Tata Consumer Products Limited · NSE:TATACONSUM
Tata Consumer Products — Shareholder Meeting (June 2024)
31 slides from Tata Consumer Products's shareholder meeting presentation, Jun 13, 2024
Slide 1: 61st Annual General Meeting Financial Year 2023-24
61st Annual General Meeting Financial Year 2023-24 Presentation by Sunil D’Souza Managing Director & CEO 13th June 2024
Slide 2: Disclaimer
Disclaimer Certain statements made in this presentation relating to the Company’s objectives, projections, outlook, expectations, estimates, among others may constitute ‘forward-looking statements’ within the meaning of applicable laws and regulations. Actual results may differ from such expectation
Slide 3: Agenda
Agenda About Us Key Highlights & Financial Progress against Strategic Performance Priorities Business performance Awards & Recognitions
Slide 4: We are Tata Consumer Products
We are Tata Consumer Products In a nutshell Integrated F&B company #2 branded tea player with rich heritage of Tata, globally aspiring for a larger share of the FMCG World ₹ 15.2K crore consolidated Reach of 263mn+ Largest salt brand in India 2nd Largest tea brand 3rd largest tea brand in UK #1 natu
Slide 5: Key Highlights & Financial Performance
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Slide 6: Key Highlights - FY24
Key Highlights - FY24 • Consolidated Revenue up 10% Consolidated EBITDA for the (+9% in constant currency) year up 24% YoY, with an • Group Net Profit before exceptional EBITDA margin expansion of items up 29%. 170bps YoY led by improved profitability across business segments. • Overall, India busin
Slide 7: Key Businesses Snapshot – FY24
Key Businesses Snapshot – FY24 In ₹ Cr India India US Coffee International Non-Branded Consolidated (unless specified) Beverages Foods Tea* Revenue 5,415 4,315 1,459 2,466 1,577 15,206 Revenue growth 7% 18% [15%]* -2% 17% [10%]* 5% 10% [8%]* Constant currency growth -5% 13% [4%]* 4% 9% [7%]* Volume
Slide 8: Summary of Group Performance – FY24
Summary of Group Performance – FY24 ₹ 15,206 Cr. ₹ 2,323 Cr. ₹ 2,023 Cr. ₹ 1,516 Cr. ₹ 1,215 Cr. ₹ 118 Cr. Group Net Group Net Revenue EBITDA PBT (bei)^ Net Cash$ Profit (bei)^ Profit Growth (YoY) 10% [9%] 24% 24% 29% -8% Margin 15.3% 13.3% 10.0% 8.0% Margin expansion (YoY) 170bps 140bps 140bps -160
Slide 9: 4-years of TCPL: Driving consistent profitable growth…
4-years of TCPL: Driving consistent profitable growth… Revenue – India Branded Revenue – International Revenue – Consolidated 4Y CAGR 4Y CAGR 4Y CAGR 16% 39.3 5% 152.1 12% 97.4 32.6 54.0 96.4 FY20 FY24 FY20 FY24 FY20 FY24 Consolidated EBITDA Consolidated Group Net Profit 4Y CAGR 4Y CAGR 23.2 15% 12.
