Hindustan Unilever Limited · NSE:HINDUNILVR
Hindustan Unilever — SQ 2016 Earnings Presentation
27 slides from Hindustan Unilever's earnings presentation, Oct 26, 2016
Slide 1: Hindustan Unilever Limited SQ 2016 Results Presentation
Hindustan Unilever Limited SQ 2016 Results Presentation, 26th October 2016 1
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: Analysts' Feedback
Analysts’ Feedback Views sought on Response Published by HUL Results before or after 1 After market hours After market hours market hours 2 Report EBIT/ EBITDA EBITDA EBITDA Standalone/ Consolidated 3 Standalone Standalone financials 3
Slide 4: Agenda
Agenda 1 Strategy 2 Business Context 3 Current Quarter Performance 4 First Half 2016 -17 Performance 5 Looking Ahead 4
Slide 5: Clear and compelling strategy
Clear and compelling strategy Strategic Framework Sustainable Living Plan Goals Consistent Growth Competitive Growth Profitable Growth Responsible Growth 5
Slide 6: SQ 2016: Quarter Summary
SQ 2016: Quarter Summary Challenging business environment Market growth continues to be soft Input costs inflate further HUL : Profitable growth sustained in a challenging market 6
Slide 7: SQ 2016: Profitable growth in a challenging market
SQ 2016 : Profitable growth in a challenging market Domestic Consumer growth +2%, underlying volume growth -1% Price increase in Personal Wash impacts volumes EBITDA at Rs. 1405 Crores up 5%; margin expands +60 bps EBIT at Rs. 1310 Crores up 4%; margin expands +40 bps COGS higher due to ri
Slide 8: Impact of change in presentation
Impact of change in presentation Rs. Crores SQ ’16 SQ ’15 Bps Sales (Net of Excise Duty) 7,698 7,596 Add: Excise duty 638 617 Sales (Gross of Excise Duty) 8,335 8,213 EBITDA 1,405 1,337 EBITDA Margin (on Net Sales) 18.2% 17.6% 65 bps EBITDA Margin (on Gross Sales) 16.9% 16.3% 60 bps ‘Income from ope
Slide 9: Mixed performance across segments
Mixed performance across segments Segments Sales Growth (%) Home Care 4 Personal Care (1) Refreshment 8 Foods 2 Domestic Consumer 2 Home Care: Robust growth with continued momentum on premium laundry Personal Care: Growth impacted by slowing markets and Personal Wash volumes Refreshment: Stron
Slide 10: Continued focus on innovations
Continued focus on innovations 10
Slide 11: Personal Wash: Strengthening the Core
Personal Wash: Strengthening the Core 11
Slide 12: Building Naturals
Building Naturals Within the existing portfolio Extending to new geographies Building a master brand 12
Slide 13: Home Care
Home Care Fabric Wash | Household Care | Water 13
Slide 14: Home Care
Home Care Robust growth with continued momentum on premium laundry Fabric Wash: Growth continues to be driven by the premium segment Surf maintains its strong volume-led growth Household Care: Vim liquid does well on back of sustained market development Water: Strategic interventions working
Slide 15: Personal Care
Personal Care Personal Wash | Skin Care | Hair Care | Oral Care | Deodorants | Color Cosmetics 15
Slide 16: Personal Care
Personal Care Growth impacted by slowing markets and Personal Wash volumes Personal Wash: Performance impacted by price increases in the quarter Skin Care: Growth driven by BB & CC creams Hair Care: Dove and TREsemme sustain robust growth Indulekha doing well; extended to 4 new states 16
Slide 17: Personal Care (contd.)
Personal Care ….(contd.) Oral Care: Subdued performance; Pepsodent starts recovering post relaunch Colour Cosmetics: Broad based innovation led growth Deodorants: Axe Signature continues to gain ground 17
Slide 18: Refreshment
Refreshment Tea | Coffee | Ice Cream & Frozen Desserts 18
Slide 19: Refreshment
Refreshment Strong growth led by Tea Tea: Broad based growth across brands Green Tea & Natural Care sustain their strong growth momentum Coffee: Bru Gold continues to lead category premiumisation Ice Cream & Frozen Desserts: Magnum Minis introduced during the quarter 19
Slide 20: Foods
Foods 20
Slide 21: Foods
Foods Modest growth in a challenging market Continued focus on market development Kissan: premium range of Jams gaining traction with consumers Knorr: growth driven by Instant Soups 21
Slide 22: SQ 2016: Results Summary
SQ 2016 : Results Summary Rs. Crores Particulars SQ’16 SQ’15 Growth % Sales 8,335 8,213 1.5 EBITDA 1,405 1,337 5.1 Add : Other Income 253 194 30.4 Exceptional Items – Credit / (Charge) 18 (12) PBT 1,576 1,438 9.6 Less : Tax 481 456 PAT bei 1,082 990 9.3 Net Profit 1,096 982 11.6 Reported Domestic
Slide 23: First Half 2016-17
FIRST HALF 2016-17 23
Slide 24: First Half 2016-17: Results Summary
First Half 2016-17 : Results Summary Rs Crores Particulars FH’16-17 FH’15-16 Growth % Net Sales 16,998 16,510 3.0 EBITDA 3,041 2,849 6.7 EBITDA margin (%) 17.9 17.3 PAT bei 2,210 2,053 7.6 Net Profit 2,270 2,051 10.6 Reported Domestic Consumer growth 3%; Underlying volume growth 1% Base numbers adju
Slide 25: Interim Dividend
Interim Dividend FH’16-17 FH’15-16 Particulars Interim Interim Dividend Per Share (Rs.) 7.0 6.5 No. of Share (Crs.) 216 216 Total Dividend (Rs. Crs.) 1,515 1,407 Div. Dist. Tax (Rs. Crs.) 308 286 Total Div. Outflow (Rs. Crs.) 1,823 1,693 25
Slide 26: Looking Ahead
Looking Ahead Near term outlook: Gradual improvement expected in market growth – good monsoon Sales growth will be positively impacted by recovery in markets Rising trend in input costs; Price- Volume likely to rebalance Strategy unchanged: Focus on volume growth and improvement in operating
Slide 27: For more information & updates
For more information & updates Visit our website HUL Investor App 27