Jyothy Labs Limited · NSE:JYOTHYLAB
Jyothy Labs — Q4 FY2023 Earnings Presentation
34 slides from Jyothy Labs's earnings presentation, May 3, 2023
Slide 1: Analyst Meet Presentation cover letter to exchanges
May 3, 2023 To, National Stock Exchange India Limited Exchange Plaza, C-1, Block-G, Bandra Kurla Complex, Bandra – (East). Mumbai - 400051 Scrip Code: JYOTHYLAB BSE Limited Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai - 400023 Scrip Code: 532926 Dear Sirs, Sub: Analyst Meet Presentation With refe
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Slide 3: Stronger than ever! Q4FY23 & FY23
Stronger than ever! Q4FY23 & FY23 May 3, 2023 2
Slide 4: Content Flow
Content Flow 01. Overview 03. Our Performance Journey 05. Brand Performance & Initiatives 04. Result Highlights 02. Key Highlights of the 06. Way forward Year 3
Slide 5: Overview
OVERVIEW • Founded in 1983 by a first generation entrepreneur, our ‘Chairman Emeritus’ Mr. MP Ramachandran. ~Rs 2486 cr Revenue in FY 2023 • Jyothy Labs is primarily in Home Care and Personal Care 2.8 Mn Outlets – Pan India availability segments which constitute 50% of the Indian FMCG industry. 1.1
Slide 6: Key Highlights of the Year
KEY HIGHLIGHTS OF THE YEAR Revenue • Jyothy Labs delivered a top-line growth of 13.2% for the year Crossed and EBITDA grew by 27.2%. Rs 2,486cr • Market share gains across brands. 9 Celebrities endorsing our Ebitda at brands Rs 316 crores R • Achievements: I PAT at - Distribution - crossed 1.1mn dir
Slide 7: Performance Across Categories
PERFORMANCE ACROSS CATEGORIES Growth (%) Q4FY23 20.1% 8.7% 0.9% 12.1% Q4FY23 19.1% 10.4% -4.2% 11.9% (2Y CAGR) Q4FY23 17.9% 17.5% 7.6% 20.1% (3Y CAGR) FY23 29.3% 8.4% -20.2% 8.7% 6
Slide 8: Input Prices Remain at Elevated Levels
INPUT PRICES REMAIN AT ELEVATED LEVELS… Unit Currency Mar-20 Mar-21 Mar-22 Mar-23 % Increase % Inc/Dec Key Products (Mar’23 vs (Mar’23 vs Mar’20) Mar’21) Linear Alkyl Benzene ** Tonne $ 1195 1580 1743 1523 27% -4% Caustic Soda LYE * Tonne $ 331 341 850 440 33% 29% Crude Palm Oil *** Tonne $ 690 1269
Slide 9: Result Highlights – Q4FY23 Snapshot (Consolidated)
RESULT HIGHLIGHTS – Q4FY23 SNAPSHOT (CONSOLIDATED) Revenue at Rs 617 Crores increased by 12.8% Gross Margin at 45.7% from 41.4% in the same period last year A&P Spend at Rs 45.9 Crores (7.4% of Net Sales) versus Rs 39.1 Crores (7.2% of Net Sales) in the same period last year, an increase by 17.5% Op
Slide 10: Result Highlights – FY23 Snapshot (Consolidated)
RESULT HIGHLIGHTS – FY23 SNAPSHOT (CONSOLIDATED) Revenue at Rs 2,486 Crores increased by 13.2% Gross Margin at 42.3% from 41.6% in the same period last year A&P Spend at Rs 174.3 Crores (7% of Net Sales) versus Rs 161.1 Crores (7.3% of Net Sales) in the same period last year, an increase by 8.2% Ope
Slide 11: Category Wise Net Revenue
CATEGORY WISE NET REVENUE Q4FY23 FY23 Q4 FY23 Revenue Growth 30% CY PY GR% CY PY GR% 26.0% Ujala FW, CS & IDD, Fabric Care 255 212 20.1% 1,056 817 29.3% 20% Henko, Mr. White 12.8% Exo & Pril 206 190 8.7% 865 8.4% 10.4% Dishwashing 798 10% Household JLL Maxo 80 79 0.9% 212 265 -20.2% 0% Insecticides
Slide 12: Q4FY23 & FY23 Snapshot of Company's Performance (Consolidated)
