The World Of MaricoGet ready for the marico3 pubish issue

6/30/2010Marico LtdDithish

Marico Ltd

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CONTENTS

MARICO....................................................................................................................................................................... 4

INDUSTRY PROFILE..................................................................................................................................................4

COMPANY PPROFILE................................................................................................................................................4

MARICO'S BUSINESS DIRECTION - 2010:......................................................................................................................5

LEADERSHIP.................................................................................................................................................................6

MARICO INNOVATION FOUNDATION..........................................................................................................................9

ORGANISATIONAL STRUCTURE................................................................................................................................9

A Flat structure:...................................................................................................................................................9

CONSUMER PRODUCTS (NATIONAL WIDE):...............................................................................................................11

PARACHUTE :.........................................................................................................................................................12

SAFFOLA:...............................................................................................................................................................13

Contributor's to Saffola's success:.........................................................................................................................14

SAFFOLA GOLD (SAFFOLA OILS) Dil Ko Rakhiye Jawan..........................................................................................14

Saffola Gold - Gift wraps convenience and heart-health.......................................................................................15

Low Absorb Technology:...................................................................................................................................15

Rice Bran Oil (RBO):...........................................................................................................................................15

Safflower (Kardi) Oil:.........................................................................................................................................15

Vitamin E:..........................................................................................................................................................16

SAFFOLA TASTY BLEND (SAFFOLA OILS):................................................................................................................16

Contributors to Saffola Tasty Blend's success:.......................................................................................................16

DIABETICS MANAGEMENT:........................................................................................................................................17

SWEEKAR:..................................................................................................................................................................19

PARACHUTE JASMINE:...............................................................................................................................................20

INNOVATIONS FROM PARACHUTE ADVANSED FOR PROMOTING SALES:..................................................................23

PARACHUTE AFTERSHOWER:.................................................................................................................................23

PARACHUTE ADVANSED STARZ:............................................................................................................................25

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Parachute Starz Gentle Shampoo..........................................................................................................................25

SILK-N-SHINE:.............................................................................................................................................................26

HAIR & CARE:.............................................................................................................................................................27

Shanti Badam Amla...........................................................................................................................................28

REVIVE:...................................................................................................................................................................... 30

MEDIKER:...................................................................................................................................................................31

INTERNATIONAL BUSINESS GROUP:...........................................................................................................................32

CAREERS AT MARICO (HR POLICIES):.........................................................................................................................33

MARKETING OF MARICO:...........................................................................................................................................36

PROMOTIONAL STRATAGIES OF MARICO:.............................................................................................................36

Advertising:................................................................................................................................................................38

MARKET SHARE:.........................................................................................................................................................38

COMPETITORS:..........................................................................................................................................................39

FINANCIAL POSITION OF MARICO:.............................................................................................................................39

OSERVATIONS AND INTERPRETATIONS:.....................................................................................................................45

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INDUSTRY PROFILE

The fast moving consumer goods(FMCG) sector, comprising goods of daily use like soaps and detergents, oral and skin care products, food beverages, oils and dairy products is the fourth largest sector in the Indian economy and is projected to cross USD 30 million in the next five years.

The FMCG market can be divided into two segments- the urban and rural. The FMCG industry caters to the needs of the consumers located across the country and deep in its heartland through a well-developed and efficient supply chain model consisting C&F agents, distributors, wholesalers and retailers. A significant share of business is still generated through the “mom & pop” stores format. Though organized retail comprises only about 6% of the FMCG business it is expected to expand its share over the next few years.

Low capital requirements, simple manufacturing processes and sub-contracting of manufacturing activities are characteristics of the industry. As a result, several small local and regional brands tend to compete with well-established ones. FMCG companies have to continuously innovate and also advertise in order to build the equity of their brands and create mass pull. Brand building, product innovation and product differention are critical to the survival of FMCG companies

COMPANY PPROFILE

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. 23.9 billion (about USD 478 Million) during 2008-091. Marico markets well-known brands such as Parachute, Saffola, Sweekar, Hair & Care, Nihar, Shanti, Mediker, Revive, Manjal, Kaya, Aromatic, Fiancee, HairCode, Caivil 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 present in the Skin Care Solutions segment through Kaya Skin Clinics (85 in India and The Middle East) and its soap franchise (in India and Bangladesh).

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Marico's branded products are present in Bangladesh, other SAARC countries, the Middle East, Egypt 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.

-Marico was rated as one of the most innovative companies by Business Today-

Monitor Group Innovation Study in 2008.

"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.

Marico's focus on sustainable profitable growth is manifest through its consistent financial performance - a CAGR of 24% in Turnover and 27% in Profits over the past 5 years- while setting a record of several consecutive quarters of year on year growth- 38 for Profits and 34 for Sales.

-The Marico scrip is listed on the Bombay Stock Exchange (BSE) (Code 531642) & on the National Stock Exchange (NSE) (Code "MARICO").

MARICO'S BUSINESS DIRECTION - 2010:

We commit ourselves to improve 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 skinn 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.

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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.

LEADERSHIP

Marico is led by a team of talented and experienced leaders,

with Harsh Mariwala, Chairman & Managing Director at the forefront.

Unit Scope Leader DesignationConsumer Products Business

FMCG business in India, including all embedded functions

Saugata Gupta Chief Executive Officer- Consumer Products

International Business FMCG business overseas including all embedded functions and Sundari

Vijay Subramaniam Chief Executive Officer- International Business

Kaya Business Kaya and Wellness businesses including all embedded functions

Rakesh Pandey Chief Executive Officer- Kaya

Finance & IT Finance, Information Technology, Legal and Administration for all SBUs and FUs

Anju Madeka Chief- Finance

Technology Research and Development, CQA & six Sigma for all SBUs and Fus

Vilas Shirhatti Chief- Technology

HR and Strategy Human Resources for all SBUs and FUs and Strategy & Investor Relations for the Marico Group

Milind Sarwate Chief - HR & Strategy

CORPORATE SOCIAL RESPONSIBILITY

"A good company delivers excellent products and services, and a great company does all that and strives to make the world a better place."

William Ford Jr., Chairman, Ford Motor Co

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Corporate Social Responsibility to Marico is an expression of being a responsible citizen. Marico defines it as all roles played by it in the course of discharging its responsibility to all the constituencies from which the organisation draws strength for conducting its business. CSR is thus community membership and leadership.

Marico's CSR is based on interdependence and it believes in the need for an efficient business eco-system, where business and the rest of the society co-exist with respectful interdependence.

