Slide 1: Pidilite Investor Presentation cover letter
-00110" Pidilite 19" September, 2018 The Secretary The Secretary BSE Ltd. National Stock Exchange of India Ltd. Corporate Relationship Dept., Exchange Plaza, Plot no. C/1, G Block, 14' floor, P. J. Tower, Bandra-Kurla Complex, Dalai Street, Fort Bandra (E), Mumbai - 400 001 Mumbai - 400 051 Stock Co
Slide 2: Investor Presentation
Investor Presentation Investor Presentation
Slide 3: Presentation Structure
Presentation Structure ,4•••=lown., Pidilite • Company Overview • Business Overview • Macro Indicators • Strategic Direction • Key Consideration 2
Slide 4: Company Overview
Company Overview ,4•••=lown., Pidilite • Brand established in 1959 • Pioneer in Consumer & Specialty Chemicals in India • Over 2/3rd of sales from products and segments pioneered in India • High market share and strong position in most products and segments • Consistent growth in sales, profits and
Slide 5: Sustainable strong growth
Sustainable strong growth … Pidilite In Rs Millions 70,000 16,000 60,324 13,743 60,000 14,000 12,000 50,000 10,000 40,000 36,579 8,000 30,000 6,009 6,000 20,000 17,082 4,000 2,267 10,000 2,000 - - 2007-08 2012-13 2017-18 2007-08 2012-13 2017-18 Consolidated Net Sales (Rs Millions)** Consolidated PBI
Slide 6: Q1 FY 18-19 Revenue & Profit
Q1 FY 18-19 Revenue & Profit Pidilite In Rs Millions 4,000 20,000 3,841 18,181 18,000 3,500 3,335 16,000 15,218 3,000 14,000 2,500 12,000 10,000 2,000 Q1 FY 2017-18 Q1 FY 2018-19 Q1 FY 2017-18 Q1 FY 2018-19 Consolidated Net Sales (Rs Millions)** Consolidated PBIT (Rs Millions)* **Sales net of excise
Slide 7: Creating value for shareholders
….Creating value for shareholders Pidilite 500,000 4000 466,424 3,667 450,000 41 3500 400,000 3000 2931 38.4 39 350,000 2561 2500 300,000 37 250,000 2000 1789 1619 200,000 1500 34.4 35 34.1 150,000 134,876 .•••••"EN 33.8 1000 33.1 100,000 33 500 50,000 33,624 - 0 31 2007-08 2012-13 2017-18 FY14 FY15
Slide 8: Presentation Structure
Presentation Structure Pidilite • Company Overview • Business Overview • Macro Indicators • Strategic Direction • Key Consideration 7
Slide 9: Our Business Dimensions
Our Business Dimensions Construction/ Paint Chemicals {20%} • Industrial Resins {5%} Industrial Adhesives {4%} Art/Craft Materials & Others {9%} C&B – Consumer & Bazaar, N IP 15% C&B 84% Pigment & Preparation {6%} IP – Industrial Products, Standalone Results – % of Total Sales – As of 31 Mar 2018 Ot
Slide 10: Consumer & Bazaar
Consumer & Bazaar Pidilite Our Brands Fevicol SH Marine SR998 Probond • MR FEVECH Fevikwik M-seal Dr Fixit Fevicryl Woodgrip 9
Slide 11: Consumer and Bazaar Products – 84% of Company's Sales
Consumer and Bazaar Products – 84% of Company’s Sales ,4•••=lown., Pidilite • Consists of Adhesives & Sealants (55%), Construction & Paint Chemicals (20%) and Art/Craft Materials and others (9%) • Strong position in all segments of adhesives and sealants, construction chemicals (retail segment) and
Slide 12: Industrial Products
Industrial Products „,,,,joimomma Pidilite 11111 Industrial Resins & Leather chemicals Industrial Products – Business Segments 1 _.....-----.--..------P • Hot melt adhesives for end-of-line packaging, book binding and product assembly • Resins for Paints, Paper & Textiles • Adhesives for Footwear in
Slide 13: Industrial Products - 15% of company's sales
Industrial Products - 15% of company’s sales ,4•••=lown., Pidilite • Consists of Industrial Adhesives (4%), Industrial Resins (5%), Pigments and Preparations (6%) • Extensive range of industrial adhesives for various applications. • Strong position in pigment dispersions for Indian textile segments
Slide 14: Business Overview – Global Presence
Business Overview – Global Presence ,4•••=lown., Pidilite • Exports to more than 80 countries. Major exports to Middle East, Africa, USA & Europe • Export Turnover of Rs. 5,185 Mn in FY’18 • 17 Overseas subsidiaries – (5 Direct and 12 Step down)and one Joint venture. • Total Revenue from Overseas su
