Agm 2011 12 Presentation

7/29/2019 Agm 2011 12 Presentation

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Annual General Meeting 2011-12

Presentation by

Harish Bhat, Managing Director


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Highlights of the year : 2011-12

Strong top-line and improved operating

performance despite firm tea and coffee prices

and a challenging marketingenvironment.

Consistent investment in all our brands

in particular, Tata Tea and Tetley

Several innovative products launched

Chai Latte, Tea Infusions, Tata WaterPlus

Favourable impact of cost interventionsand exchange variation


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2007-08 2008-09 2009-10 2010-11 2011-12

43344873

58206003

6631

Highlights : Sales Revenues

Total revenues : +10% against prior year

5 year revenue CAGR at 10%

Prior year numbers have been restated to align to new statutory requirements


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2010-11 2011-12

494

574

2010-11 2011-12

254

356

Highlights : Profit before tax and Group Profits

Profit Before Tax+ 16% Group Profits+ 40%


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Highlights India

Handsome 12% growth in sales revenues

Maintained volume and value market leadershipin India (vol MS -19.6%, val MS - 21.3%)

Soch Badlo campaign launched to celebrate 25years of brand Tata Tea

Gaon Chalo initiative continued, footprintextended to 8 more states.

^ AC nielsen MAT Mar 12


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Tata Tea Premium Advertisement


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Highlights UK, Europe, Russia

UK good growth in an environment where tea market

declined

Tetley has achieved market leadership in new segmentsin UK Tetley Decaffeinated tea, Tetley Redbush tea

Tetley green tea demonstrates excellent growth in UK

Teapigs brand of super premium teas continue to growin UK with distribution gains. Won the Great Tasteawards.

Strong coffee performance in Russia

Efforts to rejuvenate growth in Poland


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Tetley Advertisement


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Highlights Canada, USA, Australia

Canada

Tetley continues to be a strong market leader, with marketvolume share of 39%

Tetley infusions liquid tea mix make strong gains

US Higher coffee commodity prices and promotions costs

adversely impacted profits of Eight OClock Coffee

Mid-sized bag rollout by Eight OClock Coffee

Australia

Fruit and herbal teas, decaff green teas performed well

Strong performance by Tetley Chai Latte


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Canada Green Tea Advertisement


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Highlights : non-branded business

Tata coffee registers a record turnoverand profit aided by improvedrealisation in coffee plantations andimproved Instant Coffee performance

New Instant Tea joint venturecommences operations in China


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0

500

1000

1500

2000

2500

Canada, USA,

Australia

UK, Europe, Russia South Asia Non Branded

Operations

RsCr

2010 2011 2012

Sales Trend for major markets over 3 years

Sales Improvement attributable strong brand performance.

Strong performance in coffee plantation and extraction business.

+5%

+15%

+18%

+24%


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Nourishco (joint venture with Pepsi)

Launch of Tata Water Plus and Tata GlucoPlus

Tata Starbucks (joint venture withStarbucks) Launch of Starbucks in India

Kerala Ayurveda Investments made for product development

Activate in the USA Focus on developing fresh vitamin water

category

Strategic Alliances set the agenda for growth


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Market Capitalisation

0

1000

2000

3000

4000

5000

6000

7000

8000

9000

Mar-05

Jun-05

Sep-05

Dec-05

Mar-06

Jun-06

Sep-06

Dec-06

Mar-07

Jun-07

Sep-07

Dec-07

Mar-08

Jun-08

Sep-08

Dec-08

Mar-09

Jun-09

Sep-09

Dec-09

Mar-10

Jun-10

Sep-10

Dec-10

Mar-11

Jun-11

Sep-11

Dec-11

Mar-12

Jun-12

TGBL - Market Cap Rs. Crs

Rs 8154 cr

Rs 6935 cr

Rs 7415 cr

Rs3593 cr

Rs 2948 cr


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Significant Increase in Dividend Payout

2004/05

2005/06

2006/07

2007/08

2008/09

2009/10

2010/11

2011-12

56 6

7 92

92 1

08

124

124

133

124

Exceptional Dividend

DividendRs Crores


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Some important milestones in 2012

25 years of brand Tata Tea

175 years of brand Tetley


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Some important milestones in 2012

150 years of our national poet,

Rabindranath Tagore


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With the sails billowed by winds anew,

We will go from isle to isle,

Seeking to fill our boat with jewels, precious andunknown.

From a poem titled Commerce, Goddess Lakshmis Abode


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Tagores spirit is also our ambition

We will also set sail, go from isle to isle, search for precious jewels

unknown to the world today

These precious jewels - all in the space of natural beverages such astea, coffee and water - will add goodness to the lives of millions of

people

We see in this voyage an opportunity to transform the world ofnatural beverages, and make this world a better place to live in

We will thus aspire to become one of the finest beveragescompanies known to mankind.


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THANK YOU


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Agm 2011 12 Presentation

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