Hindustan Unilever Limited · NSE:HINDUNILVR
Hindustan Unilever — Q3 FY2021 Earnings Presentation
31 slides from Hindustan Unilever's earnings presentation, Jan 27, 2021
Slide 1: DQ'20 Results: 27th January 2021
Hindustan HindustanUnilever Limited Unilever Limited S DQ’20 Results: DQ’20 Results :27 January thJanuary 27th 2021 2021 Sensitivity: Public
Slide 2: Safe Harbor Statement
Safe Harbor 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 e
Slide 3: Sanjiv Mehta, Chairman & Managing Director
Sanjiv Mehta Chairman & Managing Director Sensitivity: Public
Slide 4: Our strategy is serving us well
Our strategy is serving us well Consistent, Competitive, Purpose-led, Future-fit Fundamentals of growth Profitable, Responsible Growth 4 Sensitivity: Public
Slide 5: India: On the road to recovery
India : On the road to recovery COVID cases decline; mobility on the rise Economic activity picking up 98K 6.1% 4.2% 0.3% 72% 50% -7.7% 15K -15.7% May’20 Sep’20 Jan’21 FY'19 FY'20 H1 FY'21 H2 FY'21 FY'21 (AE) (AE) Daily New Cases Mobility Index GDP Growth Sources: COVID Cases – Worldometer Google CO
Slide 6: Operating context
Operating context FMCG growths reviving Inflationary pressures elevated in select commodities 5% 1% 1% 0% 1.4X 1.4X X 0.7X -17% 0.5X DQ'19 MQ'20 JQ'20 SQ'20 DQ'20 DQ'19 MQ'20 JQ'20 SQ'20 DQ'20 FMCG Growth Tea Palm Oil Crude 6 Sensitivity: Public Source: FMCG growths from Nielsen Retail Audit
Slide 7: Our growth drivers
Our growth drivers Impactful innovations Accelerating e-commerce Execution excellence 7 Sensitivity: Public
Slide 8: Hygiene: Needs & Benefits
Hygiene: Needs & Benefits Nature Protect Hygiene range Domex Toilet Cleaner Surf Excel Active Hygiene A multi-category hygiene mix Contains power of sodium Remove 99.9% Coronavirus powered by plant based actives hypochlorite, kills all germs dead along with tough stains 8 Sensitivity: Public
Slide 9: Hygiene: Needs & Benefits
Hygiene: Needs & Benefits Lifebuoy Laundry Sanitizer Vim Matic Dishwash Lifebuoy Germ Kill Spray Anti-germ post wash liquid proven Specially designed to remove Instant germ kill spray to remove 99.9% germs post wash tough Indian grease 9 Sensitivity: Public
Slide 10: Hygiene: Formats
Hygiene: Formats Surf Excel Smart Spray Lifebuoy Wet Wipes Domex Disinfectant Spray Fabric stain remover Multi-purpose germ protection Multi-purpose spray, kills wet wipes 99.9% germs 10 Sensitivity: Public
Slide 11: Nutrition
Nutrition Horlicks Protein Plus Horlicks Mother’s Plus Horlicks Women’s Plus High protein nutritional beverage Your baby’s nourishment partner Specialized nutrition for women for adults from pregnancy to lactation Sensitivity: Public 11
Slide 12: In-home
In-home Kissan Peanut Butter Bru Veda – Instant Coffee Knorr Chicken Cube Rich in protein from 100% real peanuts With goodness of ayurveda Flavour of slow cooked chicken in a cube Sensitivity: Public 12
Slide 13: Care
Care Vaseline Anti- Bacterial Hand Cream Clinic Plus Strength & Shine with Tresemme Keratin Smooth Deep 2 in 1 skin moisturization and germ Egg Protein Smoothing Serum & Mask protection Makes hair strong & shiny For frizz controlled smooth hair 13 Sensitivity: Public
Slide 14: Accelerating E-commerce
Accelerating E-commerce Portfolio designed for channel Everyday great execution Strong performance 2x Growth^ & Contribution^ Shares Post vs Pre COVID Best-in-class online availability and discoverability ^DQ’20 vs DQ’19 14 Sensitivity: Public
Slide 15: Execution excellence
Execution excellence Strengthening our coverage Expanding rural reach E-route to market Effective Coverage* 1.1X 1.1X 1.1X X Growths 2x 2020 vs 2019 Entrepreneurs 2020 vs 2016 Pre- Jun'20 Sep'20 Dec'20 COVID 3.4 lakh Outlets onboarded Assortment 2X 6x 1.8X 1.7X X Avg. orders per month^ Pre- Jun'20 S
Slide 16: Strong progress on our 5 COVID priorities
Strong progress on our 5 COVID priorities Safety & wellbeing Ensuring continuity Keeping our fingers on Helping the Heightened focus on of our people of supplies the pulse of consumers communities cost & cash Sensitivity: Public 16
Slide 17: DQ'20: Strong performance sustained
DQ’20: Strong performance sustained Strong fundamentals Growth competitive & profitable Business gaining momentum % Business Gaining Penetration* Reported TO Growth Domestic Consumer Growth 7% 3% 20% 86% > 60% 19% -7% -9% MQ'20 JQ'20 SQ'20 DQ'20 PAT Growth * As per Kantar Worldpanel for L3M November
