Jyothy Labs Limited · NSE:JYOTHYLAB
Jyothy Labs — Q4 FY22 Earnings Presentation
31 slides from Jyothy Labs's earnings presentation, May 24, 2022
Slide 1: Analyst Meet Presentation cover letter to stock exchanges
To, May 24, 2022 National Stock Exchange India Limited Exchange Plaza, C-1, Block-G, Bandra Kurla Complex, Bandra — (East). Mumbai - 400051 Scrip Code: JYOTHYLAB BSE Limited Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai - 400023 Scrip Code: 532926 Dear Sirs, Sub: Analyst Meet Presentation With ref
Slide 2: Jyothy Labs logo
Slide 3: Presentation Q4FY22 & FY22
PRESENTATION Q4FY22 & FY22 May 24, 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 2,200 cr Revenue in FY 2022 • 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. 1 m
Slide 6: Market Scenario
MARKET SCENARIO • Business Environment : • Demand environment impacted by high inflationary pressure on the households • Increased competitive pressure • Stable Growth across all channels resulting in overall double digit sales growth • Margin Headwinds Continue inspite of frequent price increases 5
Slide 7: We Are on Accelerated Growth Plans - Our Strategic Levers
WE ARE ON ACCELERATED GROWTH PLANS - OUR STRATEGIC LEVERS ✓ Crossed 1 Million direct reach outlet Distribution ✓ 600+ new SS appointed (Total 5797) ✓ Accelerated distribution through Van & moped sales model as part of rural expansion ✓ Eight celebrities roped in to endorsed the Brands: Brand Investm
Slide 8: Our Strategic Levers Deliver Robust Performance Across Categories
OUR STRATEGIC LEVERS- DELIVERS ROBUST PERFORMANCE ACROSS CATEGORIES Growth (%) Q4FY22 18.0% 12.2% -9.1% 11.7% FY22 22.1% 14.1% 2.8% 7.5% Q4FY22 (2Y CAGR) 16.8% 22.2% 11.1% 24.4% FY22 (2Y CAGR) 7.4% 18.7% 20.9% 13.8% 7 7
Slide 9: High Input Prices Persists
High Input Prices Persists.. Unit Currency Mar-20 Mar-21 Mar-22 Apr-22 % Increase % Increase Key Products (Mar’22 vs (Mar’22 vs Mar’20) # Mar’21) Linear Alkyl Benzene ** Tonne $ 1195 1580 1743 2092 46% 10% Caustic Soda LYE * Tonne $ 331 340.8 850 785 157% 149% Crude Palm Oil *** Tonne $ 690 1269 159
Slide 10: Result Highlights – Q4 FY22 Snapshot (Consolidated)
RESULT HIGHLIGHTS – Q4 FY22 SNAPSHOT (CONSOLIDATED) Revenue at Rs 547 Crores increased by 10.4% Gross Margin at 41.4% from 45.6% in the same period last year A&P Spend at Rs 39.1 Crores (7.2% of Net Sales) versus Rs 38.4 Crores (7.8% of Net Sales) in the same period last year, an increase by 1.8% Op
Slide 11: Result Highlights – FY22 Snapshot (Consolidated)
RESULT HIGHLIGHTS – FY22 SNAPSHOT (CONSOLIDATED) Revenue at Rs 2,196 Crores increased by 15.1% Gross Margin at 41.6% from 47.1% in the same period last year A&P Spend at Rs 161.1 Crores (7.3% of Net Sales) versus Rs 123.6 Crores (6.5% of Net Sales) in the same period last year, an increase by 30.3%
Slide 12: Category Wise Net Revenue
CATEGORY WISE NET REVENUE Q4FY22 YEAR ENDED Q4 AND FY22 Revenue Growth CY PY GR% CY PY GR% 30% Fabric Ujala FW, Henko, Mr White, 26.0% 212 180 18.0% 817 669 22.1% Care Ujala Crisp & Shine 20% Dishwashing Exo & Pril 190 169 12.2% 798 700 14.1% 15.1% 11.6% 10.4% Household 79 87 -9.1% 265 258 2.8% 10%
Slide 13: Snapshot of Company's Performance (Consolidated)
SNAPSHOT OF COMPANY’S PERFORMANCE (CONSOLIDATED) QUARTER ENDED YEAR ENDED PARTICULAR/GROWTH CY PY % CHANGE CY PY % CHANGE REVENUE FROM OPERATION 547 495 10.4% 2,196 1,909 15.1% OPERATING EBITDA 57.3 70.9 -19.3% 248.2 314.5 -21.1% PAT 36.9 27.3 35.4% 159.1 190.7 -16.5% Financial Parameters QUARTER EN
Slide 14: EBITDA Movement (Consolidated)
EBITDA MOVEMENT (CONSOLIDATED) Consolidated PARTICULARS Q4FY22 FY22 EBITDA % - PREVIOUS PERIOD 14.3% 16.5% GROSS MARGIN -4.1% -5.5% EMPLOYEE COST 0.1% 0.9% ADVERTISEMENT & SALES PROMOTION 0.6% -0.9% OTHER EXPENDITURE -0.4% 0.3% EBITDA % - CURRENT PERIOD 10.5% 11.3% 13
Slide 15: Financial Highlights (Consolidated)
FINANCIAL HIGHLIGHTS (CONSOLIDATED) Net Worth (Rs in crores) 40 Working Capital in Days 35 35 1,750 1,500 1,429 1,444 30 1,229 1,250 25 20 1,000 20 15 750 15 500 10 250 5 0 0 Mar-20 Mar-21 Mar-22 Mar-20 Mar-21 Mar-22 ROE Net Debt equity ratio 40.0% 36.8% 0.25 0.21 35.0% 29.7% 0.20 30.0% 24.2% 25.0%
Slide 16: Brand Performance & Initiatives
BRAND PERFORMANCE & INITIATIVES 15
Slide 17: Category Wise Business Share