The various constituencies targeted and reached out for CSR are:

1. The neighborhoods of all Marico locations

Under this initiative Marico at various office and factory locations in India and overseas promotes education, sports, art, culture and supports welfare and relief operations.

2. Marico Innovation Foundation

Spheres or processes which if strengthened enable business to prosper and uplift the status of the whole society. Setting up of the Marico Innovation Foundation reflects on Marico's belief in innovation as a process. The Foundation's objective is to fuel Innovation in India. Initiatives undertaken by the Foundation are:

Researches conducted in the areas of cutting edge innovations in the Business and Social Sectors.

A unique partnership between top Indian Business Schools and the corporate world in Applied Innovation.

Innovation For India Awards to reward Business and Social Innovation.

ABOUT MARICO INNOVATION FOUNDATION

The Marico Innovation Foundation was created in March 2003 under the stewardship of Dr. Ramesh Mashelkar.

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The Foundation's Mission is to Fuel Innovation In India, by providing the nation with a belief that Innovation is possible and is the way to leapfrog India into the center stage of global business leadership. The Foundation also believes that a framework will enable leverage innovation for quantum growth. The foundation is steered by a governing council that oversees both its vision and direction.

The foundation believes that the only way to disseminate is to first learn. It therefore intends to undertake cutting edge research into Innovation in India. To get to the heart of the matter, to understand how it really happens. It then intends to propagate these findings through large-scale mass platforms across India.

The reach is first envisioned to cover the business community, both professional and entrepreneurial.

The reach will soon expand to future business leaders and the general public. The Marico Innovation Foundation is led by following visionaries who are its Council Members.

INNOVATION FOR INDIA AWARDS

In 2006, The Marico Innovation Foundation institutionalized the Innovation for India Awards, for Business and Social Innovation with the intent of rewarding projects and businesses that make a real difference to the country and community at large.

The second edition of the Innovation for India Awards was held on 19th March 2008, with 9 winning innovations from the social and business sectors being awarded in the midst of eminent minds from the corporate, social and entertainment industry.

MARICO INNOVATION FOUNDATION

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ORGANISATIONAL STRUCTURE

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)

1. Consumer Products Business (India)

Personal & Nature Care

Wellness & New Products

2. International Business Group

International FMCG Business

Sundari Business

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3. Kaya (Branched out to form a separate company Kaya Ltd. a wholly owned subsidiary of Marico)

Kaya Skin clinics

Kaya Life

COMPOSITION AND CATEGORY OF DIRECTORS OF MARICO LIMITED:

1) Harsh Mariwala Chairman & Managing Director (Promoter) 2) Rajeev Bakshi Non-Executive and Independent 3) Atul Choksey Non-Executive and Independent 4) Nikhil Khattau Non-Executive and Independent 5) Jacob Kurian Non-Executive and Independent 6) Rajen Mariwala Non–Executive (Promoter) 7) Hema Ravichandar Non-Executive and Independent 8) Bipin Shah Non-Executive and Independent 9) Anand Kripalu Non-Executive and Independent

PRODUCTS AND BRANDS:

Over the past 17 years, Marico has been continually improvising, building new brands. It has created new categories and dominated markets with shares close to a 100%. Having moved up from products to services, Marico has now taken its brands to 24 countries worldwide, building a powerful franchise of 13 crore loyal consumers. Investments in brand building have enabled these brands to occupy the top positions in their respective categories, all the while allowing new brands to be continually developed.

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During this period, Marico has progressed from being a largely industrial enterprise to a more consumer-focused entity, creating enduring value for its consumers through a wide range of solutions – products and services. Today, Marico’s turnover largely comes from brands across products and services in the area of Beauty and Wellness.

CONSUMER PRODUCTS (NATIONAL WIDE):

Brief explanation about different products and brands of Marico are as follows

PARACHUTE :

Parachute is premium edible grade coconut oil, a market leader in its category. Synonymous with pure

coconut oil in the market, Parachute is positioned on the platform of purity. In fact over a time it has become the gold standard for purity. From a loosely available commodity to a path-breaking brand, Parachute pioneered the switch from coconut oil sold in tins to plastic. Parachute is also available in pouch packs, to service the rural sectors, increasing penetration. While the positioning of

Parachute has always been on purity, the communication has evolved over time to appeal to different consumer sets. Over a time the brand has sought to remain relevant and differentiated from competition through a slew of initiatives in packaging (introduction of the new sleeker Parachute pack) & communication like the"weight-test" (proving that pure Coconut oil is heavier than impure oil).

Parachute has thus ensured thatit enjoys tremendous equity and trust with every passing generation. The brand has a huge loyalty, not only in the urban sections of India but also in the rural sector.

CONTRIBUTORS TO PARACHUTE'S SUCCESS (PROMOTIONAL STRATEGIES):

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The quality of the product has contributed to its lasting success. The consistency, with which Parachute has delivered, ensures consumer loyalty and trust in the brand. Innovations in the packaging whether from the aspect of user-friendliness or aesthetics have and continue to help Parachute grow.

The following innovative features helped in the success of Parachute:

1) Flip Top Cap for Parachute bottles to enhance the safety and protect the purity of oil.

2) Easy Jar of Parachute to facilitate usage especially during winters.

3) Parachute Mini - a bottle shaped small pack being sold at an MRP of Re. 1.

4) 20 ml Parachute - a Rs 5 SKU that enables loose oil users to upgrade to Parachute

These innovations have not only ensured protection of existing franchise; they have propelled further penetration, enabling conversion of loose oil consumers to packaged Parachute Coconut Oil.

SAFFOLA:

Saffola, positioned on the 'good for Heart' platform was small in volume terms, till 1993, when a series of hard-hitting ads took the brand to new heights. Awarded the 'Brand of the Year' in 1993 and again recently in 2005 by The Advertising Club of Bombay, the brand has continuously modernized and upgraded itself.

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A new aesthetically defined shape was launched in 1998 ensuring glug-free pouring.

The brand was repositioned as 'Heart of a Healthy Family' and extended to a value added edible oil and salt.

A Web site on health, www.saffolalife.com was launched in 2002 -

a) A guide for heartcarers as well as proactive health seekers on various aspects of dietary health. b) Provides a free personalized diet plan service, which anyone can use to get a diet as per his or her individual health

requirements.

c) Saffola also introduced Dial A Dietician service in 2004 With its team of highly qualified dieticians this service provides everyone free and personalized diet advice and tips on maintaining a regular health regime., by simply dialing the number 1800 22 2929 from anywhere in the country.