Slide 18: Making sustainable living commonplace
Making sustainable living commonplace Sustainable Becoming plastic Health and Enhancing Water sourcing neutral well-being livelihoods Hindustan Unilever >30 million person days >150 million employment generated by Foundation (HUF) >67% Plastic recyclable* 76% Tomatoes** people impacted till date HUF
Slide 19: Srinivas Phatak, Chief Financial Officer
Srinivas Phatak Chief Financial Officer Sensitivity: Public
Slide 20: DQ'20: Growth competitive and profitable
DQ’20: Growth competitive and profitable Growth EBITDA PAT (bei) Net Profit Reported Turnover Growth Margin Gr % Gr % 20% 24% 15% 19% 7% -80 bps 1,951 Cr 1,921 Cr Domestic Consumer Growth Difference between Reported Turnover Growth and Domestic Consumer Growth reflects the impact of merger of GSK CH
Slide 21: BPC and F&R lead strong performance; HC stable
BPC and F&R lead strong performance; HC stable HOME CARE BEAUTY & PERSONAL CARE FOODS & REFRESHMENT 29% 42% 29% Sales Growth* -2% 9% 19% *Sales growth excludes the impact of merger of GSK CH and acquisition of VWash 21 Sensitivity: Public
Slide 22: Home Care
Home Care Double digit growth in HHC; Fabric wash improves sequentially Household Care: Consecutive quarters of double- digit growth across segments led by penetration gains • Launched Nature Protect and Vim Matic Fabric Wash: Competitiveness sustained, performance improving sequentially with in
Slide 23: Beauty & Personal Care
Beauty & Personal Care Strong broad based performance across all categories Skin Cleansing: High double-digit growths led by Lifebuoy. Premium Skin Cleansing (Dove & Pears) revives; grows double-digit. Lux growth momentum sustained • Judicious pricing to manage commodity inflation Oral Care: Str
Slide 24: Foods & Refreshment
Foods & Refreshment High growth momentum sustained Foods: ‘In-home consumption’ trend continues to support portfolio growth; double-digit growth in Ketchups & Soups Beverages: Tea continues to outperform with strong double-digit growth across brands; Coffee delivers well on a high base • Bru Ved
Slide 25: Health, Hygiene and Nutrition strong; Discretionary recovering
Health, Hygiene and Nutrition strong; Discretionary recovering Health, Hygiene and Nutrition Discretionary Out of Home 10% 10% -1% -15% 6% -25% -25% -45% -69% JQ'20 SQ'20 DQ'20 JQ'20 SQ'20 DQ'20 JQ'20 SQ'20 DQ'20 Domestic consumer growth and USG excludes the impact of merger of GSK CH and acquisitio
Slide 26: Profitable volume growth remains our focus
Profitable volume growth remains our focus Dial-up investments Fuel growth Innovations Accretive Mix Market Development Net Revenue Management E-commerce Savings across value chain Go to Market Nutrition Synergies Competitive Spends (overall) Inflationary pressures weigh on margins in the short term
Slide 27: Segmental Performance
Segmental Performance HOME CARE BEAUTY & PERSONAL CARE FOODS & REFRESHMENT INR 3,409 Cr INR 4,841 Cr INR 3,356 Cr Segmental Revenue Growth* -1% 10% 80% Segmental Margins** 19% 29% 14% *Segment Revenue Growth = Segment Turnover growth + Other Operating Income + Impact of merger of GSK CH + Acquisitio
Slide 28: DQ'20: Results Summary
DQ’20: Results Summary Rs. Crores Particulars DQ’20 DQ’19 Growth % Sales 11,682 9,696 20%* EBITDA 2,854 2,445 17% Other Income (Net) 56 115 Exceptional Items – Credit / (Charge) (42) (99) PBT 2,596 2,229 16% Tax 675 613 PAT bei 1,951 1,691 15% Net Profit 1,921 1,616 19% *Domestic Consumer Growth a
Slide 29: 9-month performance
9-month performance Rs. Crores Particulars YTD Dec’20 YTD Dec’19 Growth % Sales 33,364 29,388 14%* EBITDA 8,367 7,535 11% PAT bei 5,859 5,274 11% Net Profit 5,811 5,219 11% *Domestic Consumer Growth at 1% 29 Sensitivity: Public
Slide 30: Looking ahead
Looking ahead Near-term outlook Improving demand outlook Invest behind consumer centric innovations, market development and capabilities Elevated inflationary pressures in select large categories Drive mix, Net revenue management including judicious pricing and savings Our focus Drive agil
Slide 31: For more information and updates
For more information and updates Visit our website Sensitivity: Public 31