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SRIKANTH.K.IYER KETAN JAIN NITESH SINGH
412 414 433 421 411
BRITANNIA Company Overview
The story of one of India's favorite brands reads almost like a fairy tale. Once upon a time, in 1892 to be precise, a biscuit company was started in a nondescript house in Calcutta (now Kolkata) with an initial investment of Rs. 295. The company we all know as Britannia today. The beginnings might have been humble-the dreams were anything but. By 1910, with the advent of electricity, Britannia mechanised its operations, and in 1921, it became the first company east of the Suez Canal to use imported gas ovens. Britannia's business was flourishing. But, more importantly, Britannia was acquiring a reputation for quality and value. As a result, during the tragic World War II, the Government reposed its trust in Britannia by contracting it to supply large quantities of "service biscuits" to the armed forces. As time moved on, the biscuit market continued to grow… and Britannia grew along with it. In 1975, the Britannia Biscuit Company took over the distribution of biscuits from Parry's who till now distributed Britannia biscuits in India. In the subsequent public issue of 1978, Indian shareholding crossed 60%, firmly establishing the Indianness of the firm. The following year, Britannia Biscuit Company was rechristened Britannia Industries Limited (BIL). Four years later in 1983, it crossed the Rs. 100 crores revenue mark. On the operations front, the company was making equally dynamic strides. In 1992, it celebrated its Platinum Jubilee. In 1997, the company unveiled its new corporate identity - "Eat Healthy, Think Better" - and made its first foray into the dairy products market. In 1999, the "Britannia Khao, World Cup Jao" promotion further fortified the affinity consumers had with 'Brand Britannia'.
MILESTONES OF THE COMPANY
1892 1910 1921 1939 – 44 The Genesis - Britannia established with an investment of Rs. 295 in Kolkata Advent of electricity sees operations mechanized Imported machinery introduced; Britannia becomes the first company East of the Suez to use gas ovens Sales rise exponentially to Rs.16,27,202 in 1939 During 1944 sales ramp up by more than eight times to reach Rs.1.36 crore 1975 1978 1979 1983 1989 1992 1993 1994 1997 Britannia Biscuit Company takes over biscuit distribution from Parry's Public issue - Indian shareholding crosses 60% Re-christened Britannia Industries Ltd. (BIL) Sales cross Rs.100 crore The Executive Office relocated to Bangalore BIL celebrates its Platinum Jubilee Wadia Group acquires stake in ABIL, UK and becomes an equal partner with Groupe Danone in BIL Volumes cross 1,00,000 tons of biscuits Re-birth - new corporate identity 'Eat Healthy, Think Better' leads to new mission: 'Make every third Indian a Britannia consumer' BIL enters the dairy products market 1999 2000 2001 Britannia Khao World Cup Jao" - a major success! Profit up by 37% Forbes Global Ranking - Britannia among Top 300 small companies BIL ranked one of India's biggest brands No.1 food brand of the country Britannia Lagaan Match: India's most successful promotional activity of the year Maska Chaska: India's most successful FMCG launch 2002 BIL launches joint venture with Fonterra, the world's second largest dairy company Britannia New Zealand Foods Pvt. Ltd. is born Rated as 'One amongst the Top 200 Small Companies of the World' by Forbes Global Economic Times ranks BIL India's 2nd Most Trusted BrandPure Magic -Winner of the Worldstar, Asiastar and Indiastar award for packaging 4
Low Fat Dahi and renovated 'MarieGold' COMPANY HISTORY 5 . 'Good Day Classic Cookies'.2003 Treat Duet'.00. Tiger Ban Jao' becomes the popular chant! Britannia launched 'Greetings' range of premium assorted gift packs The new plant in Uttaranchal. The launch of yet another exciting snacking option .000 tons of biscuits Good Day adds a new variant . SAOG 2008 Britannia launched Iron fortified 'Tiger Banana' biscuits.most successful launch of the year Britannia Khao World Cup Jao rocks the consumer lives yet again 2004 Britannia accorded the status of being a 'Superbrand' Volumes cross 3.Britannia 50-50 Pepper Chakkar 2007 Britannia industries formed a joint venture with the Khimji Ramdas Group and acquired a 70 percent beneficial state in the Dubai-based Strategic Foods International Co.Choconut . commissioned ahead of schedule.'Swasth Khao.in its range 2005 Re-birth of Tiger . LLC and 65.4% in the Oman-based Al Sallan Food Industries Co.