CONTRIBUTOR'S TO SAFFOLA'S SUCCESS:

The key to Saffola's growth has been its impact advertising and the innovative marketing techniques, helping consumers experience a full health care service, not just a product. The 'Saffola Healthy Heart Foundation' was set up to provide a whole lot of additional services to enable consumers to take the required steps to improve their lives.

There was a certain misconception in the minds of people who took heart attack as first symptom of ill-heart health. The corrective action in their lives happened post that. Saffola in its endeavor has used several platforms to highlight the risk factors concerning heart care that if not taken cared off could worsen to heart attack. The new Dil Ko Rakhiye Jawaan campaign brings to light the risk factors like Obesity, stress, hypertension etc prevalent in our daily life that could act as trigger points.

Every year on World Heart Day, Saffola conducts several events that highlight the preventive steps that can be taken for healthy heart. Also all round the year various on ground events like Health runs and Health check up camps have been organized for the same.

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SAFFOLA GOLD (SAFFOLA OILS) DIL KO RAKHIYE JAWAN

Saffola Gold has the internationally proven formula of 80% Rice Bran Oil (RBO) and 20% of Safflower Oil (Kardi oil). This has also been proven effective in Indian research.

Saffola has a unique double action that helps reduce Cholesterol and absorbs less into your food.

PRODUCT:

SAFFOLA GOLD - GIFT WRAPS CONVENIENCE AND HEART-HEALTH

Major concern today is the occurrence of heart disease with every fourth Indian being under the

threat. Common sense will always be an important part of a healthful diet - choosing a simple nutrient-dense, high-fibre diet that is low in saturated fat and salt with increased physical activity and better lifestyle will significantly reduce the incidence of this disease. And of course, adopting Saffola Gold

LOW ABSORB TECHNOLOGY:

Saffola Gold is made through an exclusive protection technology called LoSorb that makes the oil more stable during deep-frying. No other oil or blend of oil in the country has this technology. When food is fried in Saffola Gold, there is lesser of the unhealthy degraded compounds formed.

RICE BRAN OIL (RBO):

Heart healthy nutrients in RBO such as tocotrienols and oryzanol are known for their cholesterol lowering ability.

SAFFLOWER (KARDI) OIL:

Linoleic acid, an omega-6-polyunsaturated fatty acid, is present in a high percentage in safflower oil and helps reduce cholesterol levels.

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VITAMIN E:

Saffola Gold is fortified with natural vitamin E (d - alpha tocopherol). Other oils are not fortified and therefore the Vitamin E content in them remains variable and depends on processing. Vitamin E helps to preserve the stability of oil, thereby increases its shelf-life. Vitamin E is known to play a role in immunity. Vitamin E is also amongst the established breed of antioxidants that helps retard aging and prevents heart disease.

SAFFOLA TASTY BLEND (SAFFOLA OILS):

Launched in the year 1998-99, Saffola Tasty Blend is the first edible oil blends in the country. This oil blend provides the benefits of two oils, thereby giving added value to the consumer. It provides the do-good properties of Kardi and the taste of Corn oil.

CONTRIBUTORS TO SAFFOLA TASTY BLEND'S SUCCESS:

The balance between health and taste, addressing a core consumer need has been significant in Tasty Blend's success.

NEW SAFFOLA-KARDI:

New Saffola is a blend consisting of Safflower Oil (60%) & Rice Bran Oil (40%), fortified with Vitamin E.

According to Dr. Sudhakar Mhaskar from Marico's Research & Development Center; "This new blend incorporates the nutritive goodness of Kardi Oil & Rice Bran Oil into one. This leads to balanced fat composition which leads to a superior MUFA/PUFA ratio which significantly enhances the oils ability to maintain a healthy level of total, LDL & HDL cholesterol in the body."

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Kardi Oil is high PUFA oil & contains linoleic fatty acids (Omega-6). Dietary PUFA is well researched and is known to have positive effects on diverse physiological processes such as regulation of plasma lipid levels, cardio-vascular & immune functions.

Rice Bran Oil has been found to be extremely healthy oil on account of its un-saponifiable content,which contains tocotrienols, tocopherols and oryanols, which are known to reduce the serum cholesterol and triglycerides.

The formulation is fortified with Vitamin E which is well known and potent antioxidant.

SAFFOLA SALT:

Saffola salt rose as the result of a continuing consumer demand for more "Good for the Heart" products from Saffola.

Saffola salt is the "healthier" choice in salt. It is a salt with less sodium and higher Potassium and Calcium than ordinary salt. As salt is an integral part of all cooking, Saffola salt becomes a medium that can make all the food cooked at home healthier and better for the heart.

DIABETICS MANAGEMENT:

Saffola Functional Food (TM) which helps Sugar Management for diabetics

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Saffola enters into the functional foods category with specialised products like Saffola Functional Food for Diabetics. They are mainly dietary components that may provide various health benefits. Saffola Functional Food for Diabetics is one of the main products in atta mix category that helps sugar levels management with your daily rotis.

MADE FROM NATURAL INGREDIENTS

Saffola Functional Food for Diabetics is 100% vegetarian with Pysllium husk, Bengal gram and Methi as its key natural ingredients. Pysllium husk helps manage blood sugar levels, Bengal gram helps reduce postprandial plasma glucose levels## and Methi is traditionally known to curb sugar levels.

MANAGES SUGAR LEVELS EFFECTIVELY

Research has proven that it helps in managing sugar levels successfully and can be consumed by anybody. However, to manage diabetes effectively, the importance of a healthy lifestyle and following the doctor's instructions cannot be over emphasised.

CHOLESTROL MANAGEMENT:

Saffola Functional Food (TM) which helps in Cholesterol management

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Saffola enters into the Functional Food category with specialised products like Saffola Functional Food which helps in Cholesterol Management. They are mainly dietary components that may provide various health benefits. Saffola Functional Food for Cholesterol Management is one of the main products in the atta mix category that helps manage cholesterol with daily Rotis.

HELPS CHOLESTEROL MANAGEMENT WITH DAILY ROTIS

Saffola Functional Food which helps in Cholesterol Management is 100% vegetarian with Oats, Barley, Fiber and Soya protein. Being natural, it can also be consumed by the whole family.

SWEEKAR:

Sweekar is a national brand comprising of Refined Sunflower Oil. Sweekar has become synonymous with good quality light edible oil. It is positioned as a light and healthy cooking medium.

