godrej consumer products limited q3 2005-06 performance update godrej consumer products limited 21...

Godrej Consumer Products Limited

Q3 2005-06 Performance Update

Godrej Consumer Products LimitedGodrej Consumer Products Limited

21 January 200621 January 2006

Quarterly updateQuarterly update

Q3 & 9M 2005-06Q3 & 9M 2005-06



ContentsContents

• HighlightsHighlights

• Business HighlightsBusiness Highlights

• Acquisition Update and Consolidated FinancialsAcquisition Update and Consolidated Financials

• Sales HighlightsSales Highlights

• GCPL FinancialsGCPL Financials

• GCPL RatiosGCPL Ratios



Rs.Crore Q3 0506 Q3 0405 Growth% 9M 0506 9M 0405 Growth%

Sales (Own Brands)

(Net of Excise)

165.4 142.1 16% 474.0 395.1 20%

Total Sales 169.1 153.1 10% 493.2 424.2 16%

Material Cost 72.4 72.1 232.7 211.2

Advtg & Publicity 15.0 12.3 22% 37.6 30.8 22%

PBDIT 43.3 32.7 32% 109.8 77.7 41%

PBT 39.5 29.0 36% 98.8 67.4 47%

PAT 36.1 26.0 39% 91.0 60.8 50%

EVA 31.4 23.6 33% 80.9 54.6 48%

EPS 25.6 18.4 39% 21.5 14.3 50%

Highlights Q3 & 9M 2005-06Highlights Q3 & 9M 2005-06

• Figures for GCPL only



AnnouncementAnnouncement

• Interim DividendInterim Dividend



Dividend (2005-06)Dividend (2005-06)

• Third Interim Dividend announced

Dividend per share Rs.3.00

Dividend % 75%

Total outlay (including tax on Rs.19.3 Cr distributed profits)

Dividend % till date for 2005-06 225%

Dividend payout % YTD PAT 64%



Business HighlightsBusiness Highlights



Business HighlightsBusiness Highlights

Industry Scenario• Uptrend in the FMCG sector continues

• Vegetable oil prices at reasonable levels

• Rupee has strengthened vis a vis the USD & Euro



Soap• GCPL brands grew 12% in value terms in Q3 2005-06

• Higher advertising costs for brand building

Business Highlights Business Highlights

Personal Care• Hair colour registers strong growth of 24% in value terms

• Talcum Powder and Shaving Cream register good growth

• Snuggy Diapers record healthy growth over last year

• Strong winter benefits Liquid Detergents business



Acquisition UpdateAcquisition Update



Acquisition • GCPL acquired 100% ownership interest in Keyline Brands

Limited, an admired FMCG Company in UK

• Owns valuable brands like Cuticura, Erasmic and Nulon

• CY 2004 Financial Summary

–Sales GBP 16.7 Mio

–Profit Before Tax GBP 2.2 Mio



Keyline Brands Limited – Nov-Dec’05 Performance

• Sales (Nov – Dec 2005) GBP 1.9 Mio

• Profits on consolidation take into account one time

financial costs related to the acquisition

• Sales during Nov-Dec’05 lower due to a seasonal pattern of

sales



Consolidated Q3 0506 9M 0506

Net Sales 184.1 508.2

PBDIT 44.7 111.2

PBT 39.2 98.6

PAT 35.8 90.7

PBDIT / Net Sales 24% 22%

PBT / Net Sales 21% 19%

PAT / Net Sales 19% 18%

Summarised Profit & Loss Account Summarised Profit & Loss Account (Consolidated)(Consolidated)

Rs.Crore



Sales HighlightsSales Highlights



Industry Industry GCPLGCPL

(ORG offtake) (ORG offtake) ShipmentShipment

Toilet Soaps 3% 12%

Hair Colours 27% 24%

Sales Growth vs Industry GrowthSales Growth vs Industry GrowthOct-Dec ‘05 vs Oct-Dec‘04Oct-Dec ‘05 vs Oct-Dec‘04

All figures shown are % change for All India ValueSource :Industry data : ORG MARG



