Pidilite Industries Limited · NSE:PIDILITIND
Pidilite Industries — Investor Presentation (February 2020)
31 slides from Pidilite Industries's investor presentation, Feb 13, 2020
Slide 1: Pidilite Investor Presentation
,401"1" Pidilite 13th February, 2020 The Secretary The Secretary BSE Ltd. National Stock Exchange of India Ltd. Corporate Relationship Dept., Exchange Plaza, Plot no. C/1, G Block, 14th floor, P. J. Tower, Bandra-Kurla Complex, Dalai Street, Fort Bandra (E), Mumbai - 400 001 Mumbai - 400 051 Stock C
Slide 2: We Are Pidilite 2020
WE ARE WE ARE PIDILITE PIDILITE 2020 2020
Slide 3: Our Journey
Our Journey Inception Building Power Brands Expanding the Global Footprint & Pioneer Categories and entering into Collaborations 1959 1965 2000 2001 2005 2013 2015 2016 Plants commissioned Fevicol established as M-seal comes Dr. Fixit is Incorporated Took over NINA On April 10th, Pidilite forms JV f
Slide 4: Creating Renaissance through Creating Categories
Creating Renaissance through Creating Categories Winning in Winning in the the New World New World 2 0 2 0
Slide 5: Creating Renaissance through Creating Categories
Creating Renaissance through Creating Categories () CORE GROWTH PIONEER Established Brands Emerging categories Nascent Categories with high market with significant potential with huge market maturity and strong for market growth or creation opportunity share position share gain 1-2X GDP 2-4X GDP...
Slide 6: Portfolio for Creating Renaissance
Portfolio for Creating Renaissance 1100® 114ffir® %Jr® FEVICOL FEVICOL FEVICOL SH® CORE Waterproof Adhesive ONE DRO DROP P INSTANT ADHESIVE Fevi kwi ® "ifESP —1. ® Fevicryl® • ,doommkett,„ • Pidilite GROWTH ,00•0mmeittt, MA DR. ;31 FIXIT® WII•40. Pidilite ICA Pidilite EMERGING WATERPROOFING EXPERT I
Slide 7: How we grow our core at 1-2X GDP
How we grow our core at 1-2X GDP... CORE GROWTH PIONEER Premiumizing Innovating 2 0 2 0
Slide 8: Growing the Core at 1-2X of GDP: The Fevicol Story
Growing the Core at 1-2X of GDP: The Fevicol Story Premiumization in Core: Innovation in Core: Fevicol Evolution Fevicol Ezeespray FEATURES EASE OF USE Ittoifir 11.111' FEVICOL FEV1COL MARINE FEV1COL FEVICOL HI'PER Hark HEATPROOF ADHESIVE SPEECOX ANTI-BUBBLE' WATERPROOF ADHESIVE EXPer~ In La minat*
Slide 9: How we fuel growth businesses at 2-4X GDP
How we How we fuel fuel growth growth businesses businesses at at 2-4X GDP... 2-4X GDP... CORE GROWTH GROWTH PIONEER PIONEER Creating Categories Wholistic Brand Management Driving Penetration International Expansion 2 0 2 0
Slide 10: Creating Categories
Creating Categories Passionate team ATL support 0 Intense field marketing Technical capabilities Exhaustive insighting Spotting unmet needs 2 0 2 0
Slide 11: Dr. Fixit Waterproofing
* Dr. Fixit = Waterproofing 98% Top of the Mind Awareness among consumers Right Right Dr.Fixit will Right Waterproofing Waterproofing prevent leakage Verbal Visual Waterproofing is using right is waterproofing from happening is application quantity of LW+ before painting. on 5 surfaces 1 driving nee
Slide 12: Wholistic Brand Management
Wholistic Brand Management • Exhaustive immersions to collect insights Effie’20 Award • Identify usage patterns and accordingly select target segments • Focussed media strategy to reach target segment and deliver growth Driving Penetration Through i i i Target Reach & Usage Segments Availability *Av
Slide 13: Driving Penetration
Driving Penetration The Emerging India Story Accessing deep rural markets through ‘Pidilite Ki Merchandised Outlet in Duniya’ sub 12K population villages SP111_ Rani ,eela Fev i Pidilite’s One VILLAGES No. OF TOWNS PIL DIRECT REACH* stop Solution & Training centre > 1 mn 45 45 0.2-1 mn 184 184 < 0.2
Slide 14: International Expansion
International Expansion Taking Pidilite’s Success Story to Emerging Markets across the World. Target markets with high headroom for growth, with a high-touch, “India-like” approach r Drive market: Bangladesh • Began operations 15+ years ago • Play across all major categories of Pidilite (including C
Slide 15: What are our Pioneering categories
What are What are our our Pioneering Pioneering categories categories CORE CORE GROWTH GROWTH PIONEER 2 0 2 0
Slide 16: Roff Growth Story