Slide 15: Business Overview: International Subsidiaries
Business Overview : International Subsidiaries Pidilite North America SAARC / SEA • Sargent Arts is a leading supplier of quality art materials to • Bangladesh: No. 1 player manufacturing adhesives, sealants. the educational and retail markets throughout the United Growing & profitable business, and
Slide 16: Engaging & humorous advertisements
We continue to deliver promise through our engaging & humorous ,000 advertisements „0 Pidilite • Dr. Fixit’s new TV advertisement with superstar Amitabh Bachchan as brand ambassador was a multimedia national marketing campaign across TV, digital, radio, retail activations and innovative ; FeVililatb
Slide 17: Periodic recognition
And our efforts have resulted in periodic recognition ,4•••=lown., Pidilite • Dun & Bradstreet Corporate Awards 2018 felicitated the best performing companies in India across 50+ sectors; Pidilite was selected as the winner in the Chemical sector 16
Slide 18: Presentation Structure
Presentation Structure Pidilite • Company Overview • Business Overview • Macro Indicators • Strategic Direction • Key Consideration 17
Slide 19: Macro indicators provide strong impetus
Macro indicators provide strong impetus.. Pidilite GDP GROWTH STORY INTACT BY 2030, 40% OF INDIA WILL LIVE IN CITIES 600 Urban Population (M) 590 GDP Growth (%) 500 10.0% 400 340 9.0% 290 300 220 8.0% 200 7.0% 6.0% 100 5.0% 0 1991 2001 2008 2030 Q1 FY Q2 FY Q3 FY Q4 FY Q1 FY Q2 FY Q3 FY Q4 FY Q1 FY
Slide 20: Presentation Structure
Presentation Structure Pidilite • Company Overview • Business Overview • Macro Indicators • Strategic Direcutili • Key Consideration 19
Slide 21: Strategic roadmap
Strategic roadmap ,4•••=lown., Pidilite 1 2 3 Take existing Penetrate rural plus Identify & prioritize businesses to Full small town new opportunities Potential opportunity 4 Ensure aligned, energized organization Shareholder Value 20
Slide 22: Existing business to full potential
Existing business to full potential ,4•••=lown., Pidilite • Accelerate Sales Growth • Drive penetration • Increase consumption • Improvement in market share • Focus on identified International Markets • Robust Innovation • Stage-gate process • Focus on Fewer Bigger Better innovations 21
Slide 23: Penetrate rural plus small town opportunity
Penetrate rural plus small town opportunity ,4•••=lown., Pidilite 1Bn+ consumers Revamp route to market and Opportunity with 84% of activation process India’s population 22
Slide 24: Digital is the future
Digital is the Digital is the future... future… and and we are future we are future ready! ready! • • 23 23
Slide 25: Strategically identified inorganic growth opportunities
We have strategically identified inorganic growth opportunities.. .„4•••••pown, Pidilite Premium Wood Finish ICA PIDILITE Turnkey Water Proofing Solutions NINA WATERP RUOFIN G SYSTEMS Floor Coating CIPY Polyurethanes 24
Slide 26: Ensure aligned, energized organization
Ensure aligned, energized organization ,4•••=lown., Pidilite Persistent innovation focused on continuous improvement Deep insight into each Holistic brand management domain, leading to that builds strong emotional continuous identification of connect with users, Major Initiatives influencers & consu
Slide 27: Presentation Structure
Presentation Structure ,4•••=lown., Pidilite • Company Overview • Business Overview • Macro Indicators • Strategic Direction • Key Consideration 26
Slide 28: Key Consideration
Key Consideration ,4•••=lown., Pidilite • High market share and strong position in most products and segments • Strong portfolio of trusted brands • High mix of sale from products / segments pioneered by Pidilite in India • Track record of consistent growth in Sales and Profits • Enough headroom to
Slide 29: Questions
Questions Questions
Slide 30: Investor Contacts
Investor Contacts ,4•••=lown., Pidilite Investor Relations - investor.relations@pidilite.co.in Savithri Parekh, 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 29