INTRODUCTION

• Fast moving consumer goods (FMCG) is the 4th largest sector in the
Indian economy.

3 Mains Segment of FMCG Sector

Food & Beverages HeathCare consists of Household & personal

consists of 19 % of the 31 % of the sector Care consists of 50% of
sector. the sector.

• The main reason for the growth of FMCG sector is growing awareness,
easier access and changing lifestyle of the consumers. Around 55% of
revenue share is generated by the Urban Segment in the FMCG Sector.
These initiatives are expected to increase the disposable income in the
hands of the common people, especially in the rural area, which will be
beneficial for the sector.

• Around 45% of revenue is generated by the Rural Segment in the FMCG

Sector. Demand for quality goods and services have been going up in
rural areas of India, on the back of improved distribution channels of
manufacturing and FMCG companies.

• The Government of India has approved 100% Foreign Direct Investment

(FDI) in the cash and carry segment and in single-brand retail along with
51% FDI in multi-brand retail.

• The Goods and Services Tax (GST) is beneficial for the FMCG industry
as many of the FMCG products such as Soap, Toothpaste and Hair oil
now come under 18% tax bracket against the previous 23-24% rate.
Also, rates on food products and hygiene products have been reduced
to 0-5% and 12-18%, respectively.

Revenues of FMCG sector reached Rs 3.4 lakh crore in FY18 and are
estimated to reach US$ 103.7 billion in 2020.
KEY BENEFITS OF FMCG SECTOR

• The report provides an in-depth analysis of the current trends, drivers, and
dynamics of the FMCG market to elucidate the prevailing opportunities and tap
the investment pockets.

It offers qualitative trends and quantitative analysis of the global FMCG

market from 2018 to 2025 to assist stakeholders to understand the market
scenario.

In-depth analysis of the key segments demonstrates the types of fast moving
consumer goods available.

Competitive intelligence of the industry highlights the business practices

followed by key players across geographies and the prevailing market
opportunities.

Key players and their strategies and developments are profiled to understand
the competitive outlook of the market.

Market Segmentation of FMCG Sector

2%

10%

Food & Beverages

15% Personal Care
Tobacco
53%
Household Care
Lightining
20%
 Balance Sheet of Britannia Industries

Particulars Mar'19 Mar'18 Mar'17 Mar'16 Mar'15

Liabilities
Share Capital 24.03 24.01 24 24 23.99

Reserves & Surplus 4015.42 3211.27 2557.98 1676.16 1211.63

Net Worth 4039.45 3235.28 2581.98 1700.16 1235.62
Secured Loan 0.26 0.3 0.44 3.35 4.3

TOTAL LIABILITIES 4039.71 3244.59 2582.42 1703.51 1239.92

Assets
Gross Block 1738.59 1320.03 1012.92 1176.06 986.66

(-) Acc. Depreciation 410.99 288.76 173.6 536.67 460.71

Net Block 1327.6 1031.27 839.32 639.39 525.95

Capital Work in Progress 64.91 200.28 29.77 74.5 48.22

Investments 1645.67 1186.13 599.91 894.88 661.04
Inventories 718.89 594.58 602.61 384.01 345.74
Sundry Debtors 350.96 230.32 126.41 106.7 70.98
Cash and Bank 40.48 97.25 53.55 24.8 186.67

Loans and Advances 1504.46 1287.47 1444.57 942.98 623.39

Total Current Assets 2614.79 2209.62 2227.14 1458.49 1226.78

Current Liabilities 1424.74 1211.66 939.24 871.67 811.16
Provisions 188.52 171.05 174.48 492.08 410.91

Total Current Liabilities 1613.26 1382.71 1113.72 1363.75 1222.07

NET CURRENT ASSETS 1001.53 826.91 1113.42 94.74 4.71
TOTAL ASSETS(A+B+C+D+E) 4039.71 3244.59 2582.42 1703.51 1239.92

Profit and Loss of Britannia Industries Limited

Particulars Mar'19 Mar'18 Mar'17 Mar'16 Mar'15

INCOME:

SALES 10482.45 9304.06 8414.37 7947.9 7175.99

Other Income 190.52 155.93 144.78 98.21 87.53

TOTAL INCOME 10672.97 9459.99 8559.15 8046.11 7263.52

EXPENDITURE:

Manufacturing Expenses 140.44 94.98 75.04 57.06 67.42

Material Consumed 6307.91 5792.31 5213.99 4635.98 4330.96

Personal Expenses 321.64 294.87 241.68 209.21 176.79

 Selling Expenses 437.92 345.43 322.07 384.25 0

Administrative Expenses 1612.41 1365.99 1357.44 1529.58 1829.32

TOTAL EXPENDITURE 8820.32 7893.58 7210.22 6816.08 6404.49

Operating Profit 1662.13 1410.48 1204.15 1131.82 771.5

EBITDA 1852.65 1566.41 1348.93 1230.03 859.03

Depreciation 135 119.76 96.43 86.89 117.27

EBIT 1717.65 1446.65 1252.5 1143.14 741.76

Interest 1.54 1.45 1.34 1.25 1.21

EBT 1716.11 1445.2 1251.16 1141.89 740.55

Taxes 593.91 497.31 407.47 382.47 260.2

Profit and Loss for the Year 1122.2 947.89 843.69 759.42 480.35

Non Recurring Items 0 0 0 -10.33 142.06

REPORTED PAT 1122.2 947.89 843.69 749.09 622.41

KEY ITEMS

Equity Dividend 238.45 210.35 191.1 191.1 152.82

Equity Dividend (%) 992.3 876.09 796.25 796.25 637.01

Shares in Issue (Lakhs) 2403.18 1200.59 1200.01 1199.76 1199.26

EPS - Annualised (Rs) 46.7 78.95 70.31 62.44 51.9

Market Capital of Britiannia Industry- Rs.73,718 Cr

Current Price – Rs.3,066

Increase in sales of Britannia Industry over a 5 years

Sales
12000
11055
10000 9914
9054
8000 8397
7858

6000
Sales
4000

2000

0
1 2 3 4 5

Test of Profitability – Net Profit

Net Profit
1400
1159
1200
1004
1000 884
825
800 689
600 Net Profit

400

200

0
1 2 3 4 5
Test of Profitability – Operating Profit

Operating Profit
2000
1800 1732
1600 1501
1400 1224 1278
1200
1000 850
Operating Profit
800
600
400
200
0
1 2 3 4 5

Dividend Payout Ratio of Britannia Industry Last 5 years

Dividend Payout Ratio

31% 28%
2015
2016
2017
29%
30% 2018
2019

30%
Overall Analysis of 5 Industry

Test of Profitability- Gross Profit

25

20

Britania
15
parle
hul
10
colgate
godrej
5

0
Mean Sd

Test of Profitability- Net Profit

16

14

12
Britania
10
parle
8
hul
6 colgate
4 godrej

0
Meam Sd
Test of Liquidity- Current Ratio

1.6

1.4

1.2

0.8 mean
sd
0.6

0.4

0.2

0
Britania hul colgate godrej

Cash Flow indicator Ratio- Earning Retention Ratio

180
160

140
120 Britania
100 parle

80 hul

60 colgate
godrej
40
20

0
Mean SD
Cash Flow indicator Ratio- Dividend Payout Ratio

90.00
80.00
70.00
60.00 Britania
50.00 parle

40.00 hul

30.00 colgate
godrej
20.00

10.00
0.00
Mean Std Deviation