% Emami 42% Others Dabur Amla: Vatika: Value added Anmol Hair Oil: Value Share-ACN Share ACN MAT Mar 2011 Largest brand in coconut oil Value proposition the portfolio Shampoo Key Brands Market Share 6% 14% Dabur
Slide 14: Consumer Care Categories
CONSUMER CARE CATEGORIES Oral Care Market Share Key Brands 14% 13% Dabur 23% HUL Colgate 50% Others Dabur Red: Toothpaste Babool: Targeted at Meswak: Premium & Toothpowder economy segment therapeutic Value Share -ACN MAT Mar, 2011 toothpaste Health Supplements Chyawanprash – Market Share Key Brands
Slide 15: Consumer Care Categories
CONSUMER CARE CATEGORIES Foods Key Brands Market Share 13% Dabur 52% Pepsi p 35% Others Real: Flagship Real Activ: Range Company C Est. E t MMar, 2010 for f Fruit F it Juice J i category t of 100% pure juice beverages brand Skin Care Market Share* Key Brands 7% 7% Dabur HUL 18% Cavin Care 6% L'Oreal
Slide 16: Consumer Care Categories
CONSUMER CARE CATEGORIES Digestives Market Share Key Brands 36% Hajmola 56% Satmola Others 8% Hajmola: Flagship brand Hajmola tasty for branded Digestives digestive candy Value a ue Share-ACN S a e C MAT Mar, a , 2011 0 for o Herbal e ba Digestives gest es Home Care Market Share Key Brands 19% Odomo
Slide 17: Consumer Health Division
CONSUMER HEALTH DIVISION Description CHD Structure 9 CHD: Repository of Dabur’s Ayurvedic Healthcare knowledge 9 Range of over 260 products O C (64%) OTC (6 %) ETHICAL C (36%) 9 Focusing on multiple therapeutic areas. 9 Generics 9 Tonic 9 Distribution coverage of 200,000 9 Branded Products 9 Classic
Slide 18: International Business Division
INTERNATIONAL BUSINESS DIVISION Started as an Set up a franchisee at Renamed franchisee as Dabur Building scale-22% of Exporter Dubai in 1989 International Ltd overall Dabur Sales (FY11) Focus on Order Demand generation Local operations further strengthened High Levels of Localizatio
Slide 19: Our Strategy
OUR STRATEGY Three pronged Growth Strategy Expand Innovate Acquire Our differentiation is the herbal and ayurvedic platform Expand 9 Strengthening presence in existing categories and markets as well entering new geographies 9 Maintain dominant share in categories g where we are category g y builders
Slide 20: Acquisition of Hobi Group, Turkey
ACQUISITION OF HOBI GROUP, TURKEY 9 Acquisition of Hobi Group, Turkey for a total consideration of US$ 69 Million completed on October 7, 2010 9 Hobi manufactures and markets hair, skin and body care products under the brands Hobby and New Era 9 Product range of the company is complementary to our p
Slide 21: Acquisition of Namaste Laboratories LLC.
ACQUISITION OF NAMASTE LABORATORIES LLC. 9 Dabur India Limited through its subsidiary Dabur International Limited acquired 100% stake in Namaste Laboratories LLC for $100 million, in an all-cash deal on January 1, 2011 9 Namasté is a leading ethnic hair care products company, having products for wom
Slide 22: Recent Financial Performance
RECENT FINANCIAL PERFORMANCE Sales: FY11 v/s FY10 EBITDA Margin: FY11 v/s FY10 in Rs. million in % 2 5 . 0 % 41 099 41,099 19.8% 19.9% 4 000 0 34,158 2 0 . 0 % 3 500 0 3 000 0 1 5 . 0 % 2 500 0 1 0 . 0 % 2 000 0 1 500 0 5 . 0 % 1 000 0 50 00 0 . 0 % 0 FY10 FY11 FY10 FY11 PAT: FY11 v/s FY10 9 Sales f
Slide 23: Stock Performance and Shareholding Pattern
STOCK PERFORMANCE AND SHAREHOLDING PATTERN Market Capitalization in Rs. billion Shareholding Structure* 190 FIIs, 17.4 Indian FIs/ % Public and MFs/Ins. Others, 6.7 Cos., 7.1% % 17 Prom oters, 68.7% 2001 2011 *As on May 6, 2011 Dabur ranked as the organization that offers the best return to investor
Slide 24: Consolidated P&L
CONSOLIDATED P&L in Rs. million Q4FY11 Q4FY10 YoY (%) FY11 FY10 YoY (%) Gross Sales 11,172 8,551 30.7% 41,099 34,158 20.3% Less:Excise Duty 90 65 324 253 Net Sales 11,082 8,486 30.6% 40,774 33,905 20.3% Other Operating Income 74 97 ‐23.5% 330 253 30.8% Material Cost 4,890 3,843 27.2% 19,053.00 15,50
Slide 25: Consolidated Balance Sheet
CONSOLIDATED BALANCE SHEET in Rs. million As on Mar 11 As on Mar 10 Sources Of Funds Shareholders' Fund: Share Capital 1,741 869 Reserves & Surplus l 12,171 8,485 13,912 9,354 Minority Interest 41 38 Loan Funds: Secured Loans 703 702 Unsecured d Loans 9,807 10,510 1,091 1,793 Deferred Tax Liability
Slide 26: Investor Relations
Investor Relations Dabur India Ltd Contact:+91-11-42786000 26 26