Hindustan Unilever Limited · NSE:HINDUNILVR
Hindustan Unilever — Q4 2004 Earnings Presentation
15 slides from Hindustan Unilever's earnings presentation, Feb 11, 2005
Slide 1: DQ'04 Results Highlights
Analysts & Press Meet 11th Feb 2005 11th Feb, 2005 DQ’04 Results Highlights 11th Feb, 2005 1
Slide 2: Highlights: Laundry
DQ 2004 Highlights · Laundry value & volume growth 8%+; market shares grow 11th Feb, 2005 Laundry Volume Shares Value Shares 26.4 25.5 37.6 38.0 37.7 37.9 25.3 24.9 MQ'04 JQ'04 SQ'04 DQ'04 MQ'04 JQ'04 SQ'04 DQ'04 Volume Growth% 9.2 Value Growth% 8.8 8.2 5.9 4.7 2.9 MQ'04 JQ'04 SQ'04 DQ'04 -0.9 MQ'04
Slide 3: Highlights: Beverages
DQ 2004 Highlights · Laundry value & volume growth 8%+; market shares grow · Beverages grows by 7% in value; Strong Brookebond growth 11th Feb, 2005 Beverages Tea - Value Shares Tea - Value Growth 30.2 8.0 29.6 29.3 29.0 MQ'04 JQ'04 SQ'04 -0.9 DQ'04 -3.7 MQ'04 JQ'04 SQ'04 DQ'04 -7.6 • BrookeBond gro
Slide 4: Highlights: Processed Foods
DQ 2004 Highlights · Laundry value & volume growth 8%+; market shares grow · Beverages grows by 7% in value; Strong BrookeBond growth · Processed Foods market shares held although sales decline 42% 11th Feb, 2005 Processed Foods • Sales decline arising from corrective actions – Phased stock reductio
Slide 5: Highlights: Soaps and Detergents
DQ 2004 Highlights · Laundry value & volume growth 8%+; market shares grow · Beverages grows by 7% in value; Strong BrookeBond growth · Processed Foods market shares held although sales decline 42% · HPC grows 4.9% in volume and 3.4% in value 11th Feb, 2005 Soaps and Detergents • Laundry : Strong vo
Slide 6: Personal Products
Personal Products • Strong underlying volume growth of 8.7% • Skin : Growth sustained at 8%+on a large base; all brands grow; market shares continue to improve Skin MQ ' 04 JQ ' 04 SQ ' 04 DQ ' 04 Volume Share 60.5 62.3 61.4 62.0 Value Share 59.2 60.0 60.0 60.2 11th Feb, 2005 Personal Products • Too
Slide 7: HPC Segment Results
DQ 2004 Results Highlights Rs Crores · EBIT decline 203 · Mainly due to - Competitive Strategy in 75 Laundry & Hair - Additional A&P spends in HPC 26 - Personal Wash mix & one offs 33 incl Savlon disposal credit in base - Food restructuring costs 39 11th Feb, 2005 DQ 2004 Segment Results - HPC Rs Cr
Slide 8: Processed Foods Segment Results and New Ventures
DQ 2004 Segment Results Rs Crores DQ'04 DQ'03 Processed Foods (34.4) 4.4 • Cost of unsuccessful innovations and trade returns • Impact of lower primary sales 11th Feb, 2005 New Ventures • Water - Launched in Chennai; Encouraging response; Phased roll-out • HL Network - Steady progress; Focus on cons
Slide 9: New Ventures and Sales Summary
New Ventures • Ayush - Progress below expectation; in general trade; Encouraging response in direct selling and therapy centers; Marketing mix under review • Confectionery - Action standards not met; Business discontinued; 11th Feb, 2005 Sales Summary Rs Crores DQ'04 Growth% FY'04 Growth% Domestic F
Slide 10: Results Highlights and Exceptional Items
Results Highlights Rs Crores DQ'04 Growth% FY'04 Growth% PBIT 430 (32.0) 1455 (28.6) Financial Income (Net) 46 5.8 170 (36.3) Int on Bonus Debentures (30) (120) PBT 446 (31.0) 1505 (32.9) PAT 358 (36.4) 1199 (33.5) Exceptional Items (24) (2) Net Profit 334 (32.6) 1197 (32.4) 11th Feb, 2005 DQ 2004 E
Slide 11: Dividends
Dividends • Board recommends a final dividend of Rs 2.5 per share Dividend Per Share of Re 1 2003 2004 Interim 2.500 2.500 Distribution Tax 0.320 0.327 Total Interim Dividend 2.820 2.827 Final 3.000 2.500 Distribution Tax 0.385 0.327 Total Final Dividend 3.385 2.827 Total Distribution (Incl Tax) 6.2
Slide 12: Current market context and 2005 scenario
Current market context FMCG Market (HLL Categories) Growth% 6.1% 0.8% '02 '03 Q1'04 2.0% Q2'04 Q3'04 Q4'04 -1.1% -2.5% -2.8% 2004 Source : AC Nielsen ORG Marg Retail Audit FMCG markets revive after 2 years of decline 11th Feb, 2005 2005 - Scenario • High input cost escalation particularly in chemica
Slide 13: Looking ahead: Key agenda will continue to be Topline Growth
Looking ahead • Strong brands : Rationalization completed • Delivering Consumer Value – Brand relevance; Strategic Pricing; Quality • Innovation / Activation - supported by new organisation • New sales organisation • Foods : Restructuring completed & Supply chain issues resolved 11th Feb, 2005 Key a
Slide 14: Thank You
Thank You 11th Feb, 2005 Analysts & Press Meet 11th Feb 2005 11th Feb, 2005 14
Slide 15: Analysts & Press Meet 11th Feb 2005
Analysts & Press Meet 11th Feb 2005 11th Feb, 2005 15