Slide 1: Exchange filing cover letter
May 6, 2024 The Secretary, The Manager, Listing Department, Listing Department, BSE Limited, National Stock Exchange of India Limited, 1st Floor, Phiroze Jeejeebhoy Towers, Exchange Plaza, C-1 Block G, Dalal Street, Bandra Kurla Complex, Bandra (East), Mumbai – 400 001 Mumbai – 400 051 Scrip Code: 5
Slide 2: Q4 FY24 Results
Q4 FY24 Results MAY 2024 Marico Information classification: Official
Slide 3: Safe Harbour Statement
Safe Harbour Statement This Release / Communication, except for the historical information, may contain statements, including the words or phrases such as ‘expects, anticipates, intends, will, would, undertakes, aims, estimates, contemplates, seeks to, objective, goal, projects, should’ and similar
Slide 4: Index
Index Macro Overview Performance Outlook Financials Highlights 4 6 13 20 3 Marico Information classification: Official
Slide 5: Stable demand trends in FMCG | Overall macro-context conveys positivity
Stable demand trends in FMCG| Overall macro-context conveys positivity FMCG Sector: Volume Growth* FMCG Sector: HPC and Foods Growth* 6% 6% 5% 5% 4% 4% 3% 3% Stable trends across Rural and Urban; 2% HPC and Foods tread in line with 2% 1% preceding quarters 1% 0% 0% -1% -1% HPC Foods -2% All-India (U
Slide 6: Index
Index Macro Overview Performance Outlook Financials Highlights 4 6 13 20 5 Marico Information classification: Official
Slide 7: Sequential improvement in India & Overseas businesses | Revenue growth back in positive terrain
Sequential improvement in India & Overseas businesses| Revenue growth back in positive terrain Q4 FY24 (YoY) Domestic International Consolidated 420 bps Gross Margin expansion YoY 3% 10% 2% Volume Growth Constant Currency Revenue Growth Growth 8% YoY Increase in A&P 19.4% 12% 14% spends Consolidated
Slide 8: Steadying trends in PCNO & Saffola Oils | Base effect subdues VAHO
Steadying trends in PCNO & Saffola Oils | Base effect subdues VAHO; expect pickup in FY25 Parachute Coconut Oil Saffola Edible Oils Value Added Hair Oils (34% of Domestic Revenues) (20% of Domestic Revenues) (21% of Domestic Revenues) 4Y Vol. CAGR : Mid-single digit in Edible Oils Mid single-digit M
Slide 9: Foods scale to ~4x since FY20 | Profitability focus leads to ~800 bps GM expansion
Foods scale to ~4x since FY20 | Profitability focus leads to ~800 bps GM expansion in FY24 Q4 Value Growth 24% 8 Marico Information classification: Official
Slide 10: Premium Personal Care: Sustains healthy traction
Premium Personal Care: Sustains healthy traction Serums | Male Grooming | Skin Care Digital-First Brands ~ ₹300 cr. Q4 Run-rate ~₹450 cr. Q4 Exit ARR 9 Marico Information classification: Official
Slide 11: Unleashing Innovative Products | Elevating Ad Campaigns | Amplifying Outreach
Unleashing Innovative Products |Elevating Ad Campaigns | Amplifying Outreach Initiation of Master Brand Advertising in Saffola 10 Marico Information classification: Official
Slide 12: International Business regains strong momentum | 10% CCG in Q4
International Business regains strong momentum | 10% CCG in Q4 Bangladesh South-East Asia MENA South Africa 8% Bounce back from Flat Resilient amidst slower HPC demand in 19% Lead by robust growth in Egypt 13% Ethnic Growth led by Hair Care Q4 CCG transient headwinds Q4 CCG Q4 CCG Q4 CCG Vietnam Int
Slide 13: Index
Index Macro Overview Performance Outlook Financials Highlights 4 6 13 20 12 Marico Information classification: Official
Slide 14: Staying True to the 4Ds
