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MARICO LTD.

PRICE QUOTES

Industry: Personal Care Chairman and Managing director: Harsh Mariwala


ISIN No INE196A01026 52Week High 145 Book Value 9.32 Face Value 1.00
BSE Code 531642 52Week Low 84 EPS 3.83 P/E 33.56
NSE Code MARICO P/BV 13.79 Div Yield 0.51 Market Cap. 7887.06

Stock prices are delayed by 15 minutes.

Price Quotes BSE


Last Traded Price 127.95
Last Traded Date 24 Aug 2010 24 Aug 2010
Last Traded Time 3:59:00 PM 3:19:36 PM
Change (Rs.) -0.65
% Change -0.51% -0.04%
Day's Open 129.00
Previous Close 128.60
Day's High 132.70
Day's Low 126.55
Bid Price 128.50
Bid Quantity 41
Offer Price 0.00
Offer Quantity 0
Total Traded Value
2,037.36
(Rs. In Lakhs)
Total Traded Quantity 136,875
Number Of Trades 1,714

Other Details
Website www.marico.com
Email milinvrel@maricoindia.net
Listed BSE , NSE

1988
- The Company was incorporated on 13th October, under the name of Marico Foods
Ltd. It obtained the Certificate of commencement of business on 22nd November.
- The Company is engaged in the business of manufacture and marketing of branded
personal care products, edible oils, fabric care products and processed foods. The
Company's products are sold under the brand names Parachute, Saffola, Sweekar,
Marico's Hair & Care, Revive and Sil.
1989
- The name of the Company was changed to Marico Industries Limited w.e.f. 31st
October.
- In December, the Company entered into an agreement with M/s. Rasoi Industries
Limited for purchase of its unit located at M.I.D.C. Industrial Estate, Jalgaon.
1990
- The Company entered into a Registered Users Agreement dated 26th September, with
BOIL for the use of the brands "Parachute" and "Saffola" for an initial period of 3 years
commencing from 1st April.
1993
- The Company established a new plant at Kanjikode, Palghat District, Kerala to
manufacture Parachute Coconut Oil. This plant with capacity of 24000 tons of coconut
oil per annum began commercial operation in May.
- The products Parachute Coconut Oil, Saffola and Sweekar are manufactured at the
Company's factories. The products Marico's Hair & Care, Revive Instant Starch,
Parachute Amla and Parachute Herbal are manufactured on job work basis as per the
Company's quality specifications and under the brand names of the Company.
- The Company has two SSI Units namely M/s. Amardeo Plastic Industries having its
factory at Mumbai.
- The SIL range of jams and food products are manufactured by Kanmoor Foods
Limited (KFL) and marketed by the Company.
- Saffola won the Most Outstanding `Brand of the Year' Award instituted by the
Advertising Club of Mumbai.
1994
- Agreements dated 21nd February 1994 and 16th November 1995 between the
Company and The Bombay Oil Industries Ltd. for using the Trademark "Parachute" and
Saffola".
1995
- The Company has acquired the Brand `SIL' from KFL in March for an aggregate
consideration of Rupees Three crores.
1996
- Memorandum of Understanding dated 2nd January, between the Company and Karvy
Consultants Ltd. agreeing to act as Registrars to the Issue.
- In March, the Company made a fresh issue of 10,00,000 equity shares of Rs.10/-
each, at a premium of Rs.165/- per share, simultaneously with an offer for sale by the
promoters of 26,25,000 equity shares of Rs.10/- each, at a premium of Rs.165/- per
share.
- The Company decided to leverage on the strong equity of the Parachute brand
through appropriate extensions. Accordingly, `Parachute Herbal' was launched.
- The Total Quality Movement within the Company has gathered speed and now
embraces virtually all locations.
- The Company has made major investments in information technology, a process
which began four years ago. Presently, all the establishments are covered by
information technology and networked with the Corporate Office.
- The Company has acquired a formidable reputation for its HR practices and has been
recognised by the National HRD Network in the recent past.
1997
- Marico Industries has extended the Sweekar oil brand to introduce two new refined
oils-Sweekar cotton seed oil and Sweekar mustard oil.
- The company has set up a factory near Jalgaon to process the cotton seeds and
another factory near Jaipur for the mustard oil.
- The company has launched branded refined mustard oil and cotton seed oil refined
under its brand name Sweekar Orange.
- Marico Industries has been one of the few success stories in the fast-moving
consumer goods segment.
- The company has announced the extension of the Parachute brand name to other
products in the hair care segment, thus making it an umbrella brand.
- Marico Industries has launched three new variants of coconut oil - light oil, nutra
sheen liquid and nutra sheen creme-under the brand name Parachute.
- Marico Industries Limited, the Rs. 400 crore consumer goods company has been
selected as a Top Performing Global Growth Company from India by the World
Economic Forum, New Delhi.
1998
- The company was originally a join venture between a Lever group company and
Nissin of Japan, and its products were distributed through HLL's channels.
