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Analyst MeetMay 24, 2016

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Agenda

2

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3

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4

External Environment

•  

•   A B, B, AD CAD

Cost management,Develop new growth avenues 

Cost management,Develop new growth avenues 

Shift in market

trends

•  

•  

Focus on emerging trends – Health & Wellness, Premiumisation,

Convenience Expand non-black portfolio 

Focus on emerging trends – Health & Wellness, Premiumisation,

Convenience Expand non-black portfolio 

•  

•   A

Brand building,new product development,

operating efficiencies 

Brand building,new product development,

operating efficiencies 

•   ;

•  

•   C

Strategic buying,Blend optimisation Strategic buying,

Blend optimisation 

Competitiveintensity

Commoditycosts

Macroeconomicenvironment

Implications

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Emerging trends

5

&

•  

•   C D

•  

•   B

Category growth – USA

Non-black vs Black – relative growth

2010-2015 CAGR 

2015-2020 CAGR 

Source: Euromonitor (based on value @ manufacturer selling price)

1.9x

3.7x

2.0x

1.3x

India

UK

USA

Canada

12%

7%

4%

0%

7%

    R   T   D   C  o   f   f  e  e

    R   T   D   T  e  a

    B  o   t   t   l  e   d

   W  a   t  e  r

    C  a  r   b  o  n  a   t  e  s

    S  p  o  r   t  s  a  n   d

   E  n  e  r  g  y

   D  r   i  n   k  s

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Emerging trends

6

•  

•   ..

•   C

•   E

•   E

Coffee Pods % of total category - USA

New channels

7%11%

17%

25%

30%

35%

2010 2011 2012 2013 2014 2015

Source: Euromonitor 

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TGBL’S STRATEGIC PRIORITIES

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TGBL’s strategic priorities

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B

•   F : , C,

•   : , , C, A (C), C E

  F ,

  , &   D (.. , )

•   C :

•   A

•   E, A (C) A ()

•   C &D : , & ( )

•  

•  

•   A : ,

•   C

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FY 15-16 BUSINESS PERFORMANCE

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Snapshot of financials

Total Operating Income

+ 2% - 17%

+ 32%

Total Operating Profits

Group Net Profits

Rs Crs Rs Crs

Rs Crs

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FY 15-16 Business Summary

 

•   •    

 

•    •  

  •   •  

 

•  

•    •  

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New product launches

(A)

() ()

/ ()

/ (A)

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Investing behind power brands

13

Sr.

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Investing behind power brands: Tetley brand re-stage

14

 

  &

 

  &  

   

 

New logo andpackaging

Brand new TVcampaign

amplified withprint and PR

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Green tea and super premium segments growing in key markets

15

 

 

 B

 

 

 

 D

  #1

#2 C

 

  E A

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Performance Update – India

  B B

•  

• 

o   B

o   D

•   :

  B B /

•   •   F

 

•   C

 

7%

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Performance Update – Businesses in investment phase

 

•  

•   C 82

•   E ,

•   F

 

•  

•   ;

•   F

 

•   2 , A AE

•   CC

•   D

  A (A )

•   •  

•   E

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Performance Update – Non Branded Business

 

•  

•  

•   C

 

•   /

•   C

•  

 

•  

•  

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Awards and Achievements

50 49  

2016

! 

 

2015

12 2016

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FINANCIAL OVERVIEW

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Financial Overview

 

•   ( ).

•   B B•   (B, B, AD, CAD),

 

•   . C

.

•   ,•  

 

•   ,

•   C E E , .

 

•   E

•  

•  

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Financial Highlights

Quarter ending March Particulars Year ending March

Actual PY Variance (In Rs crores) Actual PY Variance

1966 1923 43 Total Operating Income 8111 7993 118

132 163 -31 EBIT 532 642 -110

16 8 8 Other Income 71 70 1

-18 -18 0 Finance Cost -69 -82 13

130 153 -23 Profit Before Exceptional Items 534 630 -96

30 -103 133 Exceptional Items 12 -130 142

160 50 110 Profit Before Tax 545 500 45

-52 -35 -17 Tax -210 -216 6

108 15 93 Profit After Tax 335 284 51

-23 -24 1 Share of Profit from Associates -1 -11 10

21 13 8 Minority Interest in consolidated profit -8 -25 17

107 4 103 Consolidated Group Profit 326 248 78

1.69 0.06 Earning Per Share (Rs) 5.16 3.93

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SEBI

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Balance Sheet

( )

2016 2015

F   6600 6368

B   1182 1324

C   446 461

C   1390 1358

A   9618 9511

AA

A:

  3792 3892

F A   1101 1077

609 622

C & D   1198 1225

C A   296 212

C A   2622 2483

A   9618 9511

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Dividend

Dividend declared 225%, same as PY.

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Thank you