The Sunflower category emerged in 1988 - 89 and Sweekar quickly became one of the leading brands in this category. The positioning of Sweekar has evolved over time- from the initial stand of lightness and 88% saturated, fat-free - to that of "Achcha Khana, hansi khushi ka Khazana" - to that of "Aapke haath mumkin har baat". It continues to be one of the leading brands among refined oils in the consumer packs market. .

SWEEKAR LOW ABSORB OIL:

In its quest to provide higher value to its consumers, Marico launched Sweekar Low Absorb Oil - India 's first low absorb oil, during the third quarter of 2001-02. Food cooked in this absorbs less oil providing the consumers the twin benefits of health and economy. University Department of Chemical Technology (UDCT), an institute of international repute has verified the claim.

PARACHUTE JASMINE:

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Traditional hair oils, while delivering nourishment, left hair feeling sticky and smelly. With the evolution of style and fashion, social sanction for oily "chipku" hair was rapidly on the wane. Research among hair oil users indicated a strong level of dissatisfaction with the odour and stickiness after using traditional hair oils.

In order to address this need, Parachute Jasmine has been designed as a hair oil that gives a consumer the ideal blend of nourishment and sensorials, delivered through a completely non-sticky format and a lingering fragrance. This makes Parachute Jasmine great post-wash oil, which leaves the hair nourished, yet fragrant and free-flowing.

The Parachute Jasmine woman is between 18 - 24 years confident and progressive yet has her roots in traditional values and culture. Though she faces the challenges of the modern world confidently,she takes the best out of tradition and blends it to suit her modern needs.

Parachute Jasmine is light, fragrant oil that can be used everyday to nourish and style your hair. It has the goodness of pure coconut oil and the essence of fragrant jasmine to give healthy, non-sticky, free flowing and fragrant hair.

PARACHUTE THERAPIE:

Parachute Therapie Hair Fall Solution is a unique scientific formulation from Marico, developed after 6 years of intensive research, product development and consumer trial. It is completely safe to use and helps control hair fall naturally. 89% of users have reported significant reduction in hair fall on using Parachute Therapie for 45 days.

PRODUCTS:

Enriched with Natural Root Activising Alpha Protiens, Parachute Therapie nourishes and reactivates your hair follicles, increases blood flow to your scalp, helping you control hair fall - naturally.

Natural root activising alfa proteins are a unique blend of proteins, vitamins, herbs and minerals developed specially to treat hair fall.

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1. “Saw Palmetto,” a herb that dilates blood vessels naturally, increasing blood flow to the hair follicles. It also reduces the harmful effects of hormonal imbalances.

2. “Ginkgobiloba”, an Oriental herb that promotes blood circulation

3. “Herbal Extracts” like Jatamansi, Brahmi, Amla, Maka and Hibiscus to provide nourishment and strengthen hair.

4. “Special protein blend” - that activates dormant hair follicles and also supplements loss of hair proteins.

5. “Vitamin Blend “- Nourishes hair follicles.

6. “Mineral blend”s - supplements mineral deficiencies.

PRICE:

Parachute Therapie Hair Fall Solution is available in all leading Modern Trade, chemist and General stores/Kirana outlets in the key cities and towns.

Parachute Therapie is priced at Rs 190/- for 150 ml.

About Parachute Advansed Revitalizing Hot Oil

PARACHURE HOT OIL:

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It is a new Parachute Advansed Revitalizing Oil. It is a coconut oil enriched in Thyme, Patchouli, Rosemary and special warming oil which keeps it hot from within. It penetrates deep into scalp and nourishes the hair from root to tip, giving it extra care during winter.

PARACHUTE ADVANSED:

Parachute Advansed coconut hair oil from Marico has been made especially keeping in mind the needs of hair. Parachute Advansed contains essential oils of ylang-ylang to give it a rich and deep fragrance.It penetrates the hair roots better than other hair oils, strengthening the hair from within.

Parachute Advansed coconut hair oil is for the all-aware young Indian woman who is demanding as she knows that there are a slew of other hair care products available to her. She is aware of the benefits of using hair oil and the role it plays in maintaining her hair healthy and well nourished.

PRODUCTS:

The product is a direct result of consumer needs. Parachute Advansed is coconut hair oil with a rich and deep fragrance. It is also lighter than other coconut oils, which makes it ideal for the young, appearance conscious consumer. With regular use of Parachute Advansed, hair strength is known to increase by up to 16%. What's more, when applied pre-wash, Parachute Advansed reduces protein loss up to 28% and restores the health of hair.

PRICE:

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It is available in stores across India in three variants - 80 ml, 170 ml and 300 ml packs at Rs 27/-, Rs 48/- and Rs 80/- respectively.

INNOVATIONS FROM PARACHUTE ADVANSED FOR PROMOTING SALES:

EASY CHAMPI PERSONAL SHAMPI HOT CHAMPI

PARACHUTE AFTERSHOWER:

The need for males to look good has never been more important - They are a reflection of the growing confidence of the country as a whole. More and more males in India are realizing the importance of "great looking hair" & want a product that can be used to "style hair daily". In India, the youth below the age of 25 years, account for 54% of the entire population and find the usage of hair oils to be "messy" & "outdated". They want more modern formats.

Parachute Aftershower styling gels & creams offer this new age consumer a range of male grooming products that provide the goodness of coconut proteins without the inconveniences of oil and helps them

style their hair the way they want to - products that can be used everyday.

PAS has brought about a refreshing change in the way male grooming products were perceived. It has extended the natural goodness and trust of parachute into the men's hair grooming, by making products having the goodness of natural ingredients that make hair softer by providing nourishment and also help styling as opposed to being perceived to be chemical and damaging to hair.

Today, AFS styling gels and creams are available in over 2.3 lakh outlets all over the country. This has given a reason for millions of men across the country to go ahead and style on - and create a confident India...

PRODUCTS:

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1. Parachute Aftershower Hair Cream - was launched in Mumbai in March 2005, as an experiment. Within 2 months of its launch in Mumbai, it grabbed an impressive 28% market share, which it has increased in its journey to date. It was launched pan India in August 2005 to provide consumers experience of a new age grooming product.

2. Parachute Aftershower Anti-Dandruff hair cream - has been launched in Mar '06. The anti-dandruffcream is enriched with the goodness of lemon, Neem, Tea Tree oil and coconut proteins that work on the scalp all day long to fight dandruff and prevent breakage. The product has 4 in 1 benefit. Non-sticky. Anti-dandruff, Works 24x7 Makes hair 50% stronger Styles hair

3. Aftershower styling gels - launched in November '06, meant for the younger audience who were looking for a product that would help them "looks the part" everyday. The gels have the natural goodness of coconut proteins and aqua limon moisturizers that not only help style hair the way one wants but also makes hair 3 times softer by providing nourishment unlike other gels. They are a first in the category - "soft styling gels".

