jyothy - analyst meet 090609

7/31/2019 Jyothy - Analyst Meet 090609

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Strictly Private & Confidential

Jyothy Laboratories Limited

9, June 2009Analyst Meet


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Contents

Company Overview

Financial Summary for 2008-09

Category-wise Analysis

Jyothy Fabricare Services Limited (JFSL) Status Update


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Company Overview

A FMCG company with presence in the fabric care, household insecticide, surface cleaning,

personal care and air care segments

Promoted by Mr. M.P. Ramachandran in 1983

Mr. Ramachandran has over 37 years of experience in production, sales and management

Leadership through Key Brands:

Ujala: #1 in Fabric Care: 73.5% all-India market share by value and 58.0% by volume for April

2009* (75.2% by value and 60.9% by volume for April 2008)

Maxo: 22.8% all-India market share by value and 24.3% by volume for April 2009* (21.0% by

value and 24.4% by volume for April 2008)

Exo: 23.8% South India market share by value and 22.9% by volume for April 2009* (21.7% by

value and 22.1% by volume for April 2008)

*Source: A.C. Nielsen


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Company Overview (Contd.)

Extensive Distribution Network

Available in ~ 2.9 mn outlets in India as of March 31, 2009 (2.8 mn for March 2008)(Source: A.C.

Nielson)

Sales staff of over 1,500 people servicing approx. 2,500 distributors

Field staff have a direct reach of ~ 1 million outlets

Strong presence in both rural and urban markets

Manufacturing

21 manufacturing facilities in 14 locations across India some of these are tax efficient units

Offering Value-for-Money Products to the Common Man


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Financial Summary

2007-08


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Profit & Loss Account

Particulars (Rs. in lacs)

Year EndedMarch 2009(9 months)

9 months endedMarch 2008

Year EndedJune 2008

(12 months)

Gross Sales 45,194 34,247 46,554

Net sales 35,154 27,665 37,530

Other income 775 510 791

Total Income 35,929 28,175 38,321

Cost of Goods Sold (19,822) (14,306) (18,756)

Employee Cost (4,341) (3,636) (4,791)

Advertisement & Sales Promo Expenses (1,788) (2,273) (3,015)

Other Expenses (4,202) (3,344) (4,675)

EBITDA 5,776 4,616 7,084

Depreciation (681) (533) (741)

Interest and Finance Charges (37) (10) (68)

Profit before exceptional item and tax 5,058 4,073 6,274

Exceptional Item 0 633 633

Tax (1,047) (1,153) (1,666)

Profit after tax 4,011 3,553 5,241

EPS 5.53 4.90 7.22

Book Value Per Share 48.55 45.22 45.36


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Balance Sheet

Particulars (Rs. in lacs)Year EndedMarch 2009

Year EndedJune 2008

Share Capital 726 726

Reserves and Surplus 36,204 32,194

Net Worth 36,930 32,920

Total Loans (Sales Tax Deferral) (17) (17)

Net Block 18,511 18,141

Capital Work in Progress 611 907

Investments 1,723 231

Cash and Bank Balances 10,017 9,545

Net Current Assets (Excluding Cash)^ 6,085 4,113

^ Net Current Assets (excl cash) defined as (Inventory+Sundry Debtors+Other current assets sales promotion items-Current Liabilities-Provisions)


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Category-wise performance


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Brand Tree

Fabric Care (39%)Gross Sales*: Rs. 17,566 lacs

(Rs. 15,304 for 2008)

Mosquito Repellent (37%)Gross Sales*: Rs. 16,973 lacs

(Rs. 12,434 for 2008)

Dishwashing Products (17%)Gross Sales*: Rs. 7,630 lacs

(Rs. 3,832 for 2008)

Other Products (7%)Gross Sales*: Rs. 3,025 lacs

(Rs. 2,676 for 2008)

* For the year ended March 31, 2009 (9 months)

Category-wise Revenue Mix
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Financial Snapshot - Sales

2009 Category-wise Revenue Breakdown

48%

34%

11%

7%

Sales

Fabric Care

Mosquito

Repellent

Dishwashing

Other Products

2008 Category-wise Revenue Breakdown

39%

37%

17%

7%

Sales

Fabric Care

Mosquito

Repellent

Dishwashing

Other Products


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1

Financial Snapshot - Sales

Category-wise Net Sales Compared with 2008

Category 2008-09 2007-08 Growth %

Fabric Care 15,909 14,077 13.0%

Mosquito Repellent 11,530 8,817 30.8%

Dishwashing 5,251 2,643 98.7%

Other Products 2,463 2,128 15.7%

35,154 27,665 27.1%

July to March (9 months)

0

2000

4000

6000

8000

10000

12000

14000

16000

18000

Fabric Care Mosquito

Repellent

Dishwashing Other

Products

2008-09

2007-08


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1

Fabric Care: Ujala (Brand Size 245 crores)

* Source: A.C. Nielsen

Brand Facts

Launched in 1983 A 26-year old Brand

Largest brand in the fabric whiteners segment

Positioning

Positioned as a liquidfabric whitener that do not cause the clothes to blue or

appear patchy

Market Share

#1 in Product Category: 73.5% all-India market share by value for April 2009*

Was purchased by 75.4 Mn surveyed households (representing 37%) during the

period April 1, 2006 to March 31, 2007

Brand Extension

Washing Powder Launched in 2001 in Kerala & is extended to other southernstates in January 2009

Ujala Stiff and Shine Launched in Kerala in 2005 and nationally in March 2008

Consolidation Through Acquisition

Acquisition of Ruby liquid blue and More Light brand in 2007-08.

