November 25, 2015

in home care, hair care and

personal care

Leading market share

Emerging markets
FMCG leader

sales in FY15

$1.4
billion

Excellent track record of value creation

among FMCG companies in India

Business snapshot

comes f rom international

businesses

~50% of revenues

Growing presence in Asia,

Africa and Latin America

Leading market positions

FY15

FY14
International

53%

53%

India

47%

47%

Revenue

1HFY16

52%

48%

India

International

FY15

61%

64%

FY14

39%

36%

EBITDA

1HFY16

60%

40%

International business now contributes to nearly half of our consolidated revenues

Our business performance

GCPL

10%

1HFY16*

12%

GCPL Volume growth

FY15 FY15

9%

*Branded business growth for GCPL

FY14FY14

14%

Net sales growth

FY14

17%

FY15

12%

EBITDA growth

1HFY16

18%

We have delivered consistent, healthy volume led ahead of the category sales growth

India business performance

Source: Nielsen

99

44

37

of households use
toilet soap

of households use
household insecticides

of households use
hair colour/henna/dye

There is significant headroom for growth in hair colours and household insecticides

Growth opportunities

in 4

in 4

Source: Nielsen

1
Rural households use household
insecticides

Rural households use hair colours

v/s

2
in 4

in 4

Urban households use household

insecticides

Urban households use hair colours

There is a lot of potential to increase the penetration of hair colours and

household insecticides especially in rural India

Growth opportunities

FY14

18%

FY15

9%

Value growth

1HFY16

14%

Continues to deliver strong growth; leveraging opportunities to increase penetration

Household Insecticides

FY14

6%

FY15

10%

Value growth

1HFY16

8%

Delivering competitive performance

Soaps

FY14

27%

FY15

11%

Value growth

1HFY16

14%

New innovations are driving robust volume -led sales growth

Hair Colours

14%

* FY15

Reported growth

FY14

24%

1HFY16

11%

14%

Organic constant currency growth

FY15

9%

16%

International sales growth

LATAM
16%

UK
13%

Others
4%

Africa
30%

Indonesia
37%

International sales breakup*

International business is scaling up well

India

India

South Africa

Nigeria

Indonesia

Argentina

India

India

We are actively cross pollinating our portfolio

In both years, we have been the highest ranked Indian company on the list

2014: Ranked #31

2015: Ranked #24, with an innovation premium of 65%

Ranked in Forbes list of The worlds 100 most Innovative Growth Companies 2015

Among the worlds most innovative companies

Godrej Expert crme hair colour becomes

the highest selling crme colour (by units)
within 20 months of launch

Godrej Expert Crme

Hair care

An oil-based hair colour with Henna,

in a crme format to tap herbal-based
powder users

Godrej Nupur Crme

Robust innovation track record

Our foray into premium hair care

in India a range to prep, style
and transform

BBLUNT

Cinthol

Strategy of focusing on functional benefits in the

premium segment, supported by 360 degree
activations, delivers encouraging results

Personal care

Robust innovation track record

Re-launched with a new positioning as

Indias No.1 purest soap

Godrej No.1

Good knight Fast Card, our

revolutionary paper-based mosquito
repellent becomes INR 100 crore
brand in less than a year

Good knight Xpress, our advanced

liquid vapouriser based mosquito
repellent with faster action and
greater potency

Good knight

Household insecticides

Robust innovation track record

Hit anti-roach gel, our innovative gel

formulation that attracts and kills
the cockroaches

Hit

Our foray into

air fresheners in India

Godrej aer

Air fresheners and Health & Wellness

Robust innovation track record

Our foray into the health

and wellness sector in India

Protekt

5
6
7

Extending leadership in our

core categories in India

Capitalising on international
growth potential

Accelerating innovation
and renovation

Building a future ready

sales system in India

Our six key business priorities

Reinforcing our
commitment to Good &
Green

Building an agile and

high performance culture

Making our global supply

chain best in class

FY05

FY06

150

700

19.1

FY07

182

952

EBITDA CAGR: 29%

107

563

21.4

Sales CAGR: 31%

19.0

Note: Values in INR crore

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

Sales

FY08

219

1,103

19.8

FY10

411

2,041

EBITDA

FY09

211

1,393

15.1

FY11

653

3,676

17.8

FY12

876

4,851

EBITDA margin (%)