PARACHUTE ADVANSED STARZ:

Parachute Advansed - India’s most trusted hair care brand has now presents Parachute Advansed Starz* - a range of hair care products specially created for children between 3-10 years. Drawing on the rich tradition of Parachute Advansed, rooted in nourishing Coconut Proteins, this range has been fortified with Vitamin Shakti and wrapped in the cheerful fragrance of yummy Strawberries to deliver gentle yet effective nourishment.

Parachute Advansed Starz is made from natural ingredients that have been chosen specially keeping in mind the delicate nature of children's hair.

Coconut Proteins - For gentle nourishment Vitamin Shakti - Fortify and strengthen hair Strawberries - A yummy fragrance that children love.

PRODUCTS:

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PARACHUTE STARZ GENTLE SHAMPOO

Parachute Starz Gentle Shampoo is enriched with coconut proteins and fortified with Vitamin Shakti. It was wrapped in the fun-filled fragrance of yummy strawberries. This range of shampoos gently clean hair and stop hair damage by removing knots leaving hair bouncing with vitality.

AVAILABLE IN TWO FORMS:

For Dry Hair: Conditions dry hair

For Oily Hair: Cleanses oily hair

2. PARACHUTE STARZ NON-STICKY HAIR OIL

Parachute Starz Non-Sticky Hair Oil has all the goodness of nourishing Coconut Proteins and fortifying Vitamin Shakti that nurtures young, delicate hair and makes it strong from the roots.

Its special non-sticky formula leaves hair soft, glowing and smelling of yummy strawberries.

3. PARACHUTE ADVANSED STARZ NOURISHING CREAM GEL

Boys love using hair gel to try out new hairstyles. Parachute Advansed Starz Nourishing Cream Gel not only makes styling hair even more fun for boys, it also nourishes hair keeping it healthy.

It has a unique two-in-one Cream+Gel formula that is enriched with nourishing coconut proteins and fortified with Vitamin Shakti. Wrapped in a fun-filled strawberry fragrance, the unique Cream-Gel nourishes hair, preventing hair damage and also makes hair look stylish and cool.

SILK-N-SHINE:

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Silk-N-Shine, a leave in post wash conditioner is to help the hair to boost them with the potion of fruit vitamins. In order to make the hair looks more beautiful and silky this product has been launched. This product is mainly for the young girls who want to make their hair look more beautiful. It also strengthens the hair and helps in stopping hair fall at the time of combing.

This Silk-N-Shine is now available in convenient to carry bottles as well as sachets.

HAIR & CARE:

Hair & Care, pleasantly perfumed non-sticky hair oil is a strong brand in its category.

It is positioned on the platform of being the lightest perfumed hair oil offering both "Style & Nourishment". Hair & Care is upto 50% non sticky than any other hair oil & is enriched with "Herbal Proteins", which nourishes hair with their natural goodness. Herbal Proteins are extracted from Neem & Tulsi, a process patented by Marico.

Launched in 1990, in the non-sticky hair oil category, Marico's Hair & Care is consistently maintaining a steady market share.Hair & Care has always appealed to both men and women of all age groups, but the primary user set has always been those in the younger age group. The brand is popular among both the urban and rural sections of India.

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STRATEGIES FOR MARICO'S HAIR & CARE'S SUCCESS:

Marico's Hair & Care has been the innovator in packaging for this category. Packed in a modern looking unbreakable bottle, it has been continuously innovating itself and successfully differentiated itself from other players in the market.

Hair & Care also extended itself into more modern formats of hair care which includes Silk-N-Shine, a post wash hair conditioner with goodness of fruit vitamins.

SHANTI BADAM AMLA:

In January 2001, Marico entered the Amla market with the launch of Shanti Amla. Shanti Amla was first launched in U.P, which is the largest Amla oil market, and then rolled out nationally.

With Shanti Amla, Marico had increased its presence in the hair oil space. The brand has been consistently growing in market share and is a clear no. 2 in the Amla category. This brand was then re-launched on value added amla platform with the addition of Badaam Oil in Amla. Addition of Badaam oil has clearly helped the brand in differientiating itself from its competitors and carves a niche for itself.

PRODUCTS:SHANTI BADAM AMLA promises the "Goodness of Badaam with Amla".

Nourishment is essential for healthy, strong and beautiful hair. Amla's benefits for hair are common knowledge and when combined with the goodness of Badaam the combination proves to be highly nourishing. Shanti Badam Amla offers the dual benefits of Amla and Badaam together that nourishes and keeps the hair looking naturally beautiful and healthy.

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Shanti Badaam Amla is available in 50ml, 100ml, 200ml, 300 ml and 500 ml. All the packs are available across India

OIL OF MALABAR:

Oil of Malabar is premium quality edible grade coconut oil. This brand is one of Marico's recent acquisitions, having been bought in November 1999. Oil of Malabar, as the name suggests,is positioned on purity - as the oil from the land of coconuts.

Launched in 1992, the brand has grown in stature to become a national brand. Today, it sells in over fifteen states across India , with a strong rural presence. Ever since its launch, the brand has beenknown for its quality and was amongst the earliest to launch flexi/pouch packs to tap the vast rural market.

Oil of Malabar's consumer franchise spans women of all age groups. As mentioned earlier,the brand has a strong rural presence.

NIHAR NATURALS COCONUT OIL:

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Nihar Coconut Oil is a brand of pure coconut oil that has used the platform of purity to become themarket leader in the eastern region. The brand is particularly strong in the states of Bihar and Jharkhand. Nihar coconut oil speaks to young mothers whose lives revolve around their families. Aware and educated, they take great pride in shouldering their family responsibilities,and want to buy only the best for their family.

And the best can only mean one thing - Nihar Coconut Oil. With natural ingredients, double filtration, and a 100% purity guarantee, Nihar Coconut Oil is coconut oil in its purest form. The essence of this brand is well brought out with its baseline 'Kudrat Ki Shakti.

Nihar Naturals Perfumed Hair Oil:

Nihar Naturals Hair Oil has used its understanding of consumers to become the leading hair oil brand in the eastern market.

It is a brand that has managed to differentiate itself from its competition, labeling them as 'basiccoconut oils', and adopting a stand of 'beauty and nourishment' for itself.

Nihar Naturals is also available in two variants - Rose and Jasmine. These fragrances are very popular in the eastern market, and have helped propel the brand further.