- Marico Industries Ltd has taken the lead in launching a refined oil in the soya segment
with a new variant called Sweekar Refined Soya Oil.
- The company has recently launched a new variant in Postman called Sona, which is a
sunflower oil.
- MIL launched an innovative fabric care product named Revive ColourFix which helps
to fix the colour on cotton fabrics.
- The company has recently extended the brand equity of Parachute to coconut-based
hair grooming products like Parachute Lite and Parachute Nutra-Sheen. The company is
also considering testing Parachute branded products in international markets like
Europe and America.
1999
- Marico Industries Ltd is focussing on relaunching its SIL brands in its `healthcare'
business, after a successful repositioning of its Saffola and Sweekar brand.
- The company is planning to introduce a range of vegetable soups.
- The company is planning to set up a wholly-owned subsidiary in Bangladesh shortly.
- Marico Industries (Marico) and The Bombay Oil Industries (BOIL) have reached an
understanding in terms of which the brands, Parachute and Saffola are being assigned
to Marico.
- ICRA has retained the `A1+' rating for the Rs. 7.5-crore commercial paper
programme of the company.
- The company is planning to set up a local manufacturing unit is several other SAARC
countries.
2000
- The Company launched Parachute Dandruff Solution Coconut Hair Oil in Calcutta, the
first oil to combine coconut oil with antidandruff properties in a single hair oil.
- The Company has launched the branded coconut oil in a tamper proof seal pack with
a flip top cap.
- Marico Industries Ltd. has a tied up with the International Association of Trichologists
(IAT), a non-profit organisation based in Australia.
2001
- Marico Industries has launched the Revive Anti-Bacteria starch.
2002
-Marico Industries Ltd has informed BSE that the Board approved the Issue of bonus
redeemable preference shares of aggregate face value of Rs 290 million. Ratio -- 1:1 on
equity enhanced after bonus issue of equity shares made by the Board on April 18,
2002 and approved by shareholders on July 18, 2002. The rate of dividend is 8%
p.a.Increase in authorised share capital of the Company from Rs 300 million to Rs 600
million.
2003
-Marico Industries Ltd have appointed Erehwon consultancy firm for initiatives of
innovation in marketing and management.
-Marico Industries have acquired a controlling equity interest in Sundari LLC.
2004
-Marico Industries' popular edible oil brand 'Saffola' launches a fresh advertising
campaign. The campaign by Grey Worldwide has a new tagline, Aaj se jeene ka andaaz
sudhariye (Improve your lifestyle today), urges every Indian to take up healthy
lifestyle. Earlier Saffola campaign used the tag line - Saffola Swasth ParivaarKe Dil Ki
Dhadkan
-High Court of Judicature at Bombay approves the Scheme of Amalgamation of
Anandita Arnav Trading & Investment Private Ltd, Madhav Nandini Trading &
Investment Private Ltd, Rajvi Rishabh Trading & Investment Private Ltd and Rishabh
Harsh Trading & Investment Private Ltd with Marico Industries Ltd on February 12,
2004
-Announces 1:1 bonus issue
- Marico Industries launches 'Saffola Gold, a blend of Ricebran and Kardi oils in a 70:30
ratio, which has dual benefits of lowering cholesterol and enabling food cooked in it to
absorb lesser oil
-Marico industries has announced its foray into the beauty products segment with the
launch of Silk-n-Shine, a post-wash haircare product
2005
-Marico - MBL acquires soap brand Aromatic
-Marico introduces new Mediker Plus in southern market
-Marico arm buys toilet soap brand in Bangladesh
2006
-Marico Ltd has informed that the Company has reached an agreement to acquire the
brand 'Nihar' from Hindustan Lever Ltd (HLL). Nihar gas a current annualized turnover
of about Rs 1200 million spread over two segments - coconut oil and perfumed hair
oils.
-Marico Ltd has informed that the Company has acquired the Herbal Bath Soap brand
"Manjal" from Oriental Extractions Pvt Ltd (Oriental) for an undisclosed consideration.
-Marico enters Egypt, acquires haircare brand Fiancee
2007
-Marico Ltd has appointed Mr. Anand Kripalu as an Additional Non-Executive Director on
the Board of Directors of the Company.
- The Company has splits its face value from Rs.10/- to Rs.1/-.
-Marico "Uncommon Sense" Campaign won Gold EFFIE in Corporate Advertising
Category Nihar Naturals and Saffola won Bronze each under Consumer Products
Category
2008
-Marico Limited has appointed Ms. Rachana Lodaya- Legal Manager, as Company
Secretary and Compliance officer of the Company, with effect from August 01, 2008.
-Marico Jalgaon was awarded the CII National Water Management Award -Marico was
ranked 2nd in Sourcing Platform Benchmarking Program 2009 -Asia Pacific Quality
Organization (APQO) - Marico won the 'Best in Class' Award (Second highest) for the
Large Manufacturing category -Marico won the Greentech Environment Excellence
Award 2009 in the Silver Category in FMC
2010
-Harsh Mariwala was awarded the Ernst & Young `Entrepreneur of the Year Award'
2009 in the Manufacturing category.