Q4FY23 & FY23 SNAPSHOT OF COMPANY’S PERFORMANCE (CONSOLIDATED) QUARTER ENDED YEAR ENDED PARTICULAR/GROWTH CY PY % CHANGE CY PY % CHANGE REVENUE FROM OPERATION 617 547 12.8% 2,486 2,196 13.2% OPERATING EBITDA 91.3 57.3 59.4% 315.9 248.2 27.2% PAT 59.3 36.9 60.4% 239.7 159.1 50.7% Financial Parameters
Slide 13: Financial Highlights (Consolidated)
FINANCIAL HIGHLIGHTS (CONSOLIDATED) Net Worth (Rs in crores) Working Capital in Days 25 1,750 1,549 20 1,429 1,444 20 1,500 15 1,250 15 13 1,000 10 750 500 5 250 0 0 Mar-21 Mar-22 Mar-23 Mar-21 Mar-22 Mar-23 ROE Gross Debt equity ratio 35.0% 29.7% 31.4% 0.14 30.0% 24.2% 0.12 25.0% 0.10 0.09 0.08 20.
Slide 14: EBITDA Movement (Consolidated)
EBITDA MOVEMENT (CONSOLIDATED) Consolidated PARTICULARS Q4FY23 FY23 EBITDA % - PREVIOUS PERIOD 10.5% 11.3% GROSS MARGIN 4.3% 0.7% EMPLOYEE COST 0.5% 0.6% ADVERTISEMENT & SALES PROMOTION -0.3% 0.3% OTHER EXPENDITURE -0.2% -0.2% EBITDA % - CURRENT PERIOD 14.8% 12.7% 13
Slide 15: Brand Performance & Initiatives
BRAND PERFORMANCE & INITIATIVES 14
Slide 16: Category Wise Business Share
15 Fabric Care (Main wash) 32% Q4 FY2023 Fabric Care (Post wash) Dishwashing 33% 10% Category Wise Laundry & Others Business Share 4% HI Personal 13% Care 8% 15
Slide 17: Our Brand Strategy and Results for FY23
Our Brand Strategy and Results for FY23 Fabric Care Dishwash Household Insecticide Personal Care Build Scale in a highly Gain Market Share in Strategy Mitigate category Strengthening on competitive large a fast growing challenges Margo franchise category category Promote Coils as a safer New Brand E
Slide 18: FY23 Category Wise Performance
FY23 CATEGORY WISE PERFORMANCE • Fabric Care takes a leap in FY23 • A strong value proposition in detergents coupled with resilient focus on distribution A *Val in crores 29.3% aided the leap. • Foray into liquid detergents is showing 1056 positive results and has strengthened the 8.4% portfolio giv
Slide 19: Driving Urban and Rural Distribution
DRIVING URBAN AND RURAL DISTRIBUTION FY23 HIGHLIGHTS: Crossed 1.1 Million Direct reach first time ever Daily focus on adding new outlets Channel partners aligned towards distribution footprint increase Van & moped sales model operational as part of rural expansion 18
Slide 20: Embracing Technology
EMBRACING TECHNOLOGY Move towards DMS implementation Move from Manual collection of Move towards Analytics to drive point of sale (Botree) at RD/SD point orders to SFA lead • Geo Fencing • Mobile Aadhar/CRS order generation • All orders thru SFA only – bifurcation of personal visit or tele calling •
Slide 21: Fabric Care: Ujala (Post Wash & Detergent)
FABRIC CARE: UJALA (POST WASH & DETERGENT) Ujala Supreme held its market Ujala Detergent held its market Ujala Crisp & Shine consistently share at 84% in MQ23 vs same share in Kerala 21.9% at MQ23 vs gained consumer demand and period LY. same period LY. grew over LY. Continued ATL media Continued AT
Slide 22: Fabric Care: Henko
FABRIC CARE: HENKO Henko Stain Care Powder detergent grew in Continued robust performance of double digits delivering robust performance Henkomatic Liquid Detergent in Q4. across channels. Henko Liquid Detergent has registered a positive acceptance in its first year of launch. Focus on new markets w
Slide 23: Fabric Care: Mr. White and Morelight