REVIVE:

Launched in 1993 in India by Marico, this brand created a market where none existed. Revive has over the years delivered to consumers the convenience of instant cold water starching at home. Consumers looking to upgrade from traditional starches have found in Revive a product which overcomes the problems they faced with traditional starching. Revive Powder gives them superior stiffness over traditional starch.

The launch of Revive Liquid in 2007 is in tune with the increased need for convenience amongst women today. Unlike traditional starch which leaves patches on coloured clothes, Revive Liquid leaves no patches on even coloured clothes. What’s more, it can be

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used on terry-cotts as well as pure cottons.The versatility of this product and the ease of use has appealed to consumers, indicated by its 15% market share within 8 months of launch.

Revive gives you an easy and convenient way of making your 'Clothes Look Like New’. With Revive Liquid, the latest launch by Revive, we can even starch our coloured clothes without being embarrassed by patches. Revive Powder stiffens clothes 30% more than traditional starch.

Revive Powder is available in 3 sizes: 50 gm sachet, 200 gm box and 400 gm jar.

Revive Liquid is available in 2 sizes: 20 gm sachet and 200 gm bottle

MEDIKER:

Mediker is a brand for treating lice and a market leader in its category. Mediker, a three-decade-old brand was acquired by Marico from Procter & Gamble, in July 1999, in the shampoo format.

Lice problem is a very common problem among girl children in the age group of 5 - 12 years. A child can go through physical, mental and psychological problems due to lice. Problems like anemia, pediculosis, lack of concentration, bleeding through excessive scratching, rejection, social embarrassment etc. can add to the child's growing up pains. Mediker is an easy painless solution, which helps the mother tackle this problem.

The brand has caught on, not just in the urban sections of India but also the rural.

Mediker today has three products in its portfolio: Mediker Anti Lice treatment, Mediker Anti Lice Oil and Mediker Plus Anti Lice Oil.

Mediker Anti Lice treatment

In its first avatar, Mediker pioneered the switch from the traditional lice comb, which is painful to use, to an easy and effective way of treating lice using shampoo.

MEDIKER ANTI LICE OIL

Marico recognized a consumer need and also launched 'Mediker Anti Lice Oil' to provide an alternative to a different consumer segment who is more comfortable with the hair oil format. Mediker Anti-Lice Oil, or simply Mediker Oil, contains Coconut oil with Neem extracts and Camphor that effectively fight the problem of lice. The product was nationally launched in December 2002.

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MEDIKER PLUS ANTI-LICE OIL

Mediker Plus Anti-Lice Oil was launched specifically in the Southern markets in February 2005, as the South Indian consumer was looking for an alternative to Mediker Anti-Lice Shampoo.

CONTRIBUTOR'S TO MEDIKER'S SUCCESS

Success of the Mediker brand is the result of constant innovation by the R&D team, consumer-centric communication and excellent distribution. Mediker now symbolizes 'Freedom of Childhood' enabling children to enjoy the childhood pleasures and empowering the mother with the solution to tackle this menace.

Mediker is committed to educating the consumer about the lice menace and problems that childrencan face therefore. To this end Mediker not only conducts awareness campaigns in the media, but also undertakes activation programs in small towns, school contact programs and PR initiatives across

INTERNATIONAL BUSINESS GROUP:

MARICO consists of various international products which are traded internationally. They are as follows.

1. Aromatic2. Hair-code.3. Caivil.4. camellia5. Black Chic6. Hercules.

KAYA CLINIC

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Kaya Ltd (erstwhile Kaya Skin Care Ltd.) was an entrepreneurial leap of faith marking Marico's entry into skin care solutions business. It was a true reflection of uncommon sense for a company in hair care products to move, instead of merely logical product extensions, straight into skin care services. It attempted to leverage Marico's strengths in the Personal Care business and in-depth understanding ofthe needs of the Indian consumer and her/his desire to enhance her/his natural beauty with the best cosmetic dermatology procedures available internationally.

Kaya Ltd. has been focused on meeting the emerging needs of the modern day consumers by providing useful and effective services in the beauty and wellness space. The pioneering effort has been in the area of skin care with Kaya Skin Clinic. For over 5 years Kaya Skin Clinic has refined the standards and professionalisms of the skin care industry through innovative, world class treatments and services that have been tailor made to suit Indian skin.

Changing lifestyles and the fast pace leading to deterioration in overall health and the growing obesity in the country led to launch new initiative Kaya Life. At Kaya Life they have created an innovative approach to a healthy lifestyle through effective, holistic, healthy and customised weight control solutions. With Kaya Life the aim is to raise the bar higher and create a new brand of weight control centres that deliver on the Kaya promise of trust, safety, dependability and achievement of personal goals in weight control.

CAREERS AT MARICO (HR POLICIES):

Marico is a professionally managed organisation that has built itself for a stimulating work culture that empowers people promotes team building and encourages new ideas. Its managerial talent is sourced from the country’s premier technical and business schools, and from amongst those with the country’s premier professional qualifications. The organisation believes in providing challenge and early responsibility at work which serves to keep team members enthused and motivated.

A strong business linkage of all HR Processes and initiatives is maintained at Marico. The organisation has created a favourable work environment that motivates performance. Marico has a process of Performance Enhancement through deployment of MBR (Management By Resources) to create an environment of challenge and stretch. It also linked to a variable element of performance-based compensation.

PERSONNEL DEVELOPMENT:

The organisation believes in investing people to develop and expand their capability. Marico’s strategies are based inter alia, on processes of continous learning and improvement. Personal development plans focus upon how each individual’s strengths can be best leveraged so help each one to deliver to his/ser full potential. External training programs and cross-functional exposure often provide the extra edge.

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RECRUITMENT:

Right people take the organization in the Right Direction. Marico truly believes that recruitment is the key process of helping Marico achieves its business direction through the right talent.

They look at Talent, not just from a short-term perspective, but also from a long-term perspective - where people can be groomed for different roles. They look for people with the right attitude and rigor. Meritocracy is the guiding principle and our recruitment is based on an objective assessment criteria. The recruitment process is thus looked upon as an opportunity to explore the possibility of a mutually beneficial relationship between the individual and the organization.

At Marico, spotting, exploring and inviting talent is not the sole responsibility of the HR Team, but a line function as well. With this intent, the HR function coaches the line - in terms of Identifying Recruitment and Sourcing Avenues and Competency-Based Interviewing Skills.