. general merchandise items and computer software. Ltd. In the same year. as a public limited company under the Indian Companies Act.1918 The Company was Incorporated on 21st March. During the same year automatic plants were installed there and later in Mumbai in 1954. 1921 The Company obtained a priority of Certificate and imported new machinery thereby becoming the first biscuit company in India to install and run a gas oven plant. 1954 6 . In August 1. 1924 A new factory was established at Kasara Pier Road in Mumbai. VII of 1913.234 Bonus equity shares issued in the proportion 1:1.53. 1952 The Calcutta Factory was shifted from Dum Dum to spacious grounds at Taratola Road in the suburbs of Calcutta. The Company Manufacture bakery and soyabean products.. a leading biscuit manufacturing company. U. 1939-45 A large part of the Company's production was diverted to war effort on account of World War II and at times as much as 95% of the total capacity was booked for the production of Service Biscuit. 1951 19. the Company became a subsidiary of Peek. Ltd. Frean & Co. and further strengthened its position by expanding the factories at Calcutta and Mumbai. export of cashew Kernels marine products.K.779 Equity shares issued to acquire the Delhi Biscuit Co.
43. 6.18.286 shares offered as rights to resident Indian shareholders in proportion 1:5..014 Bonus equity shares issued in the proportion 2:3. 1961 Manufacture of bread was started in Mumbai and a new bread bakery was set up at Delhi in 1965. 1979 With effect from 3rd October.29.06. 1.96.851 Bonus equity shares issued in the proportion 1:2.64.000 shares each to LIC and GIC were reserved for allotment and 11. 1966 In May 1966. the non-resident holding in the Company was reduced to less than 40%.53.The development of high quality sliced and wrapped bread in India was pioneered by the Company and was first manufactured at Delhi.59.18.468 Bonus equity shares issued in the proportion 4:9. 1968 On 14th May. 1970 9.000 shares to UTI and 50. the name of the Company was changed from the Britannia Biscuit Co. 2.00.000 Equity shares issued at a premium of Rs 5 per share 4. 1980 7 . 1976 Britannia bread was introduced in Calcutta and Chennai.00.239 Bonus equity shares issued in the proportion 7:10 in April. 1. Ltd. 1978 After the issue of shares to the Indian public.714 shares offered to the Company's employees.234 Bonus equity shares issued in the proportion 1:2.021 Bonus equity shares issued in the proportion 3:5. to Britannia Industries Ltd.50. 3.06..000 shares offered to the public during January/February.
Elaichi Creamand Petit Beurre were launched. Increase in sales of bakery and soya products divisions and higher cashew exports helped to realise higher sales. Nepal.26. 1989 The Company launched new brand of biscuit. the total sales turnover increased on an annualized basis by 38.. Also. The soya products division introduced a range of extruded products under the brand name VITAL FEAST. Sales of biscuits. namely. Ltd. a new cashew badam variant of the brand Milk Bikis and brand extension of Pure magic biscuit Vanilla cream were launched. Fruit bread was launched in Delhi and was well received.7% over the previous year. registered a satisfacotry growth.The Company signed a 10 year technical collaboration agreement with Nebico Pvt. for the supply of know-how relating to manufacturing. Good Day. `CIRCUT'. 61.118 Bonus equity shares issued in proportion 2:5. With the introduction of some more brands during the year.565 Bonus shares issued in proportion 2:5 during July 1987.15 crores.4% over the the previous year to Rs 192. packaging and marketing of biscuits and selection of plant and machinery. 1982 25.88. 1987 In (16 months). 8 . Bread production and affected for some time at Delhi factory due to industrial unrest. 1990 Two new brands of biscuits. a new biscuit launched during the year met with good market response. the total biscuit brands of the bakery division reached 27. 35.36. Production of bread at Delhi unit was adversely affected due to launched pure refined cooking oil under the brand name of Vital.989 Bonus shares issued in proportion 1:2. 1986 The turnover increased by 19. Another brand PURE MAGIC was extended nationally and posta badam was added to GOOD DAY range of biscuits. in terms of volume.