FABRIC CARE: MR.WHITE AND MORELIGHT Mr White – Our mid price detergent brand registered a Morelight brand is focused strong double-digit growth in towards mass segment of the Q4 vs same period last year. category that aid in stain removal and is designed to Value driven product mix and ensure no adv
Slide 24: Dishwash: Exo Bar & Scrubber
DISHWASH: EXO BAR & SCRUBBER Consistent effort on brand has Category growing at 9%, Exo grew at Differentiated brand positioning and enabled it to become stronger No: 2 a faster pace at 11% in CY22 proposition. player in the category Antibacterial efficacy through the Goodness of Brand registered st
Slide 25: Dishwash: Pril Liquid & Bar
DISHWASH: PRIL LIQUID & BAR Increasing reach and driving trials continues Brand continues to focus on its key to be a key focus area for the brand.. development areas Consistent drive on LUP enabled Premium Variant Pril Tamarind, trials with consumers and get owing to superior delivery has double di
Slide 26: Dishwash: Winning with the Consumer
DISHWASH: WINNING WITH THE CONSUMER High impact sponsorships: High Decibel TV & Digital Campaign 360 degree Offtake inducement activity for 600g pack launch in WB Chef v/s Fridge Hoarding, TVC, Radio integration & campaign, Print ad campaign, Posters & danglers POSMs at vantage points Driving engage
Slide 27: Household Insecticide: Maxo Liquid & Coil
HOUSEHOLD INSECTICIDE: MAXO LIQUID & COIL The category ex incense sticks declined by Seasonal shifts contributed to the decline 2%. Liquid refill grew by 2% while Coils in the overall category across many declined by 9% in FY23 months through the year. Brand registered single digit ATL marketing sup
Slide 28: Personal Care: Margo
PERSONAL CARE: MARGO Consistent brand investments across Brand registered a robust double-digit mediums promoting & advocating the growth in Q4 vs same period LY. benefits of Neem helped brand register a strong growth in FY23. Special emphasis on social media to target younger Target New campaign fe
Slide 29: Personal Care: Introducing Margo Neem Naturals
PERSONAL CARE: INTRODUCING MARGO NEEM NATURALS The new Margo Neem Naturals combines the goodness of 100% original neem with Rose, Almond Oil, Jasmine, Aloe Vera, Honey & Lemon in three different & exciting variants. The brand is poised to increase its presence in the toilet soap category nationally.
Slide 30: The confidence of celebrities on Jyothy Brands!
The confidence of celebrities on Jyothy Brands! 29
Slide 31: Way Forward
WAY FORWARD • Focus on top line growth with balancing margins • Distribution strategy to further strengthen direct reach, rural footprint and use of digital technology to enhance sales efficiency • Higher allocation of resources towards Brand Building initiatives and manufacturing capacities • Expec
Slide 32: Shareholding Pattern
SHAREHOLDING PATTERN As on 31 March 2023 FII 14.09% DII 17.25% Promoter and Promoter Group 62.89% FII Public DII 5.77% Public Promoter and Promoter Group 31
Slide 33: Disclaimer
DISCLAIMER Some of the statements in this communication may be forward looking statements within the meaning of applicable laws and regulations. Actual results might differ substantially from those expressed or implied. Important developments that could affect the Company’s operations include change
Slide 34: Thank You
THANK YOU Contact for any queries Sanjay Agarwal – CFO Email: Sanjay.Agarwal@Jyothy.com Contact No: +91 22 6689 2800/+91 9167012328 33