Pidilite Industries Limited · NSE:PIDILITIND
Pidilite Industries — Investor Presentation (February 2019)
38 slides from Pidilite Industries's investor presentation, Feb 11, 2019
Slide 1: Pidilite – Investor Presentation cover letter
Pidilite 11th February, 2019 The Secretary The Secretary BSE Ltd. National Stock Exchange of India Ltd. Corporate Relationship Dept., Exchange Plaza, Plot no. C/1, G Block, 14Th floor, P. J. Tower, Bandra-Kurla Complex, Dalai Street, Fort Bandra (E), Mumbai - 400 001 Mumbai - 400 051 Stock Code — 50
Slide 2: Investor Presentation
Investor Investor Pres entation Presentation
Slide 3: Agenda
Agenda ,00liimwal.,, Pidilite • Company Overview • Business Overview • Macro Indicators • Strategic Direction • Key Consideration
Slide 4: Company Overview
Company Overview ,soilomm.„, Pidilite I 011M11.6 0 Since 1959 No. 1 Adhesives >5300 permanent •••••••••••• Operations in India’s Super 50 company in India employees 9 countries Company hti 23 Mfg. Plants & >500 Exporting to 18 International & 3 R&D 23 Co Makers in India Products >80 countries 9 Dome
Slide 5: Sustainable Strong Growth
Sustainable Strong Growth … ,oi•••••;131,. Pidilite Revenue Growth Trend Over Last 10 Years EBITDA Growth Trend Over Last 10 Years 70,000 16,000 25% 60,324 14,000 13,449 60,000 23% 12,000 22% 50,000 21% 10,000 40,000 36,579 8,000 19% 30,000 6,005 6,000 17% 20,000 17,082 16% 4,000 2,412 10,000 15% 2,
Slide 6: Creating value for shareholders
….Creating value for shareholders ,sio•INIFINN Pidilite Market Cap 10 Year Trend Dividend Payout Trend 5,00,000 4,66,424 4000 3,667 4,50,000 41 3500 4,00,000 2931 3000 38.4 39 3,50,000 2561 3,00,000 2500 37 2,50,000 2000 1789 1619 2,00,000 1500 34.1 34.4 35 1,50,000 1,34,876 33.8 1000 33.1 1,00,000
Slide 7: Agenda
Agenda ,00liimwal.,, Pidilite • Company Overview • Business Overview • Macro Indicators • Strategic Direction • Key Consideration
Slide 8: Our Businesses
Our Businesses Our Businesses Consumer & Consumer Bazaar &Bazaar Consumer Products Consumer Products –– Woodworking, Woodworking, Maintenance Maintenance and Arts, and Arts, Wall and Wall and Wood Wood Construction Chemicals Construction Chemicals Stationery, Fabric Stationery, Fabric Finishes Finis
Slide 9: Our Businesses: Revenue Split
Our Businesses: Revenue Split Pidilite Pigment & Preparation {6%} Industrial Resins {5%} Others {1%} Industrial Adhesives {4%} Art/Craft Materials & Others {9%} IP Fevicryl Ie 15% stik ONE DROP iar Fevi kvin INSTANT ADHESIVE C&B L 84% FEVICOL 7n- s-ezd- THE ULTIMATE ADHESIVE Adhesives & Sealants {55
Slide 10: C&B Businesses
C&B Businesses Pidilite 84% Strong Brands 17-71DR. Of Company’s Revenue ONE DROP INSTANT ADHESIVE Fevi kwi FIXIT' FEVICOL THE ULTIMATE ADHESIVE WATERPROOFING EXPERT Adhesives & Sealants : 55% ler Paint Chemicals : 20% FEVICOL Fevicryl® Art, Craft, Stationary etc. : 9% ied.11111111 kl Market Leader E
Slide 11: Industrial Businesses
Industrial Businesses ,00liimwal.,, Pidilite 15% Industrial Products: - Specialty polymers and co-polymers Of Company’s Revenue - Hot melt adhesives Industrial Adhesives : 55% Industrial Resins : 20% - Adhesives for Footwear, Leather Pigments and Preparations : 9% - Organic & high-performance Pigmen
Slide 12: Global Footprint
Global Footprint ,00liimwal.,, Pidilite International manufacturing activities in: INR 5,185 mn Export Turnover FY18 - USA - Brazil - Thailand Export to.. - Bangladesh - Egypt 80+ Countries - - Dubai Sri Lanka - Singapore 18 New manufacturing facilities planned in Ethiopia and Kenya Overseas Subsidi
Slide 13: Global Footprint: Int'l Subsidiaries
Global Footprint : Int’l Subsidiaries ,00liimwal.,, Pidilite North America SAARC / SEA • Sargent Arts is a leading supplier of quality art materials • Bangladesh: No. 1 player manufacturing adhesives, to the educational and retail markets throughout the sealants. Growing & profitable business, and i
Slide 14: We continue to deliver value through high quality customer connect
We continue We to deliver continue to deliver value value through through high quality customer high quality customer connect. connect.