Slide 10: …and unlocking efficiencies while delivering shareholder returns
…and unlocking efficiencies while delivering shareholder returns Net working capital (NWC) days EPS 12.3 50 4Y CAGR India business at 5.0 26% 27 4 NWC days (FY24) FY20 FY24 FY20 FY24 Free cash flow to EBITDA Total Shareholder Return (Apr’20 – Mar’24) 101% 92% 400% FY20 FY24 10 1010
Slide 11: Dividend and Market Capitalization
Dividend and Market Capitalization Consistent dividend payout Step change in Market Capitalization 8.45 7.75 1,069 6.05 740 787 650 4.05 785 738 362 101.8 2.50 2.50 2.70 558 245 235 73.1 68.2 59.9 373 249 33.4 158 158 15.4 14.8 FY18 FY19 FY20 FY21 FY22 FY23 FY24 May-18 May-19 May-20 May-21 May-22 Ma
Slide 12: Progress against Strategic Priorities
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Slide 13: Strategic Priorities
Strategic Priorities Strengthen & Drive Digital Unlock Create Future Explore new Embed accelerate core & Innovation synergies Ready Org opportunities sustainability business 13 13
Slide 14: Solidifying sales & distribution infrastructure
Solidifying sales & distribution infrastructure Split-route implementation Implemented in all 1m+ population towns Total Reach Distinct improvement in assortment and growth. 4.0m (Mar’24) ‘Rurban’ focus Direct Reach Added 1,300 distributors in FY24 primarily in Rurban markets 1.6m (Mar’24) Deepening
Slide 15: India Business – Fuelling our brands
India Business – Fuelling our brands FY24 A&P-to-Sales* 7% A&P spends v/s FY23* +16% * India business Public 15
Slide 16: Nearly 1 launch every 7 days of the year
Nearly 1 launch every 7 days of the year Disruption Premiumization Convenience Health & Wellness *India business 16
Slide 17: Achieving new milestones in innovation
Achieving new milestones in innovation Innovation-to-sales* New launches in various segments 5.1% 18 17 15 12 12 3.4% 10 2.7% 7 6 1.4% 5 5 4 0.8% 2 FY20 FY21 FY22 FY23 FY24 Convenience Health & Wellness Premiumization FY 21 FY 22 FY 23 FY 24 Exceeding i2s target of 5% 100+ new launches since the for
Slide 18: Step change in digital transformation
Step change in digital transformation 18
Slide 19: Simplify, synergize, scale
Simplify, synergize, scale Amalgamation of India wholly- Restructuring of international Tata Coffee Merger owned subsidiaries (WOS) subsidiaries Integration of tea, coffee extraction Amalgamation of subsidiaries in India Streamlining international holding business into a separate Solubles viz. Nouri
Slide 20: Another strong year for 'Growth businesses'
Another strong year for ‘Growth businesses’ Growth Businesses as a % of India Business 30% Combined YoY 18% revenue growth 15% FY24 10% 8% 6% FY20 FY21 FY22 FY23 FY24 FY24PF FY24 revenue growth doesn’t include Capital Foods which got consolidated w.e.f. Feb 24 20 20
Slide 21: Walking the talk on sustainability
Walking the talk on sustainability ✓ Announced ESG milestones & metrics for FY26, reaffirming clear long-term commitments. ✓ Strengthening sustainability governance with polices on Environment, Energy Conservation, Green Procurement, and Marketing & Communication announced during the year. ✓ Nutriti
Slide 22: Business performance
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Slide 23: India Packaged Beverages
India Packaged Beverages Performance commentary • Revenue for the year grew 3%, with 2% volume growth. 4-year CAGR at 9%. • In FY24, premium and sub-premium segments outperformed the overall business and accounted for over two-thirds of India Tea. Gold, Premium and Tetley green franchises delivered
Slide 24: India Foods
India Foods Performance commentary +18% • In FY24, salt revenues grew 9% driven by a volume growth of 4% and favorable mix. Revenue Growth • In line with the company’s premiumization agenda, value-added salts grew 34% in FY24 and accounted for 9% of the India salts business. • Tata Sampann delivered
Slide 25: NourishCo (100% Subsidiary)
NourishCo (100% Subsidiary) Performance commentary • The NourishCo business continued the growth momentum in FY24 825Cr with net revenues of INR 825 cr. – up 33% YoY. Revenue • Innovation-to-sales ratio* at 20% for the year. New season campaign for Tata Gluco+: Argentina Jao, Team Argentina Ka Match
Slide 26: Non-branded Business
Non-branded Business Segment-wise contribution (FY24) Performance commentary • Revenue for the year grew 4%# led by both, the tea and coffee +4%# solubles business. Others Revenue Growth • The solubles business saw significantly improved profitability led by 2% strong price realization in coffee. •
Slide 27: Tata Starbucks (JV)
Tata Starbucks (JV) Accelerated pace of store opening 421 Performance commentary • Revenue for FY24 grew 12%. Tata Starbucks ended FY24 with a No. of stores 221 95 revenue of Rs. 1,218 crs. New stores opened • Tata Starbucks set a record for most stored opened in a year at 95 stores (88 net new stor
Slide 28: International operations
International operations UK USA Canada ➢ For the year, the UK grew 10% in CC ➢ For the year, US Coffee declined 5% ➢ For the year, Canada grew 3% in CC. with significantly improved in CC. profitability. ➢ The ethnic portfolio continued to gain ➢ Tata Raasa and Joyfull got listed in momentum in both
Slide 29: Awards & Recognition
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Slide 30: Awards & recognition
Awards & recognition Corporate Sustainability Brands 30 30
Slide 31: Thank You
Thank You Last 10-year financials are available on Historical financial data tataconsumer.com TataConsumer tata-consumer-products/ tataconsumerproducts/ 31
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