Slide 1: Investor Presentation April 2015
Investor Presentation April 2015 - 30th April 2015
Slide 2: Industry Overview
Industry Overview
Slide 3: Industry Size and Structure
Industry Size and Structure FMCG Rs.238,016 cr (USD 38.38 bn) Hair Care 7% salience Rs. 17,102 cr (USD 2.75 bn) Shampoo Perfumed Oil Coconut Based Oil Hair Conditioners Hair Dyes Rs. 5217cr Rs. 4996 cr Rs. 3768 cr Rs. 413 cr Rs. 2,630 cr (USD 841 mn) (USD 805mn) (USD 581mn) (USD 66 mn) (USD 437 mn)
Slide 4: Hair Oil Market in India
Hair Oil Market in India Overall Hair Oil Market – Volume Overall Oil Market – Value 300,000 10,000 8,972 247,478255,178239,933 9,000 8,408 250,000 235,539238,283 7,867 214,002 8,000 6,981 197,057 7,000 200,000 172,528 5,728 (In KLtr) 6,000 (Rs. Cr.) Y-o-Y - 6.0% 5,044 132560 4,498 Y-o-Y 6.7% 150,00
Slide 5: Light Hair Oil Market in India
Light Hair Oil Market in India Light Hair Oil – Volume Light Hair Oil – Value 35,000 31,928 31,409 1,600 1,471 1,517 29,958 30,000 1,400 1311 26,768 25,000 22,406 1,200 1,080 19,908 (Rs. Cr.) 20,000 18,390 1,000 831 (In KLtr) 15,603 710 Y-o-Y -1.6% 800 Y-o-Y 19.5% Y-o-Y 11.9% 15,000 Y-o-Y 12.5% 1176
Slide 6: Market Shares Trends (All India - Urban Plus Rural)
Market Shares Trends (All India - Urban Plus Rural) Volume MS Value MS 70% 70% 59.5% 60.7% 60% 57.9% 58.9% 60% 56.9% 54.4% 55.0% 51.9% 53.0% 50.7% 50% 48.0% 49.1% 50% 46.5% 44.1% 40.3% 40% 38.4% 40% 30% 30% 20% 20% 10% 10% 0% 0% 07-08 08-09 09-10 10-11 11-12 12-13 13-14 14-15 07-08 08-09 09-10 10-11
Slide 7: ADHO – Relative Market Share – Value Trend
ADHO – Relative Market Share – Value Trend Relative Market share is the ratio of Almond Drops market share to the next largest competitor in LHO segment Relative MS - Val 5.0 4.5 4.3 4.4 4.4 4.0 4.0 3.4 3.5 3.2 3.0 2.7 2.5 2.1 2.0 1.5 1.0 0.5 0.0 2008 2009 2010 2011 2012 2013 2014 2015(3M) Source –
Slide 8: ADHO – Relative Market Shares – Value
ADHO – Relative Market Shares – Value State Relative MS Rank State Relative MS Rank Delhi 4.7 1st Madhya Pradesh 1st 3.8 Rajasthan 1.6 1st Chhattisgarh 7.4 1st Uttar Pradesh 4.0 1st Punjab 1st Central Zone 4.7 1st 3.4 HP-JK 5.1 1st Gujarat 2.1 1st Haryana 4.9 1st Mumbai 3.2 1st Uttaranchal 4.9 1st M
Slide 9: Statewise Market Share
Statewise Market Share LHO Volume Proportion % ADHO Market Share % (Vol) Apr 14 - Mar 15 Saliency Urban Rural Total Urban Rural All India (U+R) 100.0% 63.0% 37.0% 58.9% 56.3% 63.0% Punjab 5.8% 74.7% 25.3% 53.5% 50.9% 61.4% Haryana 5.5% 74.1% 25.9% 60.6% 56.8% 71.6% Delhi 5.8% 100.0% NA 58.7% 58.7% N
Slide 10: Light Hair Oil Market – Key Characteristics
Light Hair Oil Market – Key Characteristics Rural –Urban break up of LHO market Share of Distribution Channels in LHO market Chemists, Cosmetics, Pan Plus , 6% 5% 4% All India Urban dominated Modern Large Grocers dominate - Rural segment due to its Stores, 3% Grocers, distribution, but 36% All India
Slide 11: Cooling Hair Oil Market in India
Cooling Hair Oil Market in India Cooling Hair Oil – Value Cooling Hair Oil – Volume 1,000 934 912 25,000 897 900 20,128 760 19,486 800 20,000 18,520 18,607 667 16,610 700 3M-o-3M –(- 1.2)% 594 14,655 3M-o 3M–( 0.3)% Y-o-Y –(- 2.4)% 600 15,000 485 12,416 Y-o-Y – 8.7% Y-o-Y – (-3.3%) Y-o Y–( -4.5)% KL