Slide 15: Regular Recognition
Regular Regular Recognition Recognition
Slide 16: Agenda
Agenda ,00liimwal.,, Pidilite • Company Overview • Business Overview • Macro Indicators • Strategic Direction • Key Consideration
Slide 17: Macro indicators provide strong impetus
Macro indicators provide strong impetus.. A•••••• Pidilite GDP GROWTH STORY INTACT BY 2030, 40% OF INDIA WILL LIVE IN CITIES GDP Growth (%) 600 Urban Population (M) 590 8.5% 8.1% 8.2% 7.7% 500 8.0% 7.6% 400 340 7.5% 7.0% 7.1% 7.0% 6.8% 290 6.3% 300 220 6.5% 6.1% 6.0% 5.6% 200 5.5% 100 5.0% 0 I II Q1
Slide 18: Agenda
Agenda ,00liimwal.,, Pidilite • Company Overview • Business Overview • Macro Indicators • Strategic Direction • Key Consideration
Slide 19: How we view our portfolio
How we view How we view our our portfolio portfolio
Slide 20: How we grow our core at 1-2X of GDP
How we grow our core at 1-2X of GDP ,00liimwal.,, Pidilite 1. DRIVE PENETRATION CORE 2. INNOVATE 3. PREMIUMIZE
Slide 21: How we grow our core: Drive Penetration
How we grow our core at 1-2X of GDP „4.0••••• Pidilite 1. DRIVE PENETRATION Case Study: Fevikwik Exhaustive immersions to collect insights Usage • CORE Driving Penetration Through Identify usage patterns and accordingly select target segments Target Segments Focused media strategy to reach target se
Slide 22: How we grow our core: Innovate
How we grow our core at 1-2X of GDP o•••• A Pidilite 2. INNOVATE Ease Ease of of Reach Reach Use Use Odd Odd Case Study: Fevicol Ezeespray Spaces Spaces Last Last Minute Minute Finishing Finishing Fast Grab & Rapid Bonding Excellent Heat Resistance Application Control TEVICOL Nff
Slide 23: How we grow our core: Premiumize
How we grow How we grow our our core at 1-2X core at 1-2X of GDP of GDP 3. 3. PREMIUMIZE PREMIUMIZE Case Study: Case Study: Evolution of Fevicol Evolution of Fevicol
Slide 24: How growth businesses grow at 2-4X of GDP
How growth businesses grow at 2-4X of ,00liimwal.,, Pidilite GDP GROWTH 1. CREATE CATEGORIES CORE 2. WHOLISTIC BRAND MANAGEMENT
Slide 25: Create Categories
How How growth growth businesses businesses grow at 2-4X grow at of 2-4X of GDP GDP 1. CREATE CATEGORIES 1. CREATE CATEGORIES Few examples.. Few examples..
Slide 26: Wholistic Brand Management
How growth businesses grow at 2-4X of Pidilite GDP 2. WHOLISTIC BRAND MANAGEMENT Messaging Driving need of waterproofing by Driving need of Communicating importance of showing consequences of not • waterproofing right waterproofing doing it Right iai.r,•110..,•1••• Waterproofing is using right quant
Slide 27: Our Pioneer Categories
Our Pioneer Categories Pidilite Largest player in specialized floor coatings Acquisition for establishing place in resin flooring and floor coatings market. GROWTH CORE Technical collaboration aimed at providing a comprehensive range of Thermoplastic Hot Melt Jowat Klebstoffe adhesives for catering
Slide 28: Organisation-wide Cross-cutting Themes
Organisation-wide Cross-cutting Themes ,00liimwal.,, Pidilite CROSS-CUTTING 1. SALES & DISTRIBUTION EXCELLENCE THEMES 2. GOING DIGITAL 3. CULTURE AS A COMPETITIVE EDGE
Slide 29: Sales & Distribution Excellence
Organisation-wide Cross-cutting Organisation-wide Cross-cutting Themes Themes 1. SALES & 1. SALES & DISTRIBUTION DISTRIBUTION EXCELLENCE EXCELLENCE
Slide 30: Sales & Distribution Excellence
Organisation-wide Cross-cutting Organisation-wide Cross-cutting Themes Themes 1. SALES & 1. SALES & DISTRIBUTION DISTRIBUTION EXCELLENCE EXCELLENCE
Slide 31: Going Digital
Organisation-wide Cross-cutting Organisation-wide Cross-cutting Themes Themes 2. GOING DIGITAL.. 2. GOING DIGITAL.. Leveraging Leveraging potential potential of data, predictive of data, predictive and and prescriptive analytics to prescriptive analytics to transform transform Ways Ways of of Workin
Slide 32: Culture as a Competitive Edge
Organisation-wide Cross-cutting Themes Pidilite 3. CULTURE AS A COMPETITIVE EDGE Idea Youthful Meritocracy Communication Culture which is ro-eneurial Action- Celebration Oriented
Slide 33: Pidilite Strategy on a hand
Wholistic brane management that builds Pidilite Strategy strong emotional connect with users, influencers & consumers on a hand. focused on continuous improvement Deep insigh, into each domain, leading to continuous identification working of Major Initiatives together with passion Passionate about p
Slide 34: Agenda
Agenda ,00liimwal.,, Pidilite • Company Overview • Business Overview • Macro Indicators • Strategic Direction • Key Consideration
Slide 35: Key Consideration
Key Consideration ,00liimwal.,, Pidilite • High market share and strong position in most products and categories • Strong portfolio of trusted brands • High mix of sale from products / categories pioneered by Pidilite in India • Track record of consistent growth in Sales and Profits • Enough headroo
Slide 36: Questions?
Pidilite Questions? VOW FEV ICOL •
Slide 37: Thank You
Pidilite Thank You VOW FEV ICOL •
Slide 38: Investor Contact
.•••• Investor Contact A Pidilite Investor Relations - investor.relations@pidilite.co.in Manisha Shetty, Additional Company Secretary Pidilite Ramkrishna Mandir Road, Off Mathuradas Vasanji Road, Andheri (E), Mumbai - 400 059. Phone : +91 22 67697000 CIN : L24100MH1969PLC014336 Fax : +91 22 28216007
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