1991 The Company launched two new speciality brands viz.Bread market remained depressed. MP. the Company launched a speciality brand viz. 1996 Mariegold biscuits registered quantum growth in volumes and milk bikis milk cream launched during the year was well received. under the premium segment. its soya unit at Vidisha. `Fifty-Fifty'. the company launched with Groupe Danone's technological input a Swissroll Cake Mini Roule which was also met with good response. 1994 During the year. In the cake market. 1992 The Company launched a new brand of biscuit.. for manufacture of beverage bases and essence for Coca Cola. Premium Bake' in both Delhi and Mumbai. Ltd. 9 . a joint venture with JMRPCO Ltd. the company has started exporting Basmati Rice under the name `Britannia Indian Pearl'. 1995 Under the `Pure Magics' Umbrella. Hongkong. Britannia milk bread and Britannia brown bread in Delhi and extended nationally its main brands Petit Beurre and elaichi cream. the Company handed over to SM Dychem Ltd. During the year. Fanta & Sprite and to export processed snack foods.The Company proposed to invest in the equity capital of Britco Company Pvt. namely.On 17th August.. To revive the market. double cream and this was well received in the market. 1993 The Company launched new brand of biscuit. Despite general slow down in the economy the company's profits improved. the bakery division launched `Bakers Choice' a sweet biscuit and Thinlite' a light semi-sweet biscuit aimed at fitness concious consumers.. namely `Little Hearts' which carved a niche in the market. the company launched a new sandwich cream biscuit with two-in-one flavour viz.
Britannia Industries Ltd has launched a festival offer for Britannia Dairy Whitener in Kerala. Mumbai.000 workers employed in the biscuit manufacturing unit at Reay Road. In a move meant to sharply 10 . 1998 Food major Britannia Industries Ltd (BIL) has signed a wage agreement with the Maharashtra General Kamgar Union (MGKU). 1999 Britannia Industries Ltd has rolled out its flavoured milk brand `Zip-Sip' in tetrapaks. The Company launched `Tiger' range of biscuits for mass market category. chocolate-vanilla and vanilla-orange.1997 The Biscuit industry has been dereserved which would not only remove restriction on increasing capacity but would also provide opportunities of growth through new products and efficient production systems. Half/Half comes in a twin-cake pack (Rs. Zip-Sip has been launched in Mumbai and some markets in the South.100-crore secured nonconvertible debenture issue from Britannia Industries Limited (BIL). The Company also launched Butter in Delhi during the year.Shining Strategic Design. launching the country's first branded flavoured milk is another step towards its goal of becoming a dairy-products giant. with strategic inputs from an international strategic design and brand repositioning company . `Jim-Jam' and Chekkers' in the premium segment. Britannia Industries. providing an average wage increase for 1.6) and a tray pack containing five cakes. The company has launched Half/Half. Britannia Industries Ltd (BIL) will shortly enter the cheese and milk products market with an alliance proposed between itself and the Mumbai-based Dynamix Dairy Ltd. Britannia Industries Ltd is all set to launch a new corporate identity and a total revamp of its product portfolio. The Company undertook to diversify into cheese and dairy whitner. a soft cake filled with cream in two variants. A Ind AAA rating has been signed to the Rs. Britannia Industries (BIL) is one of the largest bakery in the private sector and a household name in food products.
2001 Britannia Industries has launched Britannia Milkman Milk in Delhi.Biscuits major Britannia Industries will fund its in-principle agreement to acquire 49 per cent of Kwality Biscuits through internal accruals. Ltd has reaffirmed the Ind AAA rating assigned to the Rs 1000 million non convertible debenture program of Britannia Industries Ltd. Britannia Industries has launched Britannia Milkman Butter. knowledge major' Encyclopaedia Britannica Inc plans to come out . Hyderabad and Chennai to tap the region's market potential. The Industry is set to start bread-manufacturing factories in Kochi. milk protein and 58 cereals.The Company has become the first company to take its products to the Net in the form of a video file. Britannia's Milk Bikis Funland biscuits an innovative extension of the Milk Bikis brand.for the first time . 2000 Britinnia Industries has launched consumer promotion scheme Britannia Khao. a product under the Milkman brand. is introducing a range of products many in desi flavours to woo the Indian consumer. Britannia Industries. 2002 11 . FITCH rating India Pvt. The Company has lauched two new dairy products Milkman Cold Coffee and Milkman Sweet lassi. Britannia Industries Ltd. Cricketer Ban Jao' on May 1st. has introduced a new range of traditional namkeens called Britannia Snaz in Mumbai. in its second coming in the Indian dairy market under the Milkman' brand.with India and south Asia-specific volumes targeted at school children as well as institutions and the general `knowledge-seeker'.The Company has launched Vita Mariegold.increase its India-profile. a semi-sweet biscuit which reportedly has 10 essential vitamins.The Company has appointed Tata Energy Research Institute (Teri) for a power audit. .