Market shareMarket share

Oct-Dec’05 Oct-Dec’05 Oct-Dec’04Oct-Dec’04

Toilet Soaps 9.5% 8.3%

Hair Colours 40.5% 40.0%

All figures shown are % for All India Value MSSource : ORG MARG



Segmental data (Q3 & 9M 2005-06)Segmental data (Q3 & 9M 2005-06) Rs Crore

Rs.Crore

Segment Revenue Q3 05-06 Q3 05-06 Q3 04-05 9M 05-06 Q3 04-05 9M 05-06 9M 04-059M 04-05Soap 88.6 86.7 311.5 277.7 Personal Care 80.5 66.3 181.7 146.5 Unallocated income - - - - Total 169.1 153.0 493.2

424.2

PBIT Soap 6.9 6.8 38.1 26.5Personal Care 36.4 27.4 77.6 56.6Segment PBIT 43.3 34.2 115.7 83.1

Less Interest (Net) 1.1 0.9 2.9 2.4 Less other unallocated exp 2.7 4.3 14.1 13.3 PBT 39.5 29.0 98.8 67.4



Segmental data (Q3 and 9M 2005-06)Segmental data (Q3 and 9M 2005-06)

Rs.Crore Rs Crore

Segment Capital Employed Q3 05-06 Q3 04-05 Q3 05-06 Q3 04-05 9M 05-06 9M 04-05 9M 05-06 9M 04-05 Soap * 44.2 49.8 44.2

49.8

Personal Care 8.5 19.0 8.5 19.0

Unallocated 48.9 26.3 48.9 26.3

Total 101.6 95.1 101.6 95.1

* Includes Contract Manufacturing



Category-wise Turnover Q3 2005-06Category-wise Turnover Q3 2005-06

Net Turnover (GCPL) Q3 0506 Q3 0405 Growth%

Toilet Soaps 85.5 76.4 12%

Hair Colour 41.1 33.1 24%

Liquid Detergents 31.2 27.8 12%

Toiletries 7.6 4.8 57%

Total Godrej Brands 165.4 142.1 16%

Cont Mfg 0.1 7.6 (98%)

By-Products 3.6 3.3 9%

Total Sales 169.1 153.1 10%



Sales-Mix Q3 - 2005-06Sales-Mix Q3 - 2005-06

Godrej Brand Toilet Soaps

(Rs.85.5 cr)

(52%)

Contract Mfg(Rs.0.1 cr)

(0%)

Liquid Detergent(Rs.31.2 cr)

(18%)

Hair Colours(Rs.41.1 cr)

(24%)

Toiletries(Rs. 7.6 cr)

(4%)

By-Products(Rs.3.6 cr)

(2%)



Category-wise Turnover 9M 2005-06Category-wise Turnover 9M 2005-06

Net Turnover (GCPL) 9M 0506 9M 0405 Growth%

Toilet Soaps 294.2 250.6 17%

Hair Colour 119.5 95.6 25%

Liquid Detergents 35.3 31.8 11%

Toiletries 25.0 17.2 46%

Total Godrej Brands 474.0 395.1 20%

Cont Mfg 7.8 18.9 (59%)

By-Products 11.4 10.1 12%

Total Sales 493.2 424.2 16%



Sales-Mix 9M - 2005-06Sales-Mix 9M - 2005-06

Godrej Brand Toilet Soaps

(Rs.294.2 cr)

(60%)

Contract Mfg(Rs.7.8 cr)

(2%)

Liquid Detergent(Rs.35.3 cr)

(7%)

Hair Colours(Rs.119.5 cr)

(24%)

Toiletries(Rs.25.0 cr)

(5%)

By-Products(Rs.11.4 cr)

(2%)