Staying True to the 4Ds Unlock the next leg of growth through… Diversification Distribution Digital Diversity …..and continue to maintain focus on Grow the Core Cost Management ESG Commitments 13 Marico Information classification: Official
Slide 15: Diversification remains a key priority: Profitable Scale up in Foods to continue
Diversification remains a key priority: Profitable Scale up in Foods to continue Foods portfolio to be Aim to drive consistent improvements in profitability 2x of current scale in FY27 as constituent franchises attain critical mass Foods Revenues (in INR cr.) Foods Gross Margin (%) ~8x ~4x x FY20 FY
Slide 16: Diversification remains a key priority: Digital Business to leverage enhanced capabilities
Diversification remains a key priority: Digital Business to leverage enhanced capabilities ARR of Digital-First brands Aim for Double Digit EBITDA in expected to be 2x in FY27 Digital-first brands in FY27 Digital-first brands ARR (in INR cr.) Digital-first brands EBITDA Margin (%) 2x Double-digit EB
Slide 17: Project SETU: Drive growth in GT through transformative expansion in Direct Reach
Project SETU: Drive growth in GT through transformative expansion in Direct Reach 3-Year Phased Plan A fit for purpose and FY24 FY27 fit for future GTM Model Market share Gain across categories in rural and urban 1 mn 1.5 mn Direct reach Direct reach To drive profitable growth and competitive advant
Slide 18: Project SETU: Resource re-allocation to fund coverage improvement & demand generation
Project SETU: Resource re-allocation to fund coverage improvement & demand generation Project SETU will be cost neutral BTL & Channel Coverage & Infra Spends Improvement Costs Optimize Wholesale channel spends Scaled up sales force, distributor (indirect distribution cost) & commercials, process sim
Slide 19: Looking ahead: Setting up for robust revenue-led earnings growth
Looking ahead: Setting up for robust revenue-led earnings growth in the near & medium term India Business – Aiming for visible improvement International Business (CCG) - Going Strong Volume Growth Revenue Growth Retain double-digit CCG momentum 10% 3% 6% 2% Q3FY24 Q4FY24 FY25E 0% Q3FY24 Q4FY24 FY25E
Slide 20: Index
Index Macro Overview Performance Outlook Financials Highlights 4 6 13 20 19 Marico Information classification: Official
Slide 21: Consolidated Profit & Loss Statement
Consolidated Profit & Loss Statement (in ₹ cr.) P&L Particulars Q4FY24 Q4FY23 Change (%) FY24 FY23 Change (%) Revenue from Operations 2,278 2,240 2% 9,653 9,764 -1% Material Cost 1,103 1,178 -6% 4,748 5,351 -11% ASP 226 210 8% 952 842 13% Employee Cost 186 171 9% 743 653 14% Other Expenses 321 288 1
Slide 22: Annexure 1: Operating Margin Structure for Marico Limited (Consolidated)
Annexure 1: Operating Margin Structure for Marico Limited (Consolidated) Particulars (% of Revenues) Q4FY24 Q3FY24 Q4FY23 FY24 FY23 Material Cost (Raw + Packaging) 48.4% 48.7% 52.6% 49.2% 54.8% Advertising & Sales Promotion (ASP) 9.9% 10.2% 9.4% 9.9% 8.6% Personnel Costs 8.2% 7.8% 7.6% 7.7% 6.7% Oth
Slide 23: Annexure 2: Working Capital
Annexure 2: Working Capital Key P&L Capital Efficiency Ratios Particulars Q4FY24 Q3FY24 Debtors Turnover (Days) 46 45 Inventory Turnover (Days) 52 48 Net Working Capital (Days) 36 27 Note: The Company has maintained healthy working capital ratios through the year. 22 Marico Information classificatio
Slide 24: Annexure 3: Movement of Key Raw Material Prices
Annexure 3: Movement of Key Raw Material Prices x Copra YTD: +3% YoY Rice bran Oil YTD: -28% YoY Key P&L x 0.8x 0.6x Q3FY24 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Q4FY24 Q1FY22 Q2FY22 Q3FY22 Q4FY22 Q1FY23 Q2FY23 Q3FY23 Q4FY23 Q1FY24 Q2FY24 Q3FY24 Q4FY24 Liquid Paraffin