cakes and high end ready to eat foods and snacks 12 . Britannia's new COO is Nikhil Sen.Britannia Industries has appointed Mr..Nikhil Sen. 2003. a joint venture of Britannia Industries and Fonterra Co-operative group of New Zealand has launched Britannia MilkMan fresh milk. as additional director on its board. Britannia's Non-convertible Debentures have been rated AAA by Fitch Rating India as Stable Outlook. New Zealand's biggest company and one of the leading diary co-operative groups in the world.Chief Operating Officer as the manager of the company . 2004 Britannia Industries Ltd has informed that pursuant to the approval of the shareholders of the Company at the AGM held on August 08. -Britannia New Zealand Foods. the said stock exchange has delisted the securities of the Company with effect from November 15. 2002 that it has entered into a joint venture with the Fonterra Cooperative Group.Britannia Industries Ltd announced on March 26. 2003 and the subsequent application to the Cochin Stock Exchange Ltd. 2003 Board of Directors of Britannia Industries Ltd has passed a resolution to terminate the employment of Mr S K Alagh as Managing Director of the company with immediate effect. The management of Britannia Industries has roped in John Miller. a Danone representative. -Britannia Industries Ltd reviews marketing alliance with the Kolkata-based Thacker Dairy Products Pvt Ltd 2005 Britannia New Zealand launches health drink for adult 2006 Britannia Industries Ltd has forged a strategic alliance with CCD Daily Bread Pvt Ltd a Bangalore based Company engaged in manufacturing and retailing of premium breads.
Durgesh Mehta has joined the Company as the Chief Financial Officer (CFO) with effect from November 16. 2006.Hirjee Designation Chairman Managing Director Director 13 .K. KEY EMPLOYEES OF THE COMPANY Name Mr. Britannia Industries Ltd has informed that Mr. Stephan Gerlich as a Director.Britannia Industries Ltd has appointed Mr. A. Nusli Neville Wadia Ms. Vinita Bali Mr.
Kelkar Director Director Director Director Director Director Director LOCATION DETAILS . Keki Dadiseth Mr. Nimesh N Kampani Mr.Dr. Pratap Khanna Mr. Jeh N Wadia Mr.BRITANNIA INDUSTRIES Location Type Office Address Executive Office: Britannia Gardens Airport Road Vimanapura Bangalore .560017 Karnataka . Ajai Puri Mr. S. Avijit Deb Mr.India Phone : 66928000 Fax : 25263265 14 .S.
Internet : N.A.A.A.Email : madanv@britindia.A. 18 Nainital District .263153 Uttar Pradesh . Sector 1 Integrated Industrial Estate (IIE) Pant Nagar.India Phone : Fax : Email : N.India Phone : Fax : Email : N.India Phone : Fax : Email : N. Branch Office Internet : N.A. Factory/plant Internet : N.A.A.India Phone : Fax : Email : N.464001 Madhya Pradesh . 1. Branch Office Village Fazipur Mehrola Nainital District . Mumbai . Plot No. Sandhu Farms P O Box No.India Phone : Fax : 15 .com Factory/plant Internet : N.400010 Maharashtra . Sanchi Vidisha Road Vidisha .A.A. Reay Road (East). Factory/plant Internet : N. Tehsil/Taluk Udham Singh Nagar Di Uttaranchal .0 Uttar Pradesh .
