Pidilite Industries Limited · NSE:PIDILITIND
Pidilite Industries — Edelweiss Conference 2014
17 slides from Pidilite Industries's conference presentation, Feb 10, 2014
Slide 1: Presentation to Investors at Edelweiss Conference
Pidilite Industries Ltd. Presentation to Investors at Edelweiss Conference 10th Feb 2014
Slide 2: Disclaimers
Disclaimers This presentation may contain statements which reflect Management’s current views and estimates and could be construed as forward looking statements. The future involves certain risks and uncertainties that could cause actual results to differ materially from the current views being expr
Slide 3: Index
Index o Company Overview o Business Overview o Performance Trends 3
Slide 4: Company Overview
Company Overview o Market Presence o Established since 1959 o Pioneer in Consumer and Industrial Specialty Chemicals o Market Position o Market Leader in most product categories o Strong Portfolio of Brands o Leading household Brand in its category o Diversified Product range o Operation Excellence
Slide 5: Key Milestones
Key Milestones • Consumer Product Division established, • Nationwide • Mumbai, Vapi and Commissioning Distribution set up Mahad plants got ISO certifications Establishing Subsidiaries of Acron brand of Pigment •Thailand • Fevicol ranked as Top Emulsion and 15th Indian Brand • Bangladesh Fevicol adhe
Slide 6: Business Overview: Consumer and Bazaar Products
Business Overview Business Segment - Consumer and Bazaar Products o Adhesive & Sealants (51% of Company’s revenue) Dominant market share across most products / categories. “Fevicol” ranked as India’s 45th Most Trusted Brand in 2012 in Brand Equity’s Most Trusted Brand survey. “Fevicol” ranked as 3rd
Slide 7: Business Overview: Industrial Products
Business Overview Business Segment – Industrial Products o Industrial Adhesive (7% of Company’s revenue) Leadership position with extensive range of products catering to packaging, cigarettes, stickers, labelings, footwear etc. o Industrial Resins (6% of total revenue) Specialty chemicals for indust
Slide 8: Business Overview: Marketing / Advertising
Business Overview Marketing / Advertising o Consistent and effective brand building activities resulting in leading market position across various categories (a) Consumer Adhesives & Sealants (b) Craftsmen Adhesives (c) Waterproofing Chemicals (d) Hobby & Craft Colours o Several of the brands are ge
Slide 9: Business Overview: Strengthening Internal Capabilities
Business Overview Strengthening Internal Capabilities o Management capability strengthened by inducting professional talent at senior levels. o Systems and processes being revamped and automated. o IT platform strengthened through implementation of SAP. 9
Slide 10: Business Overview: Global Presence
Business Overview Global Presence o Exports to more than 70 countries. Major exports to Middle East, Africa, USA & Europe o Export Turnover of Rs. 3440 M in FY’13 o CAGR growth of 17% over last 5 years o 14 Overseas subsidiaries – (4 Direct and 10 Step down) o Total Revenue from Overseas subsidiarie
Slide 11: International Business
Business Overview International Business o USA: o ‘Sargent Arts’ manufactures and sells educational art material. o ‘Cyclo’ sells automotive after market chemicals for domestic and international market. o Brazil: o ‘Pulvitec’ is into Adhesive, sealants and construction chemicals business. o Large ma
Slide 12: International Business
Business Overview International Business o Bangladesh & Egypt: o Bangladesh manufactures Adhesives & Sealants. o Established Trading arm to cater to growing Bangladesh market o Egypt manufactures Adhesive and trades in select product categories. o Thailand, Dubai and Singapore: o Companies acquired
Slide 13: International Business Roadmap / Strategy
Business Overview International Business Roadmap / Strategy o SAARC / ME / Africa o Increased focus and resource allocation. Company well positioned to build strong brands and achieve good growth in these markets. o North America o Gradually improve sales growth and profitability by increased focus
Slide 14: Performance Trend
Performance Trend Pidilite - Standalone Sales Rs Mn 35,287 EBIT Rs Mn 6,215 29,579 24,883 4,779 4,494 19,074 20,240 3,575 17,024 12,901 2,403 1,950 1,602 FY'07 FY'08 FY'09 FY'10 FY'11 FY'12 FY'13 FY'07 FY'08 FY'09 FY'10 FY'11 FY'12 FY'13 o Sales grew by 18% CAGR and EBIT by 25% CAGR in the last 6 ye
Slide 15: Performance Trend: Consistent Dividend Payouts
Performance Trend Consistent Dividend Payouts o The dividend payout amount has grown at a CAGR of 32% during the last 5 years. Note : Dividend Payout =Dividend (incl Dividend Tax) / PAT 15
Slide 16: Key Investment Consideration
Key Investment Consideration o High market share and strong position in most products and segments. o Strong portfolio of brands. o Majority sale from products and segment pioneered in India. o Focus on growing business in India (81% revenue from products sold in India) o Track record of consistent
Slide 17: Contact Information
Contact Information For reported financials, pl visit our website www.pidilite.com