Slide 25: Annexure 4: Market Shares in Key Categories in the India Business
Annexure 4: Market Shares in Key Categories in the India Business - MAT Mar’24 Franchise ~MS% Rank ^ Coconut Oil Franchise 63% 1st ^ Parachute Rigids within Coconut Oil 54% 1st * Saffola Oats 41% 1st * Value Added Hair Oils 27% 1st ^ Post wash Leave-on Serums 50% 1st * Hair Gels/Waxes/Creams 52% 1st
Slide 26: Annexure 5: ESG Performance Snapshot (Q4 FY24)
Annexure 5: ESG Performance Snapshot (Q4 FY24) Emissions & Energy Water Stewardship Responsible Sourcing Sustainable Coconut Social Value Creation • 80% reduction in GHG • 936 farm ponds • 75% critical vendors • 0.370 Mn acreage ▪ >1.5L trees planted till emission intensity constructed; 377+ have co
Slide 27: Annexure 6: Awards and Recognitions
Annexure 6: Awards and Recognitions Marico has been recognised Marico was awarded as the as the “Most Consumer Best Employer of India - Centric Brand of the Year” at 2023-24, by Kincentric the 3rd Smart CX Summit & Awards 2024. Marico is honoured to be Marico has been recognized recognized yet again
Slide 28: Thank You
MARICO LIMITED CIN - L15140MH1988PLC049208 7th Floor, Grande Palladium 175, CST Road, Kalina, Santa Cruz (East) Mumbai- 400 098 www.marico.com Websites: www.niharnaturals.com www.beardo.in www.parachuteadvansed.com www.mycocosoul.com www.mylivonmysalon.com www.saffola.marico.in www.saffolalife.com w
Slide 29: Marico – Information Update for Q4FY24
Marico – Information Update for Q4FY24 (Quarter ended March 31, 2024) Executive Summary: Consolidated Results Particulars (₹ Cr) Q4FY24 YoY Growth FY24 YoY Growth Revenue from Operations 2,278 2% 9,653 (1%) EBITDA 442 12% 2,026 12% EBITDA Margin (%) 19.4% Up 186 bps 21.0% Up 245 bps Profit After Tax
Slide 30: Marico – Information Update for Q4FY24
Marico – Information Update for Q4FY24 (Quarter ended March 31, 2024) (Masala) oats with the launch of two new flavours viz Spicy Mexicana and Cheesy Italia. True Elements and Plix maintained their accelerated growth momentum. • Premium Personal Care sustained its healthy growth trajectory during th
Slide 31: Marico – Information Update for Q4FY24
Marico – Information Update for Q4FY24 (Quarter ended March 31, 2024) continue our focus on driving differential growth in our urban-centric and premium portfolios through the organised retail and E-Commerce channels. Therefore, we expect to deliver consistent and competitive growth over the medium
Slide 32: Marico – Information Update for Q4FY24
Marico – Information Update for Q4FY24 (Quarter ended March 31, 2024) Mode of Issue of this update We have issued this Information Update, first to the Stock Exchanges, posted it on Marico’s website and then sent it to the financial community members who are on Marico’s regular mailing list. We reco
Slide 33: Marico Limited – Q4FY24 Results
Marico Limited – Q4FY24 Results Sequential Improvement in Domestic Volume Growth Foods Business scales ~4x since FY20 Digital-first portfolio clocks exit ARR of ₹ 450 crore+ International business bounces back to record 10% CCG EBITDA up 12% YoY; PAT up 14% YoY on like-to-like basis Record high oper
Slide 34: International Business and Outlook
International Business Bangladesh registered 8% constant currency growth as the core business and new franchises performed well. South-East Asia was flat in CC terms. MENA continued its strong growth momentum and delivered 19% CCG with both the Gulf region and Egypt faring well. South Africa registe