India Phone : 22872439. 22872057 Fax : 22872501 Email : email@example.com Factory/plant Internet : N.A. Udham Singh Nagar Di Uttaranchal .A. Rudrapur Kichha.India Phone : Fax : Email : N.India Phone : Fax : 16 . Pant Nagar. Factory/plant Internet : N.A.India Phone : Fax : Email : N.400010 Maharashtra .A. 1. Factory/plant Internet : N. Kolkata .A.India Phone : Fax : Email : N. Mazagaon Mumbai . 5/1A. MTH Road.700088 West Bengal . Plot No.700017 West Bengal .A.A.Email : N.600050 Tamil Nadu . Taratola Road Kolkata .A. Factory/plant Internet : N. Registered Office Internet : N. Sector 1 Integrated Industrial Estate (IIE). Reay Road (East). Chennai (Madras) . Tehsil/Taluk. 15.A.
Tiger is a Glucose biscuit.com Internet : N.India Phone : 22872439. It is for modern mothers who play an enabling role for their children to compete in today's world and thus want the best.Email : N. in Apr 2008 has further helped bolster its growth in the highly competitive glucose biscuit category .A. PRODUCTS & SERVICES Tiger. 22872057 Fax : 22872501 Email : investorrelations@britindia. 17 .700017 West Bengal .A. Over the years. 5/1A.A. launched in 1997. Now Tiger Glucose has been fortified with "Iron Zor" with an attempt towards addressing the Iron Deficiency crisis the children of India face. Hungerford Street. and transcending glucose biscuits. which comes with the added goodness of wheat and milk. Tiger has become the mass-market face of Britannia symbolising fun and energy in both urban and rural India. Tiger has grown from strength to strength and the reinvigoration in June 2005 and more recently. became the largest brand in Britannia's portfolio in the very first year of its launch and continues to be so till today. Registered Office Internet : N. Kolkata .
Chocolate. The new TT ad is the uncontrollable expression of the ticket collector's happiness and joy that is stimulated by consumption of the cookie. Purposefully taking forward the credo of 'Eat Healthy. Over the years. it was time to give the nation yet another reason to have a good day. that spreads cheer amongst the people around him creating an atmosphere of shared joy that's unorchestrated and straight from the heart. It comes in two variants: Milk Sparkies and Choco Sparkies Tiger Banana : Britannia is committed to help secure every child's right to Growth & Development through good food everyday. we have launched a new variant under our power brand TIGER .Good Day Cashew and Butter. Elaichi. new variants were introduced . This rich biscuit enjoys a fan following of consumers across all ages.power packed with IRON ZOR & and with the delightful taste of banana. goodness. indulgence and now unrestrained joy . Good Day is amongst the fastest growing brands in Britannia's portfolio and is today the market leader with almost 2/3 share of the market. Think Better '.Tiger Coconut : Delicious Coconut Flavoured Energy Biscuits.TIGER BANANA . Chota Tiger : Is an extension of brand Tiger launched nationally in May. Tiger Cream is now available in Orange. Good Day Chocochips in 2000 and Good Day Choconut in 2004. It is mini sized poppable glucose biscuit with coloured sugar sprinkling. and promises to bring more fun and more energy to children across the country. loyal to the brand promise of a great taste evident from the visibly abundant ingredients. launched in 2001 Tiger Creams : Was Introduced in 2002 at just Rs 5 per pack.Good Day Pista Badam in 1989. Britannia Good Day was launched in 1986 in two delectable avatars . The celebration was taken to the IPL as 18 .that is the message of this new campaign. Abundance. The brand is synonymous with everyday treats that infuse happiness into people's daily lives. After two decades of magnificent success. Strawberry and Butterscotch flavours. 2007. Pineapple.
that of spreading JOY! With a brand name like 50-50. but they love Britannia Milk Bikis! Milk Bikis has been trusted by mothers as a source of growth energy of milk and their loyalty to the brand has made it an integral part of their children's nutrition regimen In 1996. which makes mothers happy as well . The versatile and youthful brand constantly aims to provide a novel and exciting taste experience to the consumer. the delicious Maska Chaska was launched as a variant of the original brand and became an instant success. To keep pace with the demands of the new generation and to bring milk nutrition to the masses in a delightful form. The brand perseveres to infuse cheer. in 2001. can the product be anything but fun? Launched in 1993. Good Day gifts the nation a priceless treasure.Good day cheered along with a million cricket fans in the stadiums. Milk Bikis. With its rightful place on the front page of The Times of India. each screaming and proclaiming "Ho gaya re Good Day". hearten the nation and enliven lives. went one step further in the last quarter of 19 . it transcends race. Milk Bikis launched a variant called Milk Cream. These round biscuits come with smiley faces and are full of milk cream that makes them very popular with children. Milk Cream also promoted the idea of 'eating milk' in a yummy way. caste creed unifying humanity in an inclusive emotion. Britannia 50-50 is the leader in its category with more than one-third of market share. the contagious rhythm needs to be lived and spread through the nation. The dazzling brilliance of this endeavour. Kids may dislike drinking milk. Good Day truly believes laughter and happiness are infectious. making 'Iska toh ho Gaya Re Good Day' a part of the common lingo and a way of life. 50-50 belongs to the family of crackers and is considered the "very very tasty tasty" snack. As a result.