GCPL FinancialsGCPL Financials



GCPL Rs.Crore Q3 0506 Q3 0405 Growth% 9M 0506 9M 0405 Growth%

Sales – Net of Excise 169.1 153.1 10% 493.2 424.2 16%

• Godrej Brands 165.4 142.1 16% 474.0 395.1 20%

• Cont Mfg 0.1 7.6 7.8 18.9

• By-Products 3.6 3.3 11.4 10.1

Other Income 2.9 0.3 8.0 1.4

Expenditure 128.7 120.7 391.4 347.8

PBDIT 43.3 32.7 32% 109.8 77.7 41%

Depreciation 2.7 2.8 8.2 8.0

Interest 1.1 0.9 2.9 2.4

PBT 39.5 29.0 36% 98.8 67.4 47%

PAT 36.1 26.0 39% 91.0 60.8 50%

Summarised Profit & Loss AccountSummarised Profit & Loss Account



Balance Sheet Balance Sheet

Liabilities Assets

31-12-05 30-09-05 31-12-05 30-09-05

Equity Capital 22.6 22.6 Net Fixed Assets 79.0 95.1

Reserves 74.9 58.1 Cash & Bank Bal 6.8 12.5

Debt (2.3) (1.4) Sh Term Inv 12.8 16.0

Def Tax Liability 6.4 6.9 Inv in Subsidiaries 48.5 0.0

Net Current Assets (45.5) (37.4)

Total 101.6 86.2 Total 101.6 86.2

Rs.Crore



Rs Crore

Q3 05-06 9M 05-06

SOURCES

Internal Accruals 38.8 99.2

W.Capital change 7.6 29.8

Total 46.4 129.0

APPLICATION

Debt Repayment 0.9 8.4

Capital Expenditure (13.4) (14.3)

Change cash/ sh term investments (8.9) 10.7

Shares Buyback 0.0 4.8

Change in Investment 48.5 48.5

Dividend 19.3 70.9

Total 46.4 129.0

Funds Flow Funds Flow



Cost Structure (Q3 2005-Cost Structure (Q3 2005-06)06) Rs.Crore Rs Crore

Q3 ’05-06 %of Sales Q3 ’04-05

%of sales

Materials cost 72.4 42.8% 72.1 47.1%

Staff Cost 10.6 6.3% 8.1 5.3%

Advtg & Publicity 15.0 8.9% 12.3 8.0%

Other Expenditure 30.7 18.1% 28.2 18.5%

Interest & Financial Charges 1.1 0.6% 0.9 0.6%

Depreciation 2.7 1.6% 2.8 1.8%

Provision for Taxation 3.4 2.0% 3.0 1.9%

PAT 36.1 21.3% 26.0 17.0%

Sales 169.1 100.0% 153.1 100.0%

Other Income 2.9 1.7% 0.3 0.2%



Cost Structure (9M 2005-Cost Structure (9M 2005-06)06) Rs Crore Rs Crore

9M ’05-06 %of Sales 9M ’04-05

%of sales

Materials cost 232.7 47.2% 211.2 49.8%

Staff Cost 31.0 6.3% 23.4 5.5%

Advtg & Publicity 37.6 7.6% 30.8 7.3%

Other Expenditure 90.2 18.3% 82.4 19.4%

Interest & Financial Charges 2.9 0.6% 2.4 0.6%

Depreciation 8.2 1.7% 8.0 1.9%

Provision for Taxation 7.8 1.6% 6.6 1.6%

PAT 91.0 18.5% 60.8 14.3%

Sales 493.2 100.0% 424.2 100.0%

Other Income 8.0 1.6% 1.4 0.3%



GCPL RatiosGCPL Ratios



GCPL RatiosGCPL Ratios

Q3 05-06 Q3 04-05 9M 05-

06 9M 04-05

PBDIT / Sales 25.6% 21.4% 22.3% 18.3%

PBT / Sales 23.3% 18.9% 20.0% 15.9%

PAT / Sales 21.3% 17.0% 18.5% 14.3%



GCPL Ratios contd..GCPL Ratios contd..

Q3 05-06 Q3 04-05 9M 05-

06 9M 04-05

NWC / Sales (days) (24) (18) (25) (20)

Fixed Asset T/o Ratio 8.6 5.9 8.3 5.5

Total Asset T/o Ratio 6.5 6.4 6.3 5.9

ROCE* 160% 126% 133% 98%

RONW* 148% 143% 124% 112%

EPS (on Rs.4 Share) 25.6 18.4 21.5 14.3

All figures are annualised* On closing Capital Employed & Closing Networth



Thank YouThank You

godrej consumer products limited q3 2005-06 performance update godrej consumer products limited 21...

Documents

quarterly update q3

croresegment revenue

healthy growth

org marg segmental data

net sales184

pat net sales19

industry data

pbt net sales21