20.1

15.9

FY13

1,015

6,391

15.6

FY14

1,184

7,583

10.0

15.0

20.0

25.0

FY15

1,369 5.0

16.6

8,242

We have consistently delivered strong performance

Q2FY14

Q3FY14

Q4FY14

Consolidated

Q1FY15

India

Q2FY15

51.8%

52.2%
52.0%

International

Q3FY15

Q4FY15

Significant improvement in gross margins

Q1FY16

Q2FY16

55.1%

56.9%

58.6%

Q2FY14

Q3FY14

Q4FY14

India

Q2FY15

Consolidated

Q1FY15

13.0%

16.7%

19.9%

Q4FY15

International

Q3FY15

Strong expansion in EBITDA margins

Q1FY16

Q2FY16

14.9%

18.2%

21.1%

Recognised among the top 25

workplaces in Asia

Ranked among the best

employers in India in 2015

#1 in FMCG
#6 overall
th
12 year in a row on the list

Consistently recognised as a great place to work

Greener
India

Achieve zero waste to landfill, carbon

neutrality and a positive water
balance, while reducing specific
energy consumption and optimising
the use of renewable energy

Ensuring
Employability

Train 1 million youth in skills

that will enhance their
earning potential

Generate a third of our portfolio

revenues from 'good' and/or 'green'
products

Product
Innovation

Awarded the Conscious Capitalist for the year at the Forbes India Leadership Awards
2015

Our Good & Green commitment

SNAPSHOT

2Q FY2016

19%
22%

22%
37%

EBITDA Organic*

EBITDA Organic constant currency*

Net profit

Net profit w/o exceptionals & one-offs

* Excludes Africas inorganic sales of INR 29 crore and EBITDA of INR 2 crore for 2QFY16

19%

12%

8%

10%

Consolidated

EBITDA

Volume growth

Net sales - Organic constant currency*

Net Sales Organic*

Net Sales

Growth

2Q FY16 performance overview

19%

9%

15%

15%

15%

9%

9%

9%

9%

India

89%

59%

35%

26%

27%

15%

8%

11%

International

 New launches are well received; driving penetration in relatively underpenetrated categories

Continue to drive our premiumisation strategy and cost efficiencies

Branded business net sales growth of 10% was driven by a robust volume growth of 9%. Double-digit
volume growth in Household Insecticides and Hair Colours; mid-single digit volume growth in Soaps

Growth primarily volume led and ahead of the category, in all core categories

Strong volume-led, ahead of the market growth in India

 UK performance recovers led by double-digit growth in own and distributed brands

Success of new launches and superior on-ground execution sustains strong sales growth momentum
in Latin America; hair colours market share improves amidst tough competition

Africa hair extensions business continues to deliver volume led sales growth

Indonesia continues its strong growth and significantly outperforms the FMCG industry in a
challenging operating environment

Consistent double-digit constant currency sales growth

International business performance remains strong

1,185
694
58.6%
250
21.1%
190

16.0%

1,091
565
51.8%
217
19.9%
174

15.9%

Sales

Gross Profit

All values in INR crore

Net Profit Margin (%)

Net Profit

EBITDA Margin (%)

EBITDA

Gross Margin (%)

2Q FY16

2Q FY15

India

10 bps

9%

120 bps

15%

680 bps

23%

9%

Y/Y

11.5%

235

16.7%

342

52.0%

1,064

2,048

2Q FY15

2Q FY16 reported performance snapshot

12.8%

287

18.2%

407

56.9%

1,277

2,242

2Q FY16

Consolidated

130 bps

22%

150 bps

19%

490 bps

20%

10%

Y/Y

2,280
1,334
58.5%
431
18.9%
326

14.3%

2,069
1,074
51.9%
364
17.6%
295

14.2%

Sales

Gross Profit

Gross Margin (%)

All values in INR crore

Net Profit Margin (%)

Net Profit

EBITDA Margin (%)

EBITDA

1H FY16

1H FY15

India

10 bps

11%

130 bps

18%

660 bps

24%

10%

Y/Y

9.6%

378

14.8%

583

52.3%

2,056

3,934

1H FY15

1H FY16 reported performance snapshot

11.2%

486

16.7%

723

56.6%

2,457

4,338

1H FY16

Consolidated

160 bps

29%

180 bps

24%

430 bps

20%

10%

Y/Y

Expect competitive volume led consistent and ahead of the category growth rate
across our businesses

Benign commodity cost environment to aid margin expansion

Currency volatility in ZAR, IDR, Argentine Peso

Macro environment headwinds in a few of the countries we operate in

Way ahead

As on September 30, 2015

FII, 29%

DII, 2%

Others, 6%

Promoter, 63%

Shareholding pattern

GIC
Vanguard

Others

Blackrock

LIC

Arisaig

First State

ADIA

Temasek

Aberdeen

Major investors

V Srinivasan
Email: v.srinivasan@godrejcp.com
Tel: +91 22 2519 4316

Contact us

Sameer Shah
Email: sa.shah@godrejcp.com
Tel: +91 22 2519 4467

To know more, visit:

www.godrejcp.com
Tapan Joshi
Email: tapan.joshi@godrejcp.com
Tel: +91 22 2519 5433

THANK YOU FOR YOUR TIME AND CONSIDERATION