FMCG sector concept, Market Structure of FMCG sector,analysis of top five companies on sales, profit, expense parameters of the company include ITC, Marico, Godrej,Nestle, HUL performance till now

1. TopfiveCompanyAnalysis
(FMCGSECTOR)
Submitted by-
Rinshi Singh
Kartik Chauhan
Utkarsha Mehta
Mahesh Junee
• Nestle
• Marico
• ITC
• HUL
• Godrej

2. FMCG SECTOR
• Fast moving consumer goods(FMCG) are products that
are sold quickly & at relatively low cost.
• Though the absolute profit made on FMCG products is
relatively small, they generally sell in large quantities, so
the cumulative profit on such products can be substantial

3. MAJOR PLAYERS
• Hindustan Unilever Ltd.
• Indian Tobacco Company (ITC)
• Nestle India
• Procter & Gamble Health care & Hygiene
• Marico Industries Ltd.
• Godrej Company
• Britannia Industries Ltd.

4. MARKET STRUCTURE
Haircare
23%
Foods
19%
Health
supplements
16%
Oral care
15%
Skin Care
5%
Home care
6%
Digestives
7%
OTC &
Ethicals
9%
Revenue share

5. RESEARCH OBJECTIVE
As FMCG sector is growing at a faster pace with a CAGR
of 20.9% due to several factor like change in customer
psychology, change in income pattern, Liberal government
policy, growing rural consumption, etc. So we come up with
analysis of top 5 companies in FMCG sector that are-
• HUL
• ITC
• NESTLE
• MARICO
• GODREJ

6. FOCUS OF ANALYSIS
• In our research we mainly emphasis on the analysis of
financial statements of five top 5 companies through the
components like sales ,profit, expenses, liabilities, assets
and no. of employees.
• we also analysis the profitability of all the companies to
know their financial performance since last 5 years

7. ANALYSIS MEHTOD
This research has been conducted to analyze the top performer in a
FMCG sector which is growing with the higher rate which help us to
draw inferences about the financial performance of all 5 companies for
that purpose we have taken the financial statement that are balance
sheet and profit & loss statement of all 5 companies to know their sales
figure, profit, assets, and along with that their net profit margin &
operating profit margin to know the operational efficiency of all the
companies
For individual as well as cross analysis of all the companies with their
competitors we have taken the help of pivot table which lead us
directly to know the growth % of individual companies and along with
that their market share in comparison with their competitors.
We have done our all analysis with the MS excel which smoothen the
complex calculation of all the companies and it also one of the time
saving and effective approach

8. FINDINGS
SALES
1464.63
25206.38
29901.27
3554.78
8302.26
1453.55
27408.29
33238.6
3674.78
9061.9
1454.64
30170.5
36507.4
4669.58
9806.27
1309.51
31425.27
36837.39
4938.19
8123.27
1500.09
31298
40088.68
4833.76
9159.28
GODREJ
HUL
ITC
MARICO
NESTLE
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
ITC is the top Player with higher growth In their sales figure
Since past 5 years

9. EXPENSE
1461.01
22067.63
20155.79
3200.54
6780.25
1473.65
23840.45
21686.63
3199.59
7519.93
1559.7
25900.89
24053.01
4090.96
8166.3
1456.48
26578.18
23682.74
4194.13
6970.93
1692.32
26261
26571.63
3970.89
7869.51
GODREJ
HUL
ITC
MARICO
NESTLE
0 5000 10000 15000 20000 25000 30000
• Marico demonstrated its tremendous performance
in last 5 years in terms of reducing their expense.
• Nestle has incurred high amount of expense
because of high promotional expense in order to
gain their market share

10. PROFIT
GODREJ
HUL
ITC
MARICO
NESTLE
96.74
3796.67
7418.39
577.22
1067.93
119.69
3867.49
8785.21
577.22
1117.13
148.81
4315.26
9607.73
545.17
1184.69
157.3
4082.37
9844.71
701.86
563.27
-145.24
4490
10200.9
842.7
926.54
2013 2014 2015 2016 2017

11. CONCLUSION
• The learning from the project of analyzing the top five companies of FMCG Sector we came
to know about several factors about the financial performance of the companies in last five
years by using five variables i.e. sales, net profit, assets, liabilities, expense.
• We have used the pivot table for cross analysis of all the companies to know the financial
position of the company as ITC is a top performer in all aspect as it have high amount of
assets, net profit and the sales figures. On the other hand they focus on reducing their expense
figure with the category of depreciation, finance cost also of ITC & Marico. But we also came
to know that company do not make any compromise on their employees part as the employees
benefit expense increases because it directly impact the business productivity & overall
performance.
• We have taken Nestle company for our analysis in which we came to know Nestle has
suffered huge loss because of the Maggi incident as they all of sudden lose their market share
but Nestle has outperformed in framing the business strategy which help them a lot in gaining
their market share as well as their customer base. The company incurred a huge amount in
promotional and advertisement aspects of the company that directly impacts the customer
psychology for trusting ion Nestle brand again.
• One of the important learning from this project is how the small company can compete with
existing brand and tab the sufficient market share which Marico has proved in last 5 years.
They reduce their expense and increase their operating efficiency which indirectly leads
Marico to grow their operating as well as net profit margin.