Board of Directors
S.No Name Designation
1 Mr. Harsh Mariwala Chairman and Managing director
2 Mr. Rajeev Bakshi Director
3 Mr. Anand Kripalu Director
4 Ms. Hema Ravichandar Director
5 Mr. Nikhil Khattau Director
6 Mr. Rajen Mariwala Director
7 Mr. Atul Choksey Director
8 Mr. B S Nagesh Non.Exe.Independent Director

Key Executives
S.No Name Designation
1 Mr. Saugata Gupta CEO - Consumer Products
2 Mr. Vijay Subramanian CEO - International Business
3 Mr. Milind Sarwate Chief - Finance, HR & Strategy
4 Mr. Ajay Pahwa Chief Executive Officer - Kaya
5 Ms. Rachana Lodaya Co.Secretary & Compl. Officer

MARICO LTD. PRODUCT REPORT


Product Name Year Month Sales UOM Sales Product
Quantity Value Mix
(Crores)
Metric
Edible Oil 2009 12 120156.93 Tonnes 1,438.71 74.86
Hair Oil 2009 12 17053.19 Kilolitres 344.89 17.94
Other Products 2009 12 0 88.09 4.58
Metric
Oil Seeds 2009 12 8674.43 Tonnes 45.48 2.36
Income From Royalty 2009 12 0 4.39 0.22
Service Income 2009 12 0 0.29 0.01

S.No. Location Type Address


1 Registered Office Rang Sharda, Krishnachandra Marg, Bandra Reclamation, Bandra (West)
Mumbai , Maharashtra - India
PinCode :400050
Phone :022-66480480
Fax :022-66490112

2 Factory/plant Jalgaon
Jalgaon , Maharashtra - India
PinCode :0

3 Factory/plant Dehradun
Dehradun , Uttaranchal - India
PinCode :0

4 Factory/plant Kanjikode
Kanjikode , Kerala - India
PinCode :0

5 Factory/plant Goa
Goa , Goa - India
PinCode :0

6 Factory/plant Pondicherry
Pondicherry , Pondicherry - India
PinCode :0

7 Factory/plant Daman
Daman , Daman & Diu - India
PinCode :0

8 Factory/plant Saswad
Saswad , Maharashtra - India
PinCode :0
About Marico:

Marico is a leading Indian Group in Consumer Products & Services in the Global
Beauty
and Wellness space. Marico's Products and Services in Hair care, Skin Care and
Healthy Foods generated
a Turnover of about Rs. 26.6 billion (about USD 600 Million) during 2009-10. Marico
markets well-known brands such as Parachute, Saffola, Sweekar, Hair & Care, Nihar,
Shanti, Mediker, Revive, Manjal, Kaya, Aromatic, Fiancee, HairCode, Caivil, Code 10
and Black Chic. Marico's brands and their extensions occupy leadership positions with
significant market shares in most categories- Coconut Oil, Hair Oils, Post wash hair
care, Anti-lice Treatment, Premium Refined Edible Oils, niche Fabric Care etc. Marico is
also present in the Skin Care Solutions segment through Kaya Skin Clinics in India,
Middle East and Bangladesh. In addition, Marico also acquired the aesthetics business,
of the Singapore based Derma Rx Asia Pacific Pte. Ltd. (Derma Rx), under the Kaya
portfolio.

