The UB Group

PRESENTATION ON

UNITED BREWERIES LTD

Presented By

Abhishek sharmaGulab sharmaNimish pareekVishal sharmaAnkit Agarwal

UB Group (India)

UB Group (India)

• The UB Group, is the market leader in both

Spirits & Beer business in the country

• The Group has a turnover of Rs 3700 crores

• The core Beverage Alcohol business account

for 80% of the group turnover

• Other interests include Fertilizer,

Engineering , Life Science, Infrastructure

development & Media

• The Group is professionally managed and is

headed by Dr Vijay Mallya, the Group

Chairman

The UB Group- An introduction

UB Group (India)

United Breweries Limited

Overview

•Company opened in 1857.• Owner :- Dr. Vijay Mallaya.• Head office :- Bangalore• UB Group is the largest beverage

company of India and 2nd largest in world with selling more than 144 brands.• The company has 7500+ employees

in beverage’s unit

UB Group (India)

UB Group (India)

• The UB Group, is the market leader in both

Spirits & Beer business in the country

• The Group has a turnover of Rs 3700 crores

• The core Beverage Alcohol business account

for 80% of the group turnover

• Other interests include Fertilizer,

Engineering , Life Science, Infrastructure

development & Media

• The Group is professionally managed and is

headed by Dr Vijay Mallya, the Group

Chairman

The UB Group- An introduction

Beer : 48% market share nationally Sold in over 52 countries India’s 1st global consumer brand - Kingfisher

Spirits : 54% market share in the domestic market 2nd largest player in the world

Both businesses poised for spectacular growth

Compelling demographics Changing lifestyle & spending pattern

India’s leading drinks group

UB Group (India)

UB Group (India)

• The UB Group, is the market leader in both

Spirits & Beer business in the country

• The Group has a turnover of Rs 3700 crores

• The core Beverage Alcohol business account

for 80% of the group turnover

• Other interests include Fertilizer,

Engineering , Life Science, Infrastructure

development & Media

• The Group is professionally managed and is

headed by Dr Vijay Mallya, the Group

Chairman

The UB Group- An introduction

UB Group (India)

Key Drivers of Performance

• Volume growth

• Implementation of price increase in key states

• Reduction in cost of sales driven by bottle cost

Sales Performance HY–I -- FY’08

UB Group (India)

Company LineMillion cases

% GrwthHY-I FY’07 HY-I FY’08

‘UNITED BREWERIE

S’

Main line 18.83 23.33 24%

TOTAL 27.13 30.17 11%

UB Group (India)

• The UB Group, is the market leader in both

Spirits & Beer business in the country

• The Group has a turnover of Rs 3700 crores

• The core Beverage Alcohol business account

for 80% of the group turnover

• Other interests include Fertilizer,

Engineering , Life Science, Infrastructure

development & Media

• The Group is professionally managed and is

headed by Dr Vijay Mallya, the Group

Chairman

The UB Group- An introduction

UB Group (India)

2003-04

UBL, 46

SAB, 31

M M, 6

Others, 17

UBL

SAB

M M

Others

2004-05

UBL, 48

SAB, 31

M M, 5

Others, 16

UBL

SAB

M M

Others

Apr to Sept 05

UBL, 49

SAB, 28

M M, 6

Others, 17UBL

SAB

M M

Others

Market Share Movements

New product launching

We were going to launch a non-

alcoholic beer.

Fig. -ElixirUB Group (India)

New product Features

• 0% Alcohol

• Nutrient Ingredients

• In Multi Flavours

Fig. -Elixir

UB Group (India)

Film actress Katrina kaif was supposed to launch that product in Goa during Carnival Festival.

Brand Celebrity

UB Group (India)

All the advertisement and promotion campaign were made, considering the choice of youth.

Target market for new product

UB Group (India)

UB Group (India)

Contd….

But because of workers strike we are unable to launch that product.

So that’s why we have borne many losses and those are in details.

Resultant Structure

MCD (Spirits)

UBHL & Associates

Public

X%

z%Trust

y%

MCD(Investments)*

UBHL & Associates

Public

42.47%

57.53%

* Includes non-spirits investments Aventis, Mangalore Chemicals, UBHL, UBL etcUB Group (India)

• Stock losses

• Factory exp.

• Machine depreciation.

• Machine maintenance.

• Labor exp.

• Wastage Raw materials and WIP.

Production related losses

•Staff salary.•Stationary•Telephone bills.•Taxes

Administration losses

UB Group (India)

•Capital invested•Breaking of distribution channel.•Return on investment declined.•Market share prices affected.•Goodwill and reputation losses.

Finance related losses

UB Group (India)

UB Group (India)

• The UB Group, is the market leader in both

Spirits & Beer business in the country

• The Group has a turnover of Rs 3700 crores

• The core Beverage Alcohol business account

for 80% of the group turnover

• Other interests include Fertilizer,

Engineering , Life Science, Infrastructure

development & Media

• The Group is professionally managed and is

headed by Dr Vijay Mallya, the Group

Chairman

The UB Group- An introduction

UB Group (India)

THANK YOU