India’s largest FMCG Company. Founded by 1932. It is owned by Anglo-Dutch company Unilever which owns a 67% controlling share in HUL. Headquartered in Mumbai. Over 700 million consumers. More than 16,500 employees.

1. Presented by
Zil Shah

2. Industry Snapshot
 The Indian FMCG sector is the fourth largest in the
economy
 Low per capita consumption as well as low penetration
level, but potential for growth is huge
 Strong and competitive MNC presence across the entire
value chain
 According to the study conducted by AC Nielsen, 62 of the
top 100 brands are owned by MNCs, and the balance by
Indian companies
 FMCG sector comprises of Personal Care, Food & Beverages
& Household Care
 Key players include P&G, HUL, ITC, Marico, Godrej, Dabur,
Nestle, Cadbury

4. Profile Of The Company
 India’s largest FMCG Company.
 Founded by 1932.
 It is owned by Anglo-Dutch company Unilever
which owns a 67% controlling share in HUL.
 Headquartered in Mumbai.
 Over 700 million consumers.
 More than 16,500 employees.
 Listed at BSE (Stock code - 500696) and NSE
(Stock code – HINDUNILVR)

5. Vision
To earn the love and respect of India, by
making real difference to every Indian.
Mission
The highest standards of corporate behaviour
towards everyone we work with, the
communities we touch, and the environment on
which we have an impact.

6. Mergers & Acquisition by
HUL

7. Products

8. Same products categories targeted at
different income group

9. HUL – Geographic Presence
• Production
More than 35 manufacturing locations across
India, with major hubs being Assam, Uttaranchal,
Himachal Pradesh, Pondicherry and Dadra &
Nagar Haveli

10. Distribution Channel
HUL
Carrying &
forwarding
agents
Stockiest
Retail
outlet
Customers
CSD
Canteens
Customers
Modern
trade
Customers

11. Revenue Share
Ice cream
2%
Soap and
Detergents
48%
Personal
products
26%
Food
1%
Beverages
11%
Exports
4%
Others
8%

12. Reasons For Sales Growth
 General Trade
 Self-service Stores
 Project Shakti

13. Liquidity Ratios

14. Current Ratio
0.72
0.74
0.76
0.78
0.8
0.82
0.84
0.86
2012 2013 2014
0.86
0.78
0.77
Current ratio= Current Assets
Current Liabilities

15. Quick Ratio
0.42
0.43
0.44
0.45
0.46
0.47
0.48
0.49
0.5
2012 2013 2014
0.5
0.45
0.49
Quick Ratio = Quick Assets
Current liabilities

16. Leverage Ratios

17. Debt to Equity
0
0.001
0.002
0.003
0.004
0.005
0.006
0.007
0.008
0.009
0.01
2012 2013 2014
0
0.01 0.01
Debt-Equity=debt/equity

18. Proprietary Ratio
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
2012 2013 2014
0.34
0.27 0.28
Proprietary ratio=Shareholders fund/total
assets

19. Interest Coverage Ratio
0
500
1000
1500
2000
2500
2012 2013 2014
2195.95
197.968 129.2
Interest Coverage ratio=EBIT/Interest

20. Profitability Ratios

21. Gross Profit Margin
14.31
15.66
16.16
13
13.5
14
14.5
15
15.5
16
16.5
2012 2013 2014
Gross Profit Margin=Gross Profit/Net
sales

22. Net Profit Margin
11.91
14.18
13.5
10
11
12
13
14
15
2012 2013 2014
Net Profit Margin=net profit after tax
and interest/
net sales

23. Return on Assets
25.74
32.68
30.56
0
5
10
15
20
25
30
35
2012 2013 2014

24. ROCE
95.3
155.23 140.35
0
20
40
60
80
100
120
140
160
180
2012 2013 2014
Return on Capital Employed

25. Return on Shareholders
Funds
76.06
134.02
111.83
0
20
40
60
80
100
120
140
160
2012 2013 2014
Return on Shareholders
Funds=NPAT/Shareholders Fund

26. EPS
12.95
17.75 18.29
0
5
10
15
20
2012 2013 2014
Earnings Per Share

27. DPS
7.5
18.5
13
0
5
10
15
20
2012 2013 2014
Dividend per share

28. P/E Ratio
0
5
10
15
20
25
30
35
40
45
50
2012 2013 2014
31.42
28.85
48.49
P/E Ratio = Market Price
Earnings

29. Activity Ratios

30. Inventory Turnover Ratios
6.5
7
7.5
8
8.5
9
2012 2013 2014
7.6
9 9

31. Asset Turnover Ratio
1.85
1.9
1.95
2
2.05
2.1
2.15
2.2
2.25
2012 2013 2014
2.01
2.24
2.15

32. Comparison Between Peers

33. Current Ratio
0
0.2
0.4
0.6
0.8
1
1.2
1.4
HUL ITC DABUR GODREJ
0.77
1.25
1.13 1.1

34. Quick Ratio
0
0.1
0.2
0.3
0.4
0.5
0.6
0.7
0.8
0.9
HUL ITC DABUR GODREJ
0.49
0.71
0.87
0.71

35. Debt Equity Ratio
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
0.4
0.45
HUL ITC DABUR GODREJ
0.01 0.001
0.02
0.45

36. Net Profit Margin
0
5
10
15
20
25
30
HUL ITC DABUR GODREJ
13.5
25.17
12.9
9.92

37. ROCE
0
20
40
60
80
100
120
140
160
HUL ITC DABUR GODREJ
154
53.29
66.12
23.37
Return on capital employed

38. EPS
0
5
10
15
20
25
HUL ITC DABUR GODREJ
18.29
11.18
5.25
22.15
Earnings per share

39. PE Ratio
0
10
20
30
40
50
60
HUL ITC Dabur
India
Marico Industry
48.67
28.94
50.11 47.04
35.76
PE Ratio

40. THANK YOU