Slide 12: Company Overview
Company Overview
Slide 13: Bajaj Corp Ltd. (BCL) – An Overview; Haircare Portfolio
Bajaj Corp Ltd. (BCL) – An Overview Haircare Portfolio Part of Bajaj Group which has business interests Bajaj Almond Drops Hair Oil - A premium perfumed in varied industries including sugar, consumer hair oil containing almond oil and Vitamin E goods, power generation & infrastructure Competitors
Slide 14: Skincare Portfolio
Skincare Portfolio Bajaj NOMARKS Creams for All Skin, Oily Skin & Dry Skin Types, available in sizes 12g & 25g Bajaj NOMARKS Facewash for All Skin, Oily Skin & Dry Skin Types & Neem Facewash, available in sizes 15g, 50g, 100g Bajaj NOMARKS Soaps for All Skin, Oily Skin & Dry Skin Types & Neem Soap,
Slide 15: Bajaj Almond Drops - A Premium Brand
Bajaj Almond Drops - A Premium Brand Strong Market Share Growth in Recent Years . . . But not at the cost of pricing power 70.0% 70 59.5% 60.7% 55 58 60.0% 55.0% 56.9% 60 50.7% 53.0% 46 50 46.5% 50 42 50.0% 40 40.3% 38 40 35 40.0% 36.7% 30 32 28 29 31.4% 30 30.0% 20 20.0% 10 10.0% 0 0.0% 05-06 06-06
Slide 16: Consumer Profile- Almond Drops
Consumer Profile- Almond Drops For Almond Drops the consumer is: — Gender Male- 54% Female- 46% — Age Group 15 to 39 yrs ( 59% of users) — Urban Vs Rural 61% are Urban consumers — Socio Economic Class (SEC)- Urban A1- 10.4% A2- 14.4% B1- 14.4% B2- 11.5% Source – IRS, Q42012 15
Slide 17: Strong Distribution Network
Strong Distribution Network Distribution Network Distribution Structure The company reaches Factory (9) consumers through 2.81mn OWN – Himachal Pradesh -2, Uttarakhand- 1 47 retail outlets serviced by THIRD PARTY - Himachal Pradesh-2, Rajasthan-1, Guwahati- 7221 distributors and 1, Uttarakhand- 2 50
Slide 18: Van Operations
Van Operations Started in FY 13 with a objective of increasing Rural Sales Piloted 39 Vans in Q4 FY 13 Currently operating 101 vans (for Sales) and 6 Video Vans (for Promotions) Vans cover 7705 uncovered Towns and Villages on a monthly basis In Apr- Mar 2015 — Bajaj Almond Drops Hair Oil g
Slide 19: Organization Structure
Organization Structure Chairman Mr. Kushagra Nayan Bajaj Managing Director Mr. Sumit Malhotra Head- President Operations Head International VP – Marketing VP – HR GM- Sales Internal Mr. Apoorv Bajaj Business – Mr. Gurpreet S. Mr. Subhamay Mr. M K Audit Arnab Banerjee Amrit Chatterjee Sachdeva Mr. Ma
Slide 20: Financial Information
Financial Information Summary Income Statement Summary Balance Sheet Particulars Q4FY15 Q4FY14 FY 15 FY 14 Particulars (Rs. In Crore) FY 15 FY 14 (Rs. In Crore) Sales (Net) 235.42 184.18 819.50 670.68 EBITDA 75.05 52.76 242.74 186.65 Shareholders Equity 491.81 522.08 EBITDA Margin 31.88% 28.65% 29.6
Slide 21: EBITDA & PAT Performance
EBITDA & PAT Performance ` in Crore Particulars Q4FY15 Q4FY14 YoY% FY 15 FY 14 YoY% EBITDA 75.05 52.76 42.23% 242.74 186.65 30.05% Profit Before Tax & 80.55 58.43 37.85% 266.29 217.23 22.59% Exceptional Item Exceptional Item (Trademark & 11.75 11.75 46.98 28.60 Intellectual Properties) Profit Before
Slide 22: Profit & Loss Q4 FY2015 and for the year 2014-15
