godrej consumer products limited q1 2006-07 performance update godrej consumer products limited...

Godrej Consumer Products Limited

Q1 2006-07 Performance Update

Godrej Consumer Products LimitedGodrej Consumer Products Limited

Quarterly updateQuarterly update

Q1 FY 2006-07 Q1 FY 2006-07

20 July 200620 July 2006



ContentsContents

• Highlights (Consolidated)Highlights (Consolidated)

• AnnouncementsAnnouncements

• Business HighlightsBusiness Highlights

• Acquisition UpdateAcquisition Update

• Sales HighlightsSales Highlights

• GCPL Financials & Ratios (stand alone)GCPL Financials & Ratios (stand alone)



Rs.Crore Q1 0607 Q1 0506 Growth%

Brand Sales

(Net of Excise)

234.1 157.5 49%

Total Sales 237.6 167.7 42%

Advtg & Publicity 24.7 12.3 102%

PBDIT 42.9 33.4 28%

PBT 38.1 29.8 28%

PAT 32.8 27.1 21%

Net Proft after Tax adj 34.1 27.1 26%

EVA 28.8 24.7 17%

EPS 24.2 19.2 26%

Highlights Consolidated - Q1 FY 2006-07Highlights Consolidated - Q1 FY 2006-07



Highlights Consolidated - Q1 FY 2006-07Highlights Consolidated - Q1 FY 2006-07

Q1 0607 Q1 0506

A&P / Sales 10.4% 7.3%

PBDIT / Sales 18.1% 19.9%

PBT / Sales 16.0% 17.8%

PAT / Sales 13.8% 16.2%

Net Profit / Sales 14.4% 16.2%

ROCE 84.6% 153.7%

RONW 120.1% 148.6%

EPS Growth 25.9% 57.1%



Segmental data (Q1 FY 2006-07)Segmental data (Q1 FY 2006-07)ConsolidatedConsolidated GCPL StandaloneGCPL Standalone

Q1 06-07Q1 06-07 Q1 05-06Q1 05-06 Segmental RevenueSegmental Revenue Q1 06-07Q1 06-07 Q1 05-06Q1 05-06

129.5 113.8 Soap 129.5 113.8

108.1 53.9 Personal Care 62.1 53.9

237.6 167.7 Total 191.6 167.7

PBIT

16.6 15.2 Soap 16.6 15.2

30.2 21.0 Personal Care 24.0 21.0

46.8 36.2 Segment PBIT 40.6 36.2

1.7 0.9 Less Interest (Net) 0.8 0.9

7.0 5.5 Less other unallocated exp 6.9 5.5

38.1 29.8 PBT 32.9 29.8

Segment Capital EmployedSegment Capital Employed

46.6 42.4 Soap 46.6 42.4

87.4 18.9 Personal Care 13.5 18.9

54.6 18.5 Unallocated 54.6 18.5

188.6 79.8 Total Capital Employed 114.7 79.8



AnnouncementAnnouncementss

• Interim DividendInterim Dividend

• Stock SplitStock Split



Dividend (2006-07)Dividend (2006-07)

• First 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 2006-07 75%

Dividend payout % YTD PAT 63% (Standalone)



Stock SplitStock Split

• The Board has approved a proposal of sub division of

face value of GCPL’s equity share from Rs.4 each to 4

shares of Re.1 each.

• The proposal is subject to shareholders approval at the

AGM on 20-Jul-2006



GCPL GCPL

Business HighlightsBusiness Highlights

2006-072006-07



GCPL Business Highlights 2006-GCPL Business Highlights 2006-0707 Industry Scenario• FMCG sector continues to grow

• Strong GDP growth & good economic fundamentals

• Vegetable oil prices at reasonable levels but rising

• Rupee weakening vs the USD & Euro

• Interest rate & Inflation pressure building up



Soap• GCPL brands grew 21% in value terms

• GCPL outperforming industry

• Godrej No.1 continues to show excellent growth

• Godrej No.1 Lavender launched in Q4 2006 gets excellent response from consumers

• Higher advertising spend for brand building & new product launches

• Capex plans for Malanpur and Katha on track

GCPL Business Highlights GCPL Business Highlights



GCPL Business Highlights GCPL Business Highlights

Personal Care• GCPL Hair colour registers growth of 10% in value terms

• New Godrej Renew gets excellent response in the market

• Shaving Cream continues to register good growth

• Talcum Powder – the introduction of Godrej No.1 & B1G1F offer enabled significant growth

• Snuggy Diapers record healthy growth

• Work is progressing on proposed plant at Sikkim



Acquisition UpdateAcquisition Update



AcquisitionAcquisitionRapidol, South Africa• GCPL has entered into an agreement for the acquisition of

Rapidol, U.K., as well as its subsidiary Rapidol International

• Acquisition proposed to be completed subject to certain regulatory approvals

• Rapidol owns strong ethnic hair colour brands INECTO and SOFLENE trademarks in 10 countries in addition to its present trademark rights through Keyline Brands Ltd.

• Has presence in South African Hair Care market and other African markets

• Opportunity to introduce GCPL’s products in the African continent.