MANAGEMENT TRAINIG PROGRAMS:

“When you join Marico, get ready to join a learning forum after passing out from one.” This phrase completely sums up the Marico experience for any new member inducted in the organization. The learning, the vibrancy, the dynamics, the freedom and the professionalism in fact, all this and much more!

The Management Trainee (MT) program is by far one of the most comprehensive and well-planned programs across the industry. The orientation program lasts for a week which helps to understand the organization and the values that it stands for. Post this; the trainee embarks on various stints at various levels of the organization. And here is where things are ‘planned’ to take a turn.

The reviews take place at the area-level, the regional-level and then at the corporate-level which just goes to show how seriously the organization makes the employee learning of the institution and how much more are the person is expected to contribute in order to achieve the broader goal of the organization. The senior management themselves are involved, where at the end of every stint they would sit with employee and discuss their performance, the problems faced, improvements and how the MT can bring a fresh perspective to the structure already present on ground. An

Every step of the employee gets noticed, be it success or a failure. And care is taken for every failure to be a stepping stone to further success.

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EXECUTIVE TRAINEE PROGRAM:

The Executive Trainee (ET) program is one of the most comprehensive and well-planned programs across the industry. The orientation program lasts for a week where you get to understand the organization and the values that it stands for.

Post this every ET would be sent for familiarization stint at different manufacturing facilities (CNO/ Edible/ VACNO) at various locations. Every stint is well structured with clear deliverables and various business related projects. Every ET is reviewed at the end of stint at different levels – plant and as well at corporate level. During the various stints all the ET’s are exposed to various world class processes like TPM, OSHAS, SIX SIGMA etc…and various problem solving tools & techniquies.

Entire training period is spread across 9 months of which there would be 6 months on the job training, in which each ET would be assigned a particular role and would be closely mentored.

Every ET will be formally assigned under a mentor who will not only ensure that he or she is getting appropriate training but who will also help the trainee settle socially. The mentor will network with the Plant & Corporate resources to ensure appropriate training & other support.

MARKETING OF MARICO:

PROMOTIONAL STRATAGIES OF MARICO:

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.

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Here are some concepts that Marico has used over the years.

1. 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.

2. 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.

3. Prototyping - if an idea looks attractive, do several experiments in near-real conditions. Learn aggressively and perfect the model in the learning lab.

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

SOME OF THE EXAMPLES OF MARICO’S INNOVATIVE IDEAS

• 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 heart care. 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

• Revive -changed Rice water starching to cold water starching.

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NEW PRODUCT INITIATIVES:

To support its new product initiatives, Marico follows a strategic funding(SF) approach, Marico defines SF as the negative contribution a product makes after providing for material costs, variable manufacturing and distribution costs and advertising and sales promotion expenditure for the product. Each year the company budgets for a certain percentage of its PBT to be available towards strategic funding for new products and business. All new products would have to fight for these resources. As the company’s bottom line grows, the SF pie grows larger. This provides sufficient investments towards creating future growth engines and at the same time puts an overall ceiling to the SF at the group level.

SUPPLY CHAIN MODEL:

Marico is following the common and efficient supply chain model comprising C&F agents, distributors, wholesalers and retailers. A significant share of business is generated through the “mom & pop” store (kirana) format.

ADVERTISING:

Marico Limited has decided to align some of its key brands to BBH India. The portfolio includes Parachute Therapie Hair Fall solution, Parachute Advansed After Shower, Mediker, Nihar Naturals and Parachute Advansed Starz.

BBH was recently launched in India with three managing partners, Priti Nair, Partha Sinha and Subhash Kamath. And in a short period of time, it has already put together a core team into place

MARKET SHARE:

PARACHUTE

• Market Share 48%

(12 months ended November 2008)

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• Volume growth Q3FY09 in rigid packs : 9%

NIHAR

• Acquired from HUL in Feb 2006

– Adds another 7% - 8% market share

Sustainable market growth in coconut oil – 7% to 8%

COMPETITORS:

MARICO stands in the 4th position in the FMCG market. The competitors of the Marico in the FMCG market are as follows

1. HUL2. Dabur India3. Colgate4. MARICO5. Godrej consumer6. Godrej India7. P&G8. Gillette India9. Emami10. Jyothi Labs

FINANCIAL POSITION OF MARICO:

THE CONSOLIDATED P&L A/CS AND BALANCE SHEETS OF MARICO LTD ARE AS FOLLOWS.

PROFIT & LOSS ACCOUNT OF MARICO ------------------- IN RS. CR. -------------------

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Income Mar '05 Mar '06 Mar '07 Mar '08 Mar '0912 mths 12 mths 12 mths 12 mths 12 mths

Sales Turnover

953.23 1,046.47 1,375.60 1,578.10 1,923.92

Excise Duty 5.21 1.31 2.33 2.11 2.07Net Sales 948.02 1,045.16 1,373.27 1,575.99 1,921.85Other Income 8.04 7.87 2.79 2.89 -47.30Stock Adjustments

0.99 5.82 41.14 25.24 27.79

Total Income 957.05 1,058.85 1,417.20 1,604.12 1,902.34ExpenditureRaw Materials 602.95 579.88 790.72 918.13 1,184.82Power & Fuel Cost

3.97 4.13 4.97 5.38 5.53

Employee Cost 42.14 62.16 66.83 77.18 84.18Other Manufacturing Expenses

35.81 41.71 56.11 63.36 73.27

Selling and Admin Expenses

159.48 214.36 293.16 316.56 326.42

Miscellaneous Expenses

22.76 13.89 13.46 11.56 6.02

Preoperative Exp Capitalised

0.00 0.00 0.00 0.00 0.00

Total Expenses

867.11 916.13 1,225.25 1,392.17 1,680.24

Operating Profit

81.90 134.85 189.16 209.06 269.40

PBDIT 89.94 142.72 191.95 211.95 222.10Interest 3.03 5.02 20.01 19.75 28.92PBDT 86.91 137.70 171.94 192.20 193.18Depreciation 11.60 33.23 35.19 18.93 17.03Other Written Off

0.00 0.00 0.00 0.00 0.00

Profit Before Tax

75.31 104.47 136.75 173.27 176.15

Extra-ordinary items

4.33 2.22 7.84 0.00 18.32

PBT (Post Extra-ord Items)

79.64 106.69 144.59 173.27 194.47

Tax 5.85 7.83 28.43 29.86 52.37Reported Net Profit

73.79 98.88 116.16 143.41 142.10

Total Value Addition

264.16 336.25 434.53 474.04 495.42

Preference 0.00 0.00 1.65 0.00 0.00

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DividendEquity Dividend

31.03 35.96 39.06 39.89 39.89

Corporate Dividend Tax

4.15 5.04 5.71 6.78 6.78

Per share data (annualised)Shares in issue (lakhs)