moneycontrol.com www. With a unique and attractive honeycomb design and an enhanced product experience.financialexpress.com www. The company information is collected from various websites related to BRITANNIA retail. Britannia's oldest brand enjoys a heritage that spans the last 50 years .2006 in providing not just energy but ‘developmental fuel’ for children. the new biscuit is now fortified with SMART NUTRIENTS – 4 vital vitamins. iron and iodine. In a market swamped with me-too products and where even the name 'Marie' has become generic.businesstimes. • • • • • • • • www.and going strong.companyreviews. BRITANNIA.com 20 .com www. Britannia Marie Gold has maintained its stronghold.com www.indianfinancelevel. It is the #1 brand in its category by a long shot. Its taste.wikipedia.webindia. Today. the ever-popular Marie Gold is synonymous with the 'Tea Time Biscuit'.com. www.com www.com www. Data sources The source of study is secondary data. crispiness and lightness make it a must for every tea break. proven to aid mental and physical development in growing kids.
23 21 23.56 11.67 4.19 470.91 453.29 46.Company website: www.19 240.30 34.89 525.BRITANNIAretail.83 554.60 392. loans & advances Less : current liabilities & provisions Total net current assets Miscellaneous expenses not 23.25 619.95 31.03 320.12 193.14 449.37 16.67 207.35 154.99 9.89 590.06 23.53 3.37 -42.75 198.86 291.84 347.45 315.74 558.30 .18 212.24 25.66 250.07 127.17 23.37 174.21 273.08 278.89 419.70 330.89 731.20 1.51 146.69 380.88 16.03 59.91 39.93 1.96 235.08 359.86 349.32 239.11 405.10 318.81 140.58 23.58 25.39 95.05 382.63 6.16 861.62 7.22 30.61 323.94 104.net FINANCIAL STATEMENT Balance sheet (Rs crore) Mar ' 08 Mar ' 07 Mar ' 06 Mar ' 05 Mar ' 04 Sources of funds Owner's fund Equity share capital Share application money Preference share capital Reserves & surplus Loan funds Secured loans Unsecured loans Total Uses of funds Fixed assets Gross block Less : revaluation reserve Less : accumulated depreciation Net block Capital work-in-progress Investments Net current assets Current assets.44 0.92 1.07 320.
41 200.46 82.26 118.05 -37.02 61.66 228.12 102.98 -8. activity Net inc/dec in cash and equivlnt Cash and equivalnt begin of year Cash and equivalnt end of year Mar ' 08 Mar ' 07 Mar ' 06 Mar ' 05 Mar ' 04 232.71 220.41 58.91 141.81 2.93 150.28 1.18 39.41 -45.55 2.21 291.63 9.24 184.93 16.39 63.written Total Notes: Book value of unquoted investments Market value of quoted investments Contingent liabilities Number of equity sharesoutstanding (Lacs) 861.47 53.17 -140.96 -14.90 449.45 392.63 238.33 2.51 -185.90 470.86 22 .93 169.68 6.91 141.88 67.31 59.86 73.24 238.90 238.08 64.61 9.08 -49.91 380.55 238.13 87.56 2.76 224.15 -36.12 Cash flow (Rs crore) Profit before tax Net cashflow-operating activity Net cash used in investing activity Netcash used in fin.10 96.90 619.77 -63.24 238.90 192.59 -130.81 238.60 352.90 558.55 251.