Keyline Brands Limited Keyline Brands Limited Q1 2006-07 PerformanceQ1 2006-07 Performance

Rs.Crore Q1 0607

Sales 46.0

PBIT 6.6

Interest 1.4

PBT 5.2

Tax 1.5

PAT 3.7

EVA 1.1



Sales HighlightsSales Highlights



All figures shown are % for All India Value MSSource : AC Nielsen

IndustryIndustry(AC Nielsen (AC Nielsen

Offtake)Offtake)

GCPL GCPL StandaloneStandalone

(Shipment)(Shipment)

Q1 ’0607 Q1 ’0607 Q1 ’0607Q1 ’0607

Toilet Soaps 8.0%8.0% 21.4%21.4%

Hair Colours 28.9%28.9% 9.9%9.9%

Sales Growth vs Industry GrowthSales Growth vs Industry Growth2006-07 vs 2005-062006-07 vs 2005-06



Market shareMarket share

All figures shown are % for All India Value MSSource : AC Nielsen

Apr-Jun’06Apr-Jun’06 Apr-Jun’05Apr-Jun’05

Toilet Soaps 9.5%9.5% 8.6%8.6%

Hair Colours 39.3%39.3% 39.8%39.8%

GCPL Standalone



Category-wise Turnover Q1 2006-07Category-wise Turnover Q1 2006-07

Net Turnover

(Rs. Crore)

GCPL Standalone

Q1 0607 Q1 0506 Growth%

Toilet Soaps 126.5 104.2 21%

Hair Colour 47.3 43.0 10%

Liquid Detergents 1.0 0.9 10%

Toiletries 13.2 9.4 41%

Total Brand Sales 188.0 157.5 19%

Contract Mfg 0.0 6.7 -

By-Products 3.6 3.5 3%

Total Sales 191.6 167.7 14%



GCPL Sales Mix FY - 2006-07GCPL Sales Mix FY - 2006-07

Godrej Brand Toilet Soaps

(Rs.126.5 cr)

(65%)

Liquid Detergent

(Rs.1.0 cr)(1%)

Hair Colours(Rs.47.3 cr)

(25%)

Toiletries(Rs.13.2cr)

(7%)

By-Products(Rs.3.7 cr)

(2%)



GCPL Financials & RatiosGCPL Financials & Ratios

(Stand alone)(Stand alone)



Rs.Crore Q1 0607 Q1 0506 Growth%

Brand Sales

(Net of Excise)

188.0 157.5 19%

Total Sales 191.6 167.7 14%

Advtg & Publicity 18.1 12.3 47%

PBT 32.9 29.8 10%

PAT 29.2 27.1 8%

Net Profit after Tax adj 30.5 27.1 12%

EVA 27.8 24.7 12%

EPS 21.6 19.2 12%

GCPL - Highlights Q1 FY 2006-07GCPL - Highlights Q1 FY 2006-07

• Figures for GCPL (Stand alone)



GCPL Rs.Crore Q1 0607 Q1 0506 Growth%

Sales – Net of Excise 191.6 167.7 14%

• Brand Sales 188.0 157.5 19%

• Cont Mfg 0.0 6.7

• By-Products 3.5 3.5

Other Income 0.8 0.3

Expenditure 156.0 134.6

PBDIT 36.4 33.4 9%

Depreciation 2.7 2.7

Interest 0.8 0.9

PBT 32.9 29.8 10%

PAT 29.2 27.1 8%

Net profit after tax adj 30.5 27.1 12%

Summarised Profit & Loss AccountSummarised Profit & Loss Account



Balance Sheet Balance Sheet

Liabilities Assets

30-06-06 31-03-06 30-06-06 31-03-06

Equity Capital 22.6 22.6 Net Fixed Assets 79.3 79.9

Reserves 84.0 53.6 Cash & Bank Bal 11.0 13.7

Debt 1.6 4.9 Sh Term Inv 6.3 1.0

Def Tax Liability 6.5 6.6 Inv in Subsidiaries 49.0 49.0

Net Current Assets (30.9) (23.8)

Dividend Payable 0.0 (32.2)

Total 114.7 87.7 Total 114.7 87.7

Rs.Crore



Rs Crore

Q1 06-07

SOURCES

Internal Accruals 33.1

Working Capital Change 7.1

Total 40.2

APPLICATION

Debt Repayment 3.3

Capital Expenditure 2.1

Change cash/ sh term investments 2.5

Dividend 32.3

Total 40.2

Funds Flow Funds Flow



Cost Structure (Q1 2006-Cost Structure (Q1 2006-07)07) Rs.Crore Rs Crore

Q1 ’06-07 %of Sales Q1 ’05-06 %of

sales

Materials cost 94.5 49.3% 83.3 49.7%

Staff Cost 10.3 5.4% 9.8 5.8%

Advtg & Publicity 18.1 9.4% 12.3 7.3%

Other Expenditure 33.1 17.3% 29.3 17.5%

Interest & Financial Charges 0.8 0.4% 0.9 0.5%

Depreciation 2.7 1.4% 2.7 1.6%

Provision for Taxation 3.7 1.9% 2.7 1.6%

PAT 29.2 15.2% 27.1 16.2%

Net Profit after adj 30.5 15.9% 27.1 16.2%

Sales 191.6 100.0% 167.7 100.0%

Other Income 0.8 0.4% 0.3 0.2%



GCPL RatiosGCPL Ratios

Q1 06-07

Q1 05-06

PBDIT / Sales 19.0% 19.9%

PBT / Sales 17.2% 17.8%

PAT / Sales 15.2% 16.2%

Net profit / Sales 15.9% 16.2% (After tax adj)



GCPL Ratios contd..GCPL Ratios contd..

Q1 06-

07 Q1 05-06

NWC / Sales (days) (15) (20)

Fixed Asset T/o Ratio 9.7 6.8

ROCE* 118% 154%

RONW* 109% 149%

EPS (on Rs.4 Share) 21.6 19.2

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



Thank YouThank You

godrej consumer products limited q1 2006-07 performance update godrej consumer products limited...

Documents