Profit & Loss Q4 FY2015 and for the year 2014-15 ` in Crore Particulars Q4FY15 Q4FY14 YoY% FY 15 FY 14 YoY% Net Sales 235.42 184.18 27.82% 819.50 670.68 22.19% Other Operating Income 0.75 0.33 1.80 1.05 Material Cost 88.05 75.76 315.36 268.75 % of Sales 37.40% 41.14% 38.48% 40.07% Employees Cost 9.8
Slide 23: Sales Performance
Sales Performance Sales (Value) : Sales (Value) : Q4FY14 v/s Q4FY15 FY14 v/s FY15 250 900 800 200 700 In ` Crores In ` Crores 600 150 500 235.42 400 819.50 100 184.18 670.68 300 50 200 100 0 0 Q4 FY14 Q4 FY15 FY 14 FY 15 Sales for the quarter ended March’15 has increased by 27.82% value wise and 2
Slide 24: Statement of Quarter wise Sales (Volume & Value)
Statement of Quarter wise Sales (Volume & Value) STATEMENT OF QUARTERWISE SALES (VOLUME - In Cases ) ADHO KPCO BAHO ASHO AHO Nomarks Others Total % Inc FY 15 FY 14 FY 15 FY 14 FY 15 FY 14 FY 15 FY 14 FY 15 FY 14 FY 15 FY 14 FY 15 FY 14 FY 15 FY 14 over PY Q1 1,123,144 1,134,735 15,805 21,653 9,671 9
Slide 25: Consistent Performance over the last 16 successive quarters
Consistent Performance over the last 16 successive quarters 40.00% 35.00% 31.88% 29.03% 29.24% 30.00% 28.19% 28.76% 28.25% 28.37% 28.65% 28.58% 28.27% 27.09% 27.04% 25.68% 25.51% 24.96% 25.00% 23.17% 20.00% Gr (Value) 15.00% Gr (Vol) EBIDTA 10.00% 5.00% 30.44% 19.96% 31.43% 21.98% 30.75% 20.45% 33.4
Slide 26: Breakup of RM/PM Costs (for FY 15)
Breakup of RM/PM Costs (for FY 15) Key Raw & Packing Material % to Sales % to Total Cost LLP 13.73% 35.96% Glass Bottles 9.19% 24.06% Refined Veg. Oil 3.70% 9.70% Perfumes & other additives 3.19% 8.36% Corrugated Boxes 1.64% 4.30% Caps 2.16% 5.67% Others 4.56% 11.94% TOTAL 38.18% 100.00% * Consumpti
Slide 27: Change in Prices of Key Ingredients
Change in Prices of Key Ingredients Per kg Rates of LLP Per kg Rates of Oil 100.00 100.00 90.00 86.06 84.27 75.85 75.62 90.00 78.81 71.89 70.85 76.16 75.64 73.58 80.00 73.54 75.33 75.01 75.75 80.00 74.03 70.17 69.99 70.92 71.53 70.00 62.38 70.00 60.00 60.00 50.00 2014-15 50.00 2014-15 40.00 2013-14
Slide 28: Fund Position
Fund Position Fund Position: The total Fund available with the company as on 31st March’ 2015 is Rs.315.96Crores This has been invested in Bank Fixed Deposits, Certificate of Deposits of Banks , PSU Bonds, Government Securities and Liquid MFs. There is no investment in ANY Inter Corporate De
Slide 29: Dividend Payout History
Dividend Payout History Dividend per No. of Shares Face Dividend Payout Year % to Capital share (in Lacs) Value (Rs in Lacs) (Rs.) 2014-15 1,475 1 16962.50 1150% 11.50 2013-14 1,475 1 9,587.50 650% 6.50 2012-13 1,475 1 9,587.50 650% 6.50 2011-12 1,475 1 5,900.00 400% 4.00 2010-11 295 5 2,802.50 190%
Slide 30: Corporate Governance
Corporate Governance Bajaj Corp Ltd is a part of the Bajaj Group of companies. The other listed entity in the group is Bajaj Hindusthan Ltd Bajaj Corp Ltd has not and will not transfer funds from and to from any other company within the Bajaj Group The Company acquired in September 2011 (Uptow
Slide 31: Growth Strategy
Growth Strategy Strategy Action Steps Convert coconut hair oil users to light hair oil users through sampling, targeted advertising Market share gains from campaigns, product innovation and creating awareness about product differentiation including other hair oil segments communicating the advanta
Slide 32: Thank You
Thank You