580.00 580.00 6,090.00 6,090.00 6,090.00

Earning Per Share (Rs)

12.72 17.05 1.88 2.35 2.33

Equity Dividend (%)

53.50 62.00 65.50 65.50 65.50

Book Value (Rs)

37.68 47.82 3.01 4.60 6.04

BALANCE SHEET OF MARICO ------------------- IN RS. CR. -------------------

Sources Of Funds

Mar '05 Mar '06 Mar '07 Mar '08 Mar '09

12 mths 12 mths 12 mths 12 mths 12 mthsTotal Share Capital

58.00 58.00 60.90 60.90 60.90

Equity Share

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Capital58.00 58.00 60.90 60.90 60.90Share Application Money

0.00 0.00 0.00 0.00 0.00

Preference Share Capital0.00 0.00 0.00 0.00 0.00Reserves 160.54 219.36 122.59 219.33 306.78Revaluation Reserves

0.00 0.00 0.00 0.00 0.00

Networth 218.54 277.36 183.49 280.23 367.68Secured Loans 3.25 203.25 50.48 121.23 107.51nsecured Loans

49.14 20.26 116.77 184.36 201.02

Total Debt52.39 223.51 167.25 305.59 308.53Total Liabilities270.93 500.87 350.74 585.82 676.21

Application Of Funds

Mar '05 Mar '06 Mar '07 Mar '08 Mar '0912 mths 12 mths 12 mths 12 mths 12 mths

Gross Block 170.41 402.11 213.87 228.89 262.16Less: Accum. Depreciation

81.30 112.56 118.81 131.90 146.25

Net Block 89.11 289.55 95.06 96.99 115.91Capital Work in Progress11.65 18.97 8.97 49.10 45.61Investments 29.09 36.39 80.91 106.52 112.58Inventories 112.47 119.59 196.21 218.59 273.69Sundry Debtors

35.36 49.53 41.29 41.68 61.05

Cash and Bank Balance

13.67 25.93 22.28 7.75 13.37

Total Current Assets161.50 195.05 259.78 268.02 348.11Loans and Advances

99.57 132.15 231.88 292.04 275.80

Fixed Deposits 4.13 2.15 2.52 22.18 11.59Total CA, Loans & Advances265.20 329.35 494.18 582.24 635.50Deffered 0.00 0.00 0.00 0.00 0.00

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CreditCurrent Liabilities

109.06 153.87 315.61 206.40 202.52

Provisions 15.06 19.52 12.77 42.63 30.87Total CL & Provisions124.12 173.39 328.38 249.03 233.39Net Current Assets

141.08 155.96 165.80 333.21 402.11

Miscellaneous Expenses

0.00 0.00 0.00 0.00 0.00

Total Assets270.93 500.87 350.74 585.82 676.21Contingent Liabilities

15.96 16.78 16.18 21.04 26.32

Book Value (Rs)

37.68 47.82 3.01 4.60 6.04

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Key Financial Ratios of Marico ------------------- in Rs. Cr. -------------------

Mar '05 Mar '06 Mar '07 Mar '08 Mar '09

Investment Valuation Ratios

Mar '05 Mar '06 Mar '07 Mar '08 Mar '09

Face Value 10.00 10.00 1.00 1.00 1.00Dividend Per Share

5.35 6.20 0.66 0.66 0.66

Operating Profit Per Share (Rs)

14.12 23.25 3.11 3.43 4.42

Earnings Per Share

12.72 17.05 1.88 2.35 2.33

Profitability RatiosOperating Profit Margin(%)

8.63 12.90 13.77 13.26 14.01

Gross Profit Margin(%)

9.24 13.05 13.23 12.06 13.13

Cash Profit Margin(%)

8.93 12.56 10.94 10.49 10.25

Net Profit Margin(%)

7.72 9.40 8.39 9.06 7.35

Return On Capital Employed(%)

28.79 21.47 46.72 33.60 38.80

Return On Net Worth(%)

33.77 35.65 63.31 51.17 38.64

Return on Assets 37.68 47.82 3.01 4.60 6.04Return on Long Term Funds(%)

35.70 22.53 89.32 48.07 48.38

Liquidity And Solvency Ratios

Current Ratio 1.48 1.65 0.90 1.33 1.59

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Quick Ratio 1.21 1.19 0.55 1.07 1.25Debt Equity Ratio

0.24 0.81 0.91 1.09 0.84

Long Term Debt Equity Ratio

-- 0.72 -- 0.46 0.48

Debt Coverage RatiosInterest Cover 60.02 29.88 10.21 12.08 10.08Total Debt to Owners Fund

0.24 0.81 0.91 1.09 0.84

Turnover RatiosInventory Turnover Ratio

8.50 8.79 7.05 8.48 8.22

Debtors Turnover Ratio

27.55 24.62 30.24 37.99 37.42

Investments Turnover Ratio

10.12 10.70 8.39 8.48 8.22

Fixed Assets Turnover Ratio

10.90 12.52 19.07 8.17 8.58

Total Assets Turnover Ratio

3.62 3.91 4.35 2.87 3.01

Asset Turnover Ratio

5.87 6.19 7.68 8.17 8.58

OSERVATIONS AND INTERPRETATIONS:

With the help of the ratios found we can draw some observations and conclusions.

In all the above found ratios the year 2006-07 has showed poor performance. The main reason for it is it has increased the business in outside of the country.

The Current ratio initially decreased and later it comes up with gradual increase. As current ratio refers to the liquidity position of the firm, it can be said that the firm has sufficient current assets to meet its short term obligations.

The interest coverage ratio is gradually decreasing because the debt-equity ratio is increasing. Even though the interest coverage ratio is more than 8 it is said to be that the firm is in safe position but it has to face the risk if it continue like this.

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The Earning per share is increased in Fy09 compared to FY08.

The inventory turnover rate is fluctuated for the continuous five years. As this ratio indicates that how fast inventory is used/ sold. The ratio is showing the profitability position.

The Profitability Ratios measures the profitability of a firm or operational efficiency of the firm. All the Profitability ratios showed a gradual increase. From this it can be stated that the firm is doing well in its operations.

GRAPHICAL REPRESENTATION OF MARICO’S GROWTH IN DIFFERENT ASPECTS:

Some of the graphs showing the gradual increase in the Marico’s growth are as follows.

From the above graph we can state that the contribution of international business in profits is increasing from year to year.