Marico's branded products are present in Bangladesh, other SAARC countries, the
Middle East, Egypt, Malaysia and South Africa. The Overseas Sales franchise of
Marico's Consumer Products (whether as exports from India or as local operations in a
foreign country) is one of the largest amongst Indian Companies and is entirely in
branded products and services.

Harsh Mariwala was awarded the Ernst & Young ‘Entrepreneur of the Year Award’
2009 in the Manufacturing category.

In addition, Marico has also won several prestigious awards such as:
Outstanding Achievement Trophy in the manufacturing category at the IMC
Ramkrishna Bajaj
National Quality Award (RBNQA).
Greentech Safety Silver Award 2010, for outstanding achievement in Safety
Management,
in the FMCG sector, for its Dehradun plant.
Kaya Skin Clinic won a Bronze at the EFFIE Awards 2009, for the success of their
"Skin Care Is More Than Skin Deep" campaign
Parachute was awarded the 2nd Most Trusted Brand in Bangladesh, whereas,
Hair Code was voted a Superbrand in Egypt.

"Every month, over 70 Million consumer packs from Marico reach approximately 130
Million consumers in about 23 Million households, through a widespread distribution
network of more than 33 lakh retail outlets in India and overseas.

Marico's focus on sustainable profitable growth is manifest through its consistent


financial performance -
a CAGR of 21% in Turnover and 27% in Profits over the past 5 years- while setting a
record of several consecutive quarters of year on year growth- 43 for Profits and 39
for Sales.
The Marico scrip is listed on the Bombay Stock Exchange (BSE) (Code 531642) & on
the National Stock Exchange (NSE) (Code "MARICO").

Structure of Marico

A Flat Structure :

Marico has a flat organisational structure, with just five levels between the Managing
Director
and the shop floor operator.

At Marico, everyone is a member and not an employee. As a member, each individual


is empowered.
Marico believes that when you empower people to take decisions independently, to
think and act as entrepreneurs,
they push their own boundaries.

Marico's structure is dynamic & constantly evolving which defines clear roles and
supporting relationships.
At the same time it is also flexible, keeping in mind the fast and ever changing
business environ.

Marico's Strategic Business Units:

The Marico Group business organisation is structured into three Strategic Business
Units (SBUs)

Consumer Products Business (India)


Personal & Nature Care
Wellness & New Products

International Business Group


International FMCG Business

Kaya (Branched out to form a separate company Kaya Ltd. a wholly owned
subsidiary of Marico)
Kaya Skin clinics
Business Direction:

We commit ourselves to improving the quality of people's lives in several parts of the
world, through branded Beauty & Wellness products and solutions.

We shall offer brands that enhance the appeal and nourishment of hair and skin
through distinctive products and services based on the goodness of coconut, other
natural substances and the underlying science of hair care and skin care.

We shall make available brands that contribute to healthy living, through, both
products drawn from agriculture offered in natural or processed forms, and services.

We shall develop, in parts of the world beyond the Indian Subcontinent, a franchise for
our branded products and services.

We shall aim to be a leader in each of our businesses through heightened sensitivity


to consumer needs, setting up of new standards in the delivery and quality of
products and services and processes of continuous learning and improvement.

We shall share our prosperity amongst members, shareholders and associates, who
contribute in improving our equity and market value. We shall acquire the stature of a
friendly corporate citizen, contributing to the betterment of neighbourhood
communities, where we are significantly present.

Brands:

Over the past 17 years, Marico has been continually improvising and building new
brands.

Marico's Consumer Products Business houses well-known brands such as Parachute,


Saffola, Sweekar,Hair & Care, Nihar, Shanti, Mediker, Revive, among others, which
occupy leadership positions with significant market shares in most categories- Coconut
Oil, Hair Oils, Post wash hair care, Anti-lice Treatment, Premium Refined Edible Oils,
niche Fabric Care etc.

Every month, over 70 Million consumer packs from Marico reach approximately 130
Million consumers in about 23 Million households, through a widespread distribution
network of more than 2.5 Million outlets in India and overseas.
Uncommon Sense as a Unique Competitive Advantage

Marico believes that its belief in "uncommon sense" and its unique culture differentiates
it from others. Typically Innovation is thought of as a genetic ability, sometimes created
from sparks of genius, and mainly applicable to the invention of new products. To
Marico, Innovation included the challenge of the status quo, adapted wisdom from other
worlds and the creation of something where there was none. These could be a product,
a method or even a shift in paradigm.

