Honasa Consumer Limited · NSE:HONASA
Honasa Consumer — Q4 FY24 Earnings Presentation
23 slides from Honasa Consumer's earnings presentation, May 23, 2024
Slide 1: Stock exchange filing letter for investor presentation
May 23, 2024 To, To, Listing Department Listing Department NATIONAL STOCK EXCHANGE OF INDIA LIMITED BSE LIMITED Exchange Plaza, C/1, Block G, P. J. Towers, Bandra Kurla Complex, Bandra (E), Dalal Street, Mumbai – 400 051 Mumbai – 400 001 Scrip Symbol: HONASA Scrip Code: 544014 Sub: Investor Presenta
Slide 2: Q4 & FY24 Results Investor Communication
Q4 & FY24 Results Investor Communication Q2 & H1 FY24
Slide 3: Disclaimer
Disclaimer By accessing, viewing or attending this presentation, you accept and agree to be bound as follows: This Presentation is prepared by Honasa Consumer Limited (“Company”) and contains certain forward-looking statements including those describing Company’s strategies, strategic direction, obj
Slide 4: Table of Contents
Table of Contents 1 Financial Snapshot – Q4FY24 & Full Year FY24 2 Business Overview 3 Impact Assessment Report Snapshot 4 Financials Summary 3
Slide 5: Honasa delivered 23% LFL YoY growth with UVG of 7%+ in Q4FY24
Honasa Consumer delivered 23% LFL YoY growth with a UVG of 27%+ in Q4FY24 1 2 3 4 INR 471 Cr 70.0% 7.0% Revenue from Operations Gross Profit % EBITDA % 21.5% YoY Growth EBITDA: INR 33 Cr 186 bps LFL1 improvement YoY LFL Growth1 23.3% 780 bps improvement YoY INR 30 Cr 27.5% INR 81 Cr Profit After Tax
Slide 6: In FY24, the business delivered LFL growth of 31%+
In FY24, the business delivered LFL growth of 31%+ with significant 1 2 3 4 improvement in EBITDA INR 1,920 Cr 69.8% 7.1% Revenue from Operations Gross Profit % EBITDA % 28.6% YoY Growth EBITDA: INR 137 Cr 37 bps LFL1 improvement YoY LFL Growth1 31.6% 562 bps improvement YoY INR 111 Cr 41% INR 224 C
Slide 7: Strong operating performance with improving profitability
Strong operating performance with improving profitability 1 2 3 4 EBITDA (INR Cr) Q4’ 24 FY24 EBITDA% (0.8%) 7.0% 1.5% 7.1% 33 137 23 (3) FY23 FY24 Q4' 23 Q4' 24 Profit After Tax (INR Cr) Q4’ 24 FY24 PAT% (41.7%) 6.5% (10.1%) 5.8% 111 (162) 30 (151) Q4' 23 Q4' 24 FY23 FY24 Includes Just4Kids (Momspr
Slide 8: Business Update
1 2 3 4 Business Update 7
Slide 9: Transitioning to a future ready distribution in GT
Transitioning to a future ready distribution in GT with short term primary impact… 1 2 3 4 Creating a stronger direct distribution with high quality data visibility 1 2 3 Onboarding better quality Phased Distribution Transition Future ready automation distributors • Focusing on “Tier-1” distributors
Slide 10: Mamaearth offtakes remain strong owing to consumer love for the brand
… whereas offtakes for Mamaearth continue to remain strong owing to the 1 2 3 4 consumer love for the brand 3x Faster growth than competition Increasing Value Market Share2 across Key Categories SHAMPOO FACEWASH 21% +120 bps +40 bps YoY improvement YoY improvement 7% as of Mar’24 as of Mar’24 Other
Slide 11: The Derma Co scaled to an ARR of INR 500 Cr+
The Derma Co scaled to an ARR of INR 500 Cr+ during Q4FY24, while being 1 2 3 4 profitable through the year Leading category development in actives space Launch of 1% Kojic Acid Lip Balm Sali-Cinamide Anti-Acne Face Wash Oil-Free Daily Face 1% Hyaluronic Acid Moisturizer Sunscreen Aqua Gel 2% Kojic
Slide 12: Crafting brands for Indian consumers and scaling them