Roff Growth Story Roff is driving category creation and exponential growth in an under-penetrated tile and stone fixing solutions market, through a comprehensive portfolio and go-to-market approach. Roff is positioned as an expert Tile and Stone solutions in Indian Market and it is present in 4 major
Slide 17: Winning in the New World
Winning in the New World Influencer Riding Accelerating Future-Fit & User the Digital Innovation Infrastructure Marketing Wave Culture as a Giving Journey competitive back to towards edge the society Sustainability 2 0 2 0
Slide 18: Accelerating Innovation R&D
mg Accelerating Innovation 3 fully equipped in-house centres in India R&D centres 2 centres in 154% increase USA & Singapore in R&D spends since 2015 2 0 2 0
Slide 19: Future-Fit Infrastructure
Future-Fit Infrastructure Network Expansion: • There are a total of 8 plants added since 2015. • Manufacturing capacity expansion in Bangladesh • A new plant has been set up in Sri-Lanka. • 12 more plants being added by 2022 to create a seamless manufacturing & supply chain network across the countr
Slide 20: Influencer & User Marketing
Influencer & User Marketing 3 Customer centricity Gain deeper 1 understanding of users, products and categories Well oiled machinery of Field Marketing Source of 4 inspiration Cater to needs of users beyond business (FCC) 2 2 0 2 0
Slide 21: Riding the Digital Wave
Riding the Digital Wave Field Marketing Prescriptive Analytics - Automation project to aid via Salesforce.com sales process Channel Field Influencer Advanced Integrated Partner Force Community Analytics Supply Management Effectiveness Management Chain Dealer App Common Loyalty Upgrading and Platform
Slide 22: Culture as a Competitive Edge
Culture as a Competitive Edge 4 3 Building an Inspiring 2 Leadership Place to Work Pipeline 1 Focus on rapsbone Frontline PIQII.Irr I rafbrONFIIP ciLTAPP•I VI3OrtLPil• Listening 4S A (0> CA- NEALTIV Culture Capability building SCENT NPS turnaround, Career map for field teams with scores at Best-In-C
Slide 23: Giving Back to Society
•• Giving Back to Society * Fevicol Champions Club Initiatives : Shram Kerala Pr Education Water Healthcare Resource Daan Divas Flood Relief Initiatives Management 1 48k carpenters Help extended to 200+ Hanumant Hospital Higher built participated impacted households treated 52207 patients Education
Slide 24: Journey towards Sustainability
Journey towards Sustainability Pidilite is geared up to reach World class standards in Sustainability Initiatives Our Core Sustainability Pillars Taking Creating Strengthening Sustainability a strong enablers to the foundation next level Sustainable Operational Innovation Eco-Efficiency 1 Setting up
Slide 25: Thank you
Thank you 2 0 2 0
Slide 26: Investor Contact
Investor .1 Contact .razor 'f r. ••0:01 Pidilite CIN : L24100MH1969PLC014336 1 r.'. 1 ..,, .r.V .Ski..::65 . 1.0 :11.11-111 .•1 11 111:-' . . ' :01 .t.r 4 L •..= . .r. . F. _.-. ....: r• " ,....a. :. 5;7 ... • :I. . . 5 t '1•11 • Iraak I • A • 16,. • ..-_,.•.• ..e: . ON .' • ...." - .... investor.re
Slide 27: Annexures
Annexures
Slide 28: Company Overview
Company Overview •• /MR II w • M No.1 Adhesives >5300 Operations in 23 Mfg. Plants & company in India permanent 9 countries 25 Co-Makers employees in India -6 • • >500 Exporting to 19 International & 5 R&D Centres Products >80 countries 11 Domestic Subsidiaries 2 0 2 0
Slide 29: Portfolio: Revenue Split
Portfolio: 1% Revenue Split 5% 4% Others Industrial Resins etc. Industrial Adhesives Standalone Results – % of Total Sales for 2018-19 6% Pigments & Preparations IP 8% 15% Art & Crafts Materials etc. C&B 84% 56% Adhesives & Sealants 20% Construction Chemicals & Paints ■ C&B - Consumer & Bazaar 2 0 ■
Slide 30: Track Record of Consistent Growth
Track Record of Consistent Growth 17% 2% 20% Net Sales EBITDA EBITDA as growth over growth over a % to sales FY17—18 FY17—18 FY18—19 28% NET SALES GROWTH TREND OVER LAST 10 YEARS EBITDA GROWTH TREND OVER LAST 10 YEARS 80,000 16,000 26% 70,000 70,348 14,000 13,762 24% 1 3% % 60,000 GR 12,000 2 0 22%
Slide 31: Creating Value for Shareholders
Creating Value for Shareholders 40% 3980 41% mn 10yr CAGR - MCap Dividend Payout Dividend Payout as a % to Net Profit 3,980 44.0 4,500 7,00,000 3,667 4,000 42.0 6,00,000 6,31,087 0 % 4 3,500 2,931 40.6 5,00,000 R 40.0 G 38.4 CA 3,000 2,561 4,00,000 38.0 2,500 3,00,000 m1 36.0 1,789 2,000 2,00,000 1,
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