We believe that common thinking gets common results and an uncommon


approach to business can bring about radically different results.

We also believe that uncommon sense enables the creation of an organization that
is boundariless in
approach and limitless in sizing and seizing the potential of opportunities all
around. Such an
approach can be sustained with a unique culture of openness, transparency, trust,
empowerment and meritocracy.

Over its history, Harsh's leadership and the powerful experience of invoking innovative
thinking kindled
the imagination of Marico's managers. They signed up for various projects and in the
course of their work with various products and brands, discovered the spin-off benefits
of new thought frames. Here are
some concepts that Marico has used over the years.

Think Big-Bets - Things that one needs badly - putting everything behind it. So
flourish or perish,
here are no escape buttons. Implementation of ERP, Anti Nihar Campaign.

Incubation Cell - a worthy idea needs the right conditions and atmosphere to
germinate. So put intelligence, money and resources behind it for deeper study
and experimentation.

Prototyping - if an idea looks attractive, do several experiments in near-real


conditions. Learn aggressively and perfect the model in the learning lab.

Challenger products - initiatives that set about challenging the status quo and
create 'Fosbury Flips'.

Examples of Uncommon Sense in the Marico Journey

Within 15 years we have transformed ourselves from a small Family owned


business to
a professionally managed set-up that has begun to leave its mark in the
global arena.

We saw an opportunity in consumers lives that allowed us to transform


traditionally commodity categories into brands that consumers love and
cannot live without.

Parachute brought coconut oils out of tins into a consumer friendly packaging.

Saffola brought Heart care to the edible oil category.

From Oils & Cooking to thought-leadership in heartcare.

First blended oil in India; Championed low sodium salt category in India

First mass functional food in India


Kaya - An example of imaginatively creating a category where none existed before.

First large scale Skin care service in India. Has largest pool of dermatologists under
one roof in Asia. It's entirely owned and managed by Marico.

Pioneering Wellness Services in India.

Revive -changed Rice water starching to cold water starching.

We have thus transited successfully and profitably from basic commodities to


Beauty
and Wellness.

Some other examples of our Non-linear world view and courage to do what
others fear

Pioneering role in Sales automation in India. Midas and Minet systems developed and
deployed by Marico are a case study at Wharton
Successful at setting up and efficiently running manufacturing set-up in Kerala, a state
which other companies avoid, fearing labor related challenges.

Two quick acquisitions in Egypt in 2006-07, although we were not at all present in
Africa, unlike some other Indian FMCG Players.

Marico acquired the brand Mediker from P&G who did not see much opportunity in
India for this
stagnant brand. Within 7 years of acquiring, Marico had innovated on the product to
triple the
turnover of the brand.Today it dominates the category of anti-lice products with over
95% share .

International Business:
Think IBG = Think BIG

Marico's International Business Group reaches out to more than 20


countries in the Middle East, Asian sub-continent, Australia.

Evolution:

The International Business Group was formed in early 90's to cater mainly to the
demand of
Indians settled abroad. The Business was then small and it has over the years
assumed increasing proportions with a phenomenal topline growth rate of more than
30%. Initially Marico exported only Parachute Coconut Oil. Now it caters to varying
needs of customers in different countries with a host
of varied offerings.

Customising for local needs:

To cater to customers who belong to diverse cultures and consumer habits the
International Business Group has been customizing its products. For example, it offers
perfumed oils to consumers
in Bangladesh and Hair Creams and Hair Oils (with lower coconut oil content) to Arabs
in the Gulf.
Market shares of Marico's brands overseas have been rising. Parachute Coconut Oil is
the market leader
in Bangladesh with almost half the market share while other hair oils and hair care
products have been consolidating their share of the market. Hair Cream in Gulf is
increasingly growing into a big brand.

IBG over the years - IBG Turnover in INR Million

IBG contribution up from 10% to 16% of total turnover.

Links to refer:

http://www.ibef.org/download/Marico_Industries.pdf

http://www.thehindubusinessline.com/catalyst/2007/09/13/stories/20070913500201
00.htm

http://dealcurry.com/20100813-Marico-Buys-Healthcare-Brand-Ingwe-.htm

http://www.financialexpress.com/news/now-marico-sets-sights-on-asian-african-
markets/631167/

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