16 Fabric Care (Main Wash) 29% Fabric Care (Post Wash) 10% Q4 FY22 Dishwash 35% Other 2% Category Wise Household Business Share Insecticide 15% Personal Care 9% 16
Slide 18: Persistence in offering value to our consumers
17 Q4FY22 Persistence in offering value offering to our consumers and effectively managing the input cost rise. We have delivered double digit growth by offering value to the end consumers navigating the challenging situation of high input costs. 17
Slide 19: Category highlights in FY22
Category highlights in FY22 Fabric care Home care Dish Wash Personal Care • Robust performance in Dishwash and Fabric care. • Large packs across channels led the growth in fabric care. • Opening of institutions, workplaces spurred post wash products usage. • Smaller packs in dishwash led the momentu
Slide 20: Fabric care (post wash) - Ujala Supreme
19 Fabric care (post wash) Performance Continued robust performance Market share registering a double-digit growth. MQ21 MQ22 Opening of workplaces/institutions 83.6% 84.1% aided in the momentum. Source – AC Nielsen; (MQ –March QTR) Ujala Supreme Key initiatives Continued visibility drives across ma
Slide 21: Fabric care (post wash) - Ujala Crisp & Shine
20 Fabric care (post wash) Performance The brand continues to win back its unique relevance by registering a double-digit growth with reduced pandemic fears and people resuming regular lives. Ujala Key initiatives Crisp & Shine Continued focus in new markets – trial initiatives with small packs ATL
Slide 22: Fabric care (post wash) - Ujala Detergent
21 Fabric care (post wash) Performance Market share (Detergent powder Ujala Detergent registered a in Kerala) double-digit growth, and its MQ21 MQ22 preference is seen in its 19.3% 21.9% growing market share. Source – AC Nielsen; (MQ –March QTR) Key initiatives Ujala Continued focus on liquid deterg
Slide 23: Fabric care (main wash)
22 Fabric care (main wash) Performance Brand maintained its growth momentum largely driven by Urban markets owing to increased foot falls in Modern Trade and CSD stores. Key initiatives Launch of Henko Matic Liquid Detergent in key states and in all major Ecom platforms. High focus to establish its
Slide 24: Dishwash (Exo)
23 Dishwash (Exo) • Consistent double digit growth on LUPs helped to recruit new consumers on the brand • Through larger tub packs Exo has been able to drive premiumization and consumption of dishwash bars. In this segment Exo has been able to establish itself as the clear brand of choice among cons
Slide 25: Dishwash (Pril)
24 Dishwash (Pril) • Pril recorded double digit growth in larger packs on the back of high consumer loyalty for the brand • With the Introduction of 3 Litre Pack, Pril is leading the consumption growth story in dishwash liquid • Presence of strong and growing premium variant in the portfolio – Pril
Slide 26: Household Insecticide
25 Household Insecticide Performance Market Share Weak demand due to extreme weather conditions impact Coil Format MQ21 MQ22 sales, Coil 22.4% 22% however, robust performance Liquid 8.2% 8.9% in liquids with double-digit Source – AC Nielsen; (MQ –March QTR) growth. Focus on distribution is aiding th
Slide 27: Personal Care
26 Personal Care Performance Margo registered a strong double-digit growth – demand for its authenticity continues to be the driving factor for the brand. Key initiatives Margo Continued pan India ATL investments Small pack focus in new markets to drive trials Focus on new media to target youth – Us
Slide 28: Way Forward
WAY FORWARD • Continued focus on Volume Led Growth to achieve Higher Scale of Business operations • Sharp management focus on • Driving category development and increased Brand Building initiatives • Digital technology driving sales efficiency in Go-To- Market initiatives • Direct distribution as it
Slide 29: Shareholding Pattern
SHAREHOLDING PATTERN As on March 31, 2022 FII 11.28% DII 17.47% Promoter and Promoter Group 62.89% FII Public 8.36% DII Public Promoter and Promoter Group 28
Slide 30: 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 31: Thank You
THANK YOU Contact for any queries Sanjay Agarwal – CFO Email: Sanjay.Agarwal@Jyothy.com Contact No: +91 22 6689 2800/+91 9167012328 30