Analyst Presentation 2018
Analyst Presentation 2018
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Disclaimer
This Presentation and its related publication, release, webcast or communication (together the “Presentation”) is for general information purposes only. This
Presentation does not solicit any action by Colgate-Palmolive (India) Limited (the “Company”) based on the material contained herein. Nothing in this
Presentation is intended by the Company to be construed as legal, accounting, investment or tax saving advice.
This Presentation includes statements that are, or may be deemed to be, “forward-looking statements”(except for the historical information). These
forward-looking statements appear in several places in the Presentation and are based on certain expectations, assumptions, anticipated developments and
various other factors which are not limited to, risk and uncertainties regarding fluctuations in market share, earnings, market growth, intense competition
and the pricing environment in the market, consumption level, ability to maintain and manage key business stakeholders and external factors having impact
on the conduct of the business not limited to inflation, currency fluctuations, climatic changes, political and regulatory environment, Government policies
and changes in international oil prices etc.
The Company, therefore, in no way assures, represents, warrants, guaranty, undertake, express or imply, given that such statements, views, projections or
forecasts are correct or that the objectives of the Company will be achieved as contained in the Presentation. The Company’s actual results of operations,
financial condition, stability, liquidity, and the development of the industry / business sector in which the Company operates, may differ materially from
those suggested by the forward-looking statements contained in this Presentation. The Company may alter, amend, modify, revise or make necessary
changes in any manner to any such forward looking statements contained herein including but not limited to oral forward looking statements as may be
required from time to time on the basis of any subsequent developments, conditions, circumstances, information, events or otherwise.
The Company expressly disclaims and does not assume or undertake any obligation to update forward looking statements to reflect the events,
developments or circumstances after the date of the Presentation. Neither the Company nor its affiliates or advisors or representatives nor any of its or their
parent or subsidiary companies or undertakings or any such person's officers, directors or employees guarantees that such forward-looking statements and
its assumptions, including oral or implied, are error free, lacking omissions, fair, accurate and complete nor does either assume or accept any responsibility
for such forward-looking statements in future or the actual occurrence of such projections or forecast based on such forward-looking statements.
This Presentation should not be in any manner whatsoever construed as an approval, acknowledgement, confirmation or acceptance by any statutory or
regulatory authority in India including the stock exchanges in India. The material contained in this Presentation is subject to change without notice and past
performance and historical trends or information is not indicative of future results.
This Presentation is for information purposes only and does not constitute or should not be construed as an offer / invitation for sale or subscription of or
solicitation for any securities of the Company. Investors are cautioned to exercise diligence before taking any investment decisions or otherwise and
Company assumes no responsibility for any loss or damage suffered due to any decisions made on the basis of this Presentation.
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Financial Strategy
Sales/ Volume
Margin
Non Variable
Overheads
Advertising
Operating
Profit
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Financial Results
Q4 2017-18
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Net Sales
(Rs. Crores)
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Gross Margins
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Advertising
(Rs. Crores)
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EBDITA
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Profit After Tax
(Rs. Crores)
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Summary Q4 2017-18
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Financial Results
FY 2017-18
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Net Sales
(Rs. Crores)
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Gross Margins
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Advertising
(Rs. Crores)
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EBDITA
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Profit After Tax
(Rs. Crores)
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Summary FY 2017-18
Gross Margin
+160 bps increase
Advertising
+13% to Sales
EBITDA
27% to sales
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1937 1949 1976 1978 1993 1997 2000 2004 2005 2007 2009 2012 2014 2016
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Source: Economic Times , Brand Equity Annual Survey Slide 23
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Consolidated Volume Growth Pricing Growth Nominal Growth
19.6%
10.9%
9.4%
8.0% 6.5% 8.5% 6.2% 6.6%
7.8%
6.2% 6.0% 6.3% 5.9% 6.6% 6.3%
9.0% 4.1%
3.2% 6.3% 6.0% 12.0% 0.6%
6.1% 5.9% 7.4% 5.6% 5.6% 7.2%
6.0% 6.1% 4.7% 5.5% 5.3% 5.7%
2.1% 2.7% 2.5% 5.7%
0.1% -0.1% 0.7% 0.2% 1.1%
-2.8%
2015 2016 2017 Q1'15 Q2'15 Q3'15 Q4'15 Q1'16 Q2'16 Q3'16 Q4'16 Q1'17 Q2'17 Q3'17 Q4'17 Q118
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56.1 57 57.4 55.6
53.3 52.7 54.5 53.7
52.2
48.8 49.4
25.1 24.6
22.8 22.6 23.3 23.5 22.8 21.3
19.6 19.1 17.6 Competitor 1
Competitor 2
14.8 14 13.4 13.4 13.9 15.3 15.5
11.9 12.2 12.9 13.7 2.8
0.1 0.4 0.6 1.3 6.7
Competitor 3
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
56 57 57
54 55
53 53 54
52 52
49 50 49 49 49 49
49 New entrant
47 47
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
CP Toothpaste
Market : All India(U+R) Volume Share Source : A C Nielsen DEC’17
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Consolidated Volume Growth Pricing Growth Nominal Growth
28.0% 21.1%
19.6%
17.8% 11% 18.2% 2%
15.1% 14.0%
12.3% 13.0% 13.5% 13.0%
10% 3% 10.8%
8% 11% 3% 3%
6.9% 8% 8.1% 2% 19% 2.0%
16% 5.3% 6%
16%
12% 2.6% 11% 11% 10% 9.0%
9% 9% 10%
11% 6% 6% 14%
2%
-4% -4% -7%
-8%
2015 2016 2017 Q1'15 Q2'15 Q3'15 Q4'15 Q1'16 Q2'16 Q3'16 Q4'16 Q1'17 Q2'17 Q3'17 Q4'17 Q1'18
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
CP Toothbrush Competitor 1 Competitor 2
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Innovations developed over the last
few years
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Driving Awareness - SVS
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New Max Fresh Relaunch
Intense
Freshness
Prevents bad
breath
Taste I like
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Consumer Engagement on CAS
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Save Water Program
•
•
•
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Save Water Program
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Net Sales
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Gross Margin
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PAT
2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 2015-16* 2016-17* 2017-18*
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EPS
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DPS
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Well-poised to continue to grow
shareholder value
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Lets Talk
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