Crafting brands for Indian consumers and scaling them 1 2 3 4 Emerging brands with Emerging potential brands to attaintoaattain with potential scale of INR 500 a scale to 1,000 of INR 500 tocrore within 1,000 crorenear to 3-5 within medium yearshorizon Next INR 1,000 Cr Next INR 500 Cr Next INR 250
Slide 13: House of brands strategy illustrated through Sunscreens
Using the power of House of brand strategy to dominate fast evolving 1 2 3 4 categories as illustrated through Sunscreens Developed product chassis across brands Differentiated proposition addressing distinct consumer needs Natural, MADE SAFETM Science backed Actives Water lock technology Balance of
Slide 14: Leading bestsellers on key eCommerce platforms
This dominance is demonstrated through leading bestsellers on key eCommerce 1 2 3 4 platforms Amazon Nykaa #1 in Sunscreen1,2 #2 in Sunscreen1,2 About the Company About the Company #4 in Sunscreen1,2 1. As on May 23, 2024 13 2. Bestsellers ranks in Sunscreen derived basis the ranks in Skin Care
Slide 15: New products contributed ~18% to FY24 revenue
1 2 3 4 Our focus on R&D and innovation continues to be loved by the consumers Key Innovations for the Quarter TBU Beetroot Hydraful 1% Hyaluronic Long illuminate+ Dewy Gulab & Glycolic Acid Dry Shampoo Hibiscus Range Sunscreen Lasting Sunscreen Sunscreen Serum New Products have contributed ~18% to
Slide 16: Entering newer categories with differentiated propositions
1 2 3 4 Entering newer categories with differentiated propositions 3-in-1 Lipstick Tubing Mascara Aspirational color cosmetics brand for MADE SAFETM Certified Moisturizing Lotion Soaps Gen Z 15
Slide 17: Strengthened R&D capability with acquisition of Cosmogenesis Labs
1 2 3 4 Strengthened our R&D Capability with acquisition of Cosmogenesis1 Labs We have entered into a binding agreement to acquire Cosmogenesis1 Labs Expertise Formulations R&D Capability Ms. Rohini Manoj, the founder, will be As part of the transaction, we would be joining our R&D team Ms. Rohini a
Slide 18: Beauty inspired by Goodness – first impact assessment report
Beauty inspired by Goodness – Our first impact assessment report 1 2 3 4 6,00,000+ Trees Planted 3,800 Acres Land Greened 12,000+ Tons of Fruit Production 500k Tons Oxygen to be Generated 20,000+ Students Engaged 76 Schools in Bengaluru and Chennai +42% Knowledge Improved 500+ Households have access
Slide 19: Financials Summary
1 2 3 4 Financials Summary 18
Slide 20: P&L Summary
1 2 3 4 P&L Summary All figures in INR Cr Quarter Ended Year Ended Particulars Q4 FY24 Q4 FY23 YoY Growth FY24 FY23 YoY Growth Revenue from operations 471 388 21% 1,920 1,493 29% Cost of Goods Sold 142 122 581 447 GROSS PROFIT 330 266 24% 1,339 1,046 28% GROSS PROFIT Margin % 70.0% 68.6% 69.8% 70.1%
Slide 21: Balance Sheet Summary
1 2 3 4 Balance Sheet Summary All figures in INR Cr As on Particulars March 31, 2024 March 31, 2023 PPE Including CWIP 20 13 Goodwill 53 53 Other Intangible Assets 102 104 Right-of-Use Assets 124 83 Other Financial Assets 201 79 Other Non-Current Assets 4 5 Inventories 123 111 Investments 292 260 Tr
Slide 22: Cash Flow Statement Summary
1 2 3 4 Cash Flow Statement Summary All figures in INR Cr Year Ended Particulars FY24 FY23 Cash flow from Operating activities Profit/(loss) before tax 147 (141) Depreciation of property, plant and equipment ('PPE') 6 3 Depreciation of right-of-use-assets 23 15 Interest income (25) (11) Finance cost
Slide 23: Honasa