Godrej Consumer Products Limited Q1 FY Performance Update Godrej Consumer Products Limited 22 July 2004 Quarterly update Q

Godrej Consumer Products Limited Q1 FY Performance Update Contents Highlights Business Highlights Key Financials Key Ratios

Godrej Consumer Products Limited Q1 FY Performance Update Highlights Q Highlights Q Q1 ’04-05 Q1 ’03-04 Sales (own Brands) % (net of excise) Contract Mfg Total Sales % Material Cost A & P % 10.3 PBDIT % 18.7 PAT % 13.8 EVA % 11.1 EPS (Rs.) -annualised % 9.6 Amts in Rs. Crore Education Cess of 2% has been considered in Income Tax provision

Godrej Consumer Products Limited Q1 FY Performance Update Dividend ( ) First Interim Dividend announced  Dividend per share Rs.2.00  Dividend % 50%  Total outlay (including tax on Rs.12.8 Cr distributed profits) Dividend payout as a % of PAT 74.0% (Dividend payout has been taken incl distribution tax) Education Cess of 2% has been considered in Income Tax provision

Godrej Consumer Products Limited Q1 FY Performance Update Fifth buyback from open market at a price not exceeding Rs.200 per share at a total outlay of Rs.8.4 crore was approved by the Board in the meeting held on 31-Jan shares since bought back at an outlay of Rs 4.0 crore Status of Shares Buy-back

Godrej Consumer Products Limited Q1 FY Performance Update Business Highlights–Q Industry Scenario Budget impact on the FMCG sector is neutral to positive Industry – rural demand likely to pick up due to trickle down effect of budget & – increase in the disposable income of people having taxable income below Rs.one lac

Godrej Consumer Products Limited Q1 FY Performance Update Soap GCPL brand soap sales grew 24% in Q over Q Nimin soap launched Godrej No.1 Jasmine variant launched Cinthol Deo soap well received by the market First soap line at Baddi plant fully operational Second line has been commissioned in Baddi in June ’04 Personal Care Hair colour sales grew 19% in Q over Q Business Highlights

Godrej Consumer Products Limited Q1 FY Performance Update Sales Growth vs Industry Growth Apr-June ‘04 vs Apr-June ‘03 Industry * GCPL Shipment Shipment Toilet Soaps 2% 24% Hair Colours 13% 19% * Source: ORG Data

Godrej Consumer Products Limited Q1 FY Performance Update Rs Crore Q Q Segment Revenue Q Q Soap Personal Care Unallocated income Total PBIT Soap Personal Care Segment PBIT Less Interest (Net) Less other unallocated expenses PBT Segmental data (Q )

Godrej Consumer Products Limited Q1 FY Performance Update Segmental data (Q ) Rs Crore Q Q Segment Capital Employed Q Q Soap * Personal Care Unallocated Total * Includes Contract Manufacturing

Godrej Consumer Products Limited Q1 FY Performance Update Category-wise Turnover Q Rs Crore Q Q Growth % Turnover (net of Excise) Q Q Growth % Toilet Soaps % Hair Colours % Liquid Detergents % Toiletries % Total Godrej Brands % Contract Mfg (36%) By-Products (38%) Total Sales %

Godrej Consumer Products Limited Q1 FY Performance Update Sales-Mix Q Godrej Brand Toilet Soaps (Rs.86.9 cr) (63%) Contract Mfg (Rs.3.7 cr) (3%) Liquid Detergent (Rs.0.9cr) (1%) Hair Colours (Rs.35.0 cr) (26%) Toiletries (Rs. 6.8 cr) (5%) By-Products (Rs.3.4 cr) (2%)

Godrej Consumer Products Limited Q1 FY Performance Update Financials

Godrej Consumer Products Limited Q1 FY Performance Update Summarised Profit & Loss Account Rs Crore Q Q Q Q Sales (Net of Excise) % - Godrej Brands % - Contract Mfg By-products Processing charges Other Income Expenditure PBDIT % Depreciation Interest PBT % PAT % Education Cess of 2% has been considered in Income Tax provision

Godrej Consumer Products Limited Q1 FY Performance Update Balance Sheet Balance Sheet Liabilities Assets Equity Capital Net Fixed Assets Reserves Cash & Bank Bal Debt Investments Def Tax Liability Net Current Assets (35.0) (24.7) Dividend payable 0.0 (19.2) Total Rs.Crore Education Cess of 2% has been considered in Income Tax provision

Godrej Consumer Products Limited Q1 FY Performance Update Rs Crore Q SOURCES Internal Accruals 19.8 Total 19.8 APPLICATION Debt reduction 10.0 Capital Expenditure 4.6 W.Capital change (10.8) Change in cash & investments (7.2) Shares Buyback 4.0 Dividend 19.2 Total 19.8 Funds Flow Funds Flow Education Cess of 2% has been considered in Income Tax provision

Godrej Consumer Products Limited Q1 FY Performance Update Cost Structure (Q ) Rs.Crore Rs Crore Q1 ’04-05 %of Sales Q1 ’03-04%of sales Materials cost % % Staff Cost % % Advtg & Sales Promotion % % Other Expenditure % % Interest & Financial Charges % % Depreciation % % Provision for Taxation % % PAT % % Sales % % Processing charges % % Other Income % % Education Cess of 2% has been considered in Income Tax provision

Godrej Consumer Products Limited Q1 FY Performance Update Key Ratios Q Q PBDIT / Sales 16.4% 15.9% PBT / Sales 14.1% 13.4% PAT / Sales 12.7% 11.7% Education Cess of 2% has been considered in Income Tax provision

Godrej Consumer Products Limited Q1 FY Performance Update Key Ratios contd.. Q Q NWC / Sales (days) (23) (22) Fixed Asset T/o Ratio Total Asset T/o Ratio ROCE* 102.2% 90.9% RONW* 124.4% 98.2% EPS (on Rs 4 Share) All figures are annualised * On closing Capital Employed & Closing Networth Education Cess of 2% has been considered in Income Tax provision

Godrej Consumer Products Limited Q1 FY Performance Update Thank You