Going Forward 2009-10

Stiff & Shine national campaign

Morelight positioned to combat low priced blues in Bihar, UP, Orissa

Ruby relaunch in Karnataka

Looking for Brand Extentions

Largest Brand in Fabric Whiteners

*


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1

Fabric Care: Ujala (Contd.)

1 includes Ujala detergents and Ujala Stiff and Shine

1.8

2.0

2.2

1.8

0.0

0.2

0.4

0.6

0.8

1.0

1.2

1.4

1.6

1.8

2.0

2.2

2.4

FY06 FY07 FY08 FY09

Ujala Brand Performance Gross Sales Liquid Fabric Whitener Market Shares

69

53

69

54

74

58

71.7

56.3

0

20

40

60

80

Value Volume

2006 2007 2008 2009

(Rs bn) (%)

Source: A.C. Nielsen

1 For calculating CAGR FY09 nine months numbers are converted into 12 months on Pro rata basis


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Mosquito Repellent: Maxo (Brand Size 203 crores)

Brand Facts

One of the leading brands in the mosquito repellent segment;

launched in 2000

Positioning Positioned as a mosquito repellant offering corner to corner

protection

Market Share

22.8% all-India market share by value and 24.3% by volume for

April 2009*

Brand Extension

Liquids in 2006

Aerosol sprays in 2007


Focus on liquid/aerosol

Partial withdrawl of consumer /trade offers in coils

Brand Investments/New Campaign


Largest Player in Rural Market


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Mosquito Repellent: Maxo

1.3

1.71.6

1.7

0.0

0.2

0.4

0.6

0.8

1.0

1.2

1.4

1.6

1.8

2.0

2.2

2.4

FY06 FY07 FY08 FY09

Maxo Brand Performance Gross Sales Maxo Coils Market Shares

19

22

20

22

20

23

21

23

0

5

10

15

20

25

30

Value Volume

2006 2007 2008 2009

(Rs bn) (%)

Source: A.C. Nielsen

1 For calculating CAGR FY09 nine months numbers are converted into 12 months on Pro rata basis

h h d ( d )


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Dishwashing Products: Exo (Brand Size 91 crores)

Brand Facts

Exo Dishwash Bar - Among Indias first few anti-bacterial

dish wash launched in 2000

Features Cyclozan, which gives a protective

cover against bacterial contamination of utensils

Currently sold only in Southern India.

Positioning

Positioned as a brand giving consumers protection against

bacterial contamination of utensils in addition to their

promise of clean and shiny utensils

Market Share 23.8% market share by value in Southern India for April

2009*

Brand Extension

Dishwashing liquid detergent Exo Liquid

Dishwashing scrubber Exo Safai


National roll out in phased manner from October 2009

1 Southern states include T.N., Karnataka, Kerala and A.P.


Di h hi P d t E M k t Sh M t


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Dishwashing Products: Exo Market Share Movement

1 Southern states include T.N., Karnataka, Kerala and A.P.


State Market Share30th April 2009

Market Share30th April 2008

Kerala 38.1% 32.5%

Tamil Nadu 15.6% 16.2%

Karnataka 24.6% 31.1%

Andhra Pradesh 22.3% 13.8%

South India 23.8% 21.7%

Di h hi P d t E


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Dishwashing Products: Exo

Exo Brand Performance Gross Sales Exo Dish Wash Bar Market Shares

1211

1615

18 18

20.119.7

0

5

10

15

20

25

Value Volume

2006 2007 2008 2009

(Rs mn) (%)

Source: A.C. Nielsen1 For calculating CAGR FY09 nine months numbers are converted into 12 months on Pro rata basis

J th F b i S i Li it d (JFSL) St t U d t


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Jyothy Fabricare Services Limited (JFSL) Status Update

Acquired Snoways chain of laundry in Bangalore

Opened additional 16 outlets of Snoways, washing 2000 pcs a

day in retail outlets of Snoways (Total 24)

FABRIC SPA flagship brand will be launched in August 2009

with 2 QSS and 10 CDC

2 acres of land acquired at Apparel Park at Doddaballapur -

Bangalore

60000 sq ft. build up area is under construction expected to

be completed by July 15, 2009

LCs have been opened for World Class Machineries

(JFSL) Branding


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(JFSL) Branding

Institutional JFSL 48clients

Economy Snoways 24outlets washing 2000 pcs aday

Premium Fabric Spa to belaunched in September09

JFSL Project Cost Update


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JFSL Project Cost Update

Land 2.50

Building 8.00

Machinery 12.00

Acquisition of Snoways 1.50

Retail Outlet Deposit/Interiors 3.00

IT Hardware & Infrastructure 3.00

Vehicle/Logistics 2.00

Pre-Operative Expenses 2.00

Contingencies 1.00

Total 35.00

Equity Share Capital 5.00

Preference Share Capital 15.00

Term Loan 15.00

Total 35.00

Cost of Project Funding

Rupees in crores

JFSL Some clients as on May 2009


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JFSL Some clients as on May 2009

Hotels & Resorts Airlines ServicedApartments

Others

Royal Orchid Luftansa Oakwood - Prestige Fitness One

ITC Fortune Air France Sterling Suites Big Bazar Food Court

Mapple Singapore Airlines Living Space

Hotel IRIS Paramount Chalet India

Grand Inn Jet

Golden Residency LSG Skychef

Bangalore Gate Taj Sats

Hotel Atria

RamanashreeHotel 9 Marks Inn

Fabric Spa Building


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Fabric Spa Building

JFSL Institution


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JFSL Institution

JFSL Institution


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JFSL Institution

Snoways Outlet


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Snoways Outlet

Fabric Spa Retail Outlet


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Fabric Spa Retail Outlet

Launch by September 2009 with MSS, 2 QSS & 10 CDC

Model Outlet.wmv
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Thank You