Marico Limited · NSE:MARICO
Marico — Q2 FY2023 Earnings Presentation
22 slides from Marico's earnings presentation, November 2022
Slide 1: Q2 FY23 Results
Q2 FY23 Results NOVEMBER 2022 Marico Information classification: Official
Slide 2: Safe Harbour Statement
Safe Harbour Statement This Release / Communication, except for the historical information, may contain statements, including the words or phrases such as ‘expects, anticipates, intends, will, would, undertakes, aims, estimates, contemplates, seeks to, objective, goal, projects, should’ and similar
Slide 3: Index
Index Macro Overview Performance Outlook Financials Highlights 4 6 13 16 3 Marico Information classification: Official
Slide 4: Operating Environment: Provides no respite
Operating Environment: Provides no respite Geopolitical Tensions Recession Fears Commodity Price Volatility Currency Depreciation Stiff Retail Inflation Soft Consumption Trends 4 Marico Information classification: Official
Slide 5: Index
Index Macro Overview Performance Outlook Financials Highlights 4 6 13 16 5 Marico Information classification: Official
Slide 6: Domestic business steadies the ship after tepid start | International business marches ahead
Domestic business steadies the ship after tepid start | International business marches ahead Q2 FY23 (YoY) Domestic International Consolidated 11% Consol Revenue growth (3 Year 3% 11% 3% CAGR) Volume Growth Constant Currency Revenue Growth Growth 7% EBITDA growth (3 Year CAGR) 17.3% 2% (3%) Consolid
Slide 7: Core: Demand trends in Parachute Coconut Oil & Saffola Oils to stabilize
Core: Demand trends in Parachute Coconut Oil & Saffola Oils to stabilize | VAHO to mirror HPC growth Parachute Coconut Oil Saffola Franchise (Edible Oils + Foods) Value Added Hair Oils Q2FY23 Value Growth Mid and Premium (3%) (11%) High single digit volume growth 4% segments fare 2% Volume Growth Va
Slide 8: Foods: Bounce back to healthy growth
Foods: Bounce back to healthy growth; poised to reach INR 650 cr. in revenues in FY23 Q2 Restages/Launches ~INR 650 cr. Q2 ARR Saffola Honey 26% relaunched “Saffola Honey Active” – Saffola Masala Oats Saffola Soya Bhurji Q2 Value Growth Made with Sundarban Karara Crunch Forest Honey and “Saffola Hon
Slide 9: Premium Personal Care: Building momentum
Premium Personal Care: Building momentum Livon Serums continues to clock double digit growth YoY INR 300 cr. + Q2 ARR 40%+ Set Wet portfolio Q2 Value Growth consistently gaining traction 9 Marico Information classification: Official
Slide 10: Digital First Portfolio: Scaling up in line with expectations
Digital First Portfolio: Scaling up in line with expectations ~INR 250 cr. Q2 ARR ~INR 150 cr. Beardo Q2 ARR 10 Marico Information classification: Official
Slide 11: International Business rolls on | Delivers 11% CCG
International Business rolls on | Delivers 11% CCG Bangladesh South East Asia South Africa MENA 10% New portfolios scaling up 10% HPC segment in Vietnam leads 16% Broad-based growth 11% Stability in the Gulf region and Q2 CCG Q2 CCG Q2 CCG Q2 CCG growth momentum Egypt International Business delivers
Slide 12: Index
Index Macro Overview Performance Outlook Financials Highlights 4 6 13 16 12 Marico Information classification: Official
Slide 13: Near Term Outlook
Near Term Outlook External Stimulus • Retail Inflation and weakening INR subdue macro context • Volatility in commodities except copra; crude oil still firm • Reasonable rainfall season and government subsidies to aid consumption | Rural sentiment recovery remains key Business and Competitive Positi
Slide 14: Driving 4Ds to Make Marico Future-Ready
Driving 4Ds to Make Marico Future-Ready Unlock the next leg of growth through… Diversification Distribution Digital Diversity …..and continue to maintain focus on Grow the Core Cost Management ESG Commitments 14 Marico Information classification: Official
Slide 15: Index
Index Macro Overview Performance Outlook Financials Highlights 4 6 13 16 15 Marico Information classification: Official
Slide 16: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement (in ₹ cr.) P&L Particulars Q2FY23 Q2FY22 Change (%) H1FY23 H1FY22 Change (%) Revenue from Operations 2,496 2,419 3% 5,054 4,944 2% Material Cost 1,407 1,392 1% 2,813 2,881 (2%) ASP 213 194 10% 412 369 12% Employee Cost 166 153 8% 322 303 6% Other Expenses 277 257
Slide 17: Annexure 1: Operating Margin Structure for Marico Limited (Consolidated)
Annexure 1: Operating Margin Structure for Marico Limited (Consolidated) Particulars (% of Revenues) Q2FY23 Q1FY23 Q2FY22 H1FY23 H1FY22 Material Cost (Raw + Packaging) 56.4% 55.0% 57.5% 55.7% 58.3% Advertising & Sales Promotion (ASP) 8.5% 7.8% 8.0% 8.2% 7.5% Personnel Costs 6.6% 6.1% 6.3% 6.4% 6.1%
Slide 18: Annexure 2: Working Capital
Annexure 2: Working Capital Key P&L Particulars Capital Efficiency Ratios Q1FY23 Q2FY23 Debtors Turnover (Days) 27 34 Inventory Turnover (Days) 49 51 Net Working Capital (Days) 20 26 Note: The Company has maintained healthy working capital ratios through the year. 18 Marico Information classificatio
Slide 19: Annexure 3: Market Shares in Key Categories in the India Business
Annexure 3: Market Shares in Key Categories in the India Business - MAT Sep’22 Franchise ~MS% Rank ^ Coconut Oil Franchise 62% 1st ^ Parachute Rigids within Coconut Oils 53% 1st * Saffola Oats 43% 1st ^ Value Added Hair Oils 37% 1st ^ Post wash Leave-on Serums 62% 1st * Hair Gels/Waxes/Creams 54% 1s
Slide 20: Annexure 4: ESG Performance Snapshot (till H1 FY23)
Annexure 4: ESG Performance Snapshot (till H1 FY23) Marico launched its ESG 2.0 framework on June 5, 2022 commemorating the 50th anniversary of World Environment Day Emissions & Energy Water Stewardship Circular Economy Sustainable Coconut Social Value Creation • 76% reduction in GHG • 100% replenis
Slide 21: Annexure 5: Awards and Recognitions
Annexure 5: Awards and Recognitions Marico was awarded the Climate Action Marico was awarded the ESG India Award by Indo-American Corporate Leadership Award for Green Products and Excellence Award (IACE) by IACC Services by Acuite ESG Ratings & ESG Risk Assessment and Insights 21 Marico Information
Slide 22: Thank You
MARICO LIMITED CIN - L15140MH1988PLC049208 7th Floor, Grande Palladium 175, CST Road, Kalina, Santa Cruz (East) Mumbai- 400 098 www.marico.com More Websites: www.artofoiling.com www.saffolalife.com www.niharnaturals.com www.fitfoodie.in www.hairsutras.com www.parachuteadvansed.com www.livonilovemyha