63 1.67 209.54 2.30 162.713.587.32 128.03 4.69 115.75 157.46 767.34 1.43 177.24 9.27 21.70 200.404.43 199.90 34.070.40 73.76 54.07 15.96 183.73 8.439.72 18.85 118.38 19.99 6.64 167.57 1.58 1.44 133.28 -8.38 1.37 214.94 161.08 25.64 82.95 65.85 168.37 58.35 139.008.97 22.34 203.23 7.93 18.Profit loss account (Rs crore) Mar ' 08 Mar ' 07 Mar ' 06 Mar ' 05 Mar ' 04 Income: Operating income Expenses Material consumed Manufacturing expenses Personnel expenses Selling expenses Adminstrative expenses Expenses capitalised Cost of sales Operating profit Other recurring income Adjusted PBDIT Financial expenses Depreciation Other write offs Adjusted PBT Tax charges Adjusted PAT Non recurring items Other non cash adjustments Reported net profit Earnigs before appropriation Equity dividend Preference dividend Dividend tax Retained earnings 2.07 71.199.71 73.05 29.40 9.39 144.86 2.24 2.18 232.39 90.32 4.90 5.84 35.563.50 70.29 57.26 10.39 194.00 107.64 899.49 200.00 157.57 110.71 138.80 251.32 1.81 256.08 Capital structure (Rs crore) From Year To Year Class Of Authorize Share d Capital Issued Capital 23 Paid Up Shares (Nos) Paid Up Face Value Paid Up Capital .44 38.79 1.07 41.53 182.72 217.06 73.62 1.587.59 176.43 149.10 244.61 1.09 5.57 161.84 33.42 204.44 24.39 191.96 212.45 27.355.512.39 93.73 155.31 6.25 124.51 67.00 35.278.49 15.403.67 13.48 -3.95 5.20 303.65 196.65 146.10 6.53 76.09 2.31 99.89 8.64 2.20 187.80 43.69 3.06 363.
00 50.11 25112050 25.78 64.85 27850450 18.38 52.89 23.38 Ratios (Rs crore) Mar ' 08 Mar ' 07 Mar ' 06 Mar ' 05 Mar ' 04 Per share ratios Adjusted EPS (Rs) Adjusted cash EPS (Rs) Reported EPS (Rs) Reported cash EPS (Rs) 73.87 61.64 55.01 62.00 50.20 45.38 12378000 10 10 10 10 10 10 10 10 10 10 23.00 50.80 85.11 25.07 60.98 79.00 50.89 23.90 25904276 26.89 25.57 18566967 12.31 60.57 12.2007 2006 2005 2004 2003 2002 2001 1999 1989 1988 2008 2007 2006 2005 2004 2003 2002 2001 1999 1989 Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share Equity Share 50.00 50.26 42.12 24 41.06 55.27 70.90 26.62 52.00 50.00 50.85 27.00 50.89 23890163 23.00 20.89 23.95 92.85 26850450 27.89 23890163 25.85 18.89 23890163 23.89 23890163 23.10 .21 29.05 47.00 23.29 70.
01 99.34 0.51 0.20 573.62 91.32 25.69 5.63 6.30 69.98 26.18 1.40 0.20 153.10 1.92 2.65 306.26 19.37 1.34 73.99 27.94 65.39 36.09 0.35 58.71 80.99 5.04 96.85 4.41 13.65 0.97 24.66 0.) Net operating income per share (Rs) Free reserves per share (Rs) Profitability ratios Operating margin (%) Gross profit margin (%) Net profit margin (%) Adjusted cash margin (%) Adjusted return on net worth (%) Reported return on net worth (%) Return on long term funds (%) Leverage ratios Long term debt / Equity Total debt/equity Owners fund as % of total source Fixed assets turnover ratio Liquidity ratios Current ratio Current ratio (inc.24 306.17 211.86 24.88 38.82 25 15.03 0.51 26.61 92.47 75.24 0.96 54.72 9.44 14.34 41. consumed Long term assets / total Assets Bonus component in equity capital (%) 18.01 98.86 5.06 26.44 0.47 34.46 11. st loans) Quick ratio Inventory turnover ratio Payout ratios Dividend payout ratio (net profit) Dividend payout ratio (cash profit) Earning retention ratio Cash earnings retention ratio Coverage ratios Adjusted cash flow time total debt Financial charges coverage ratio Fin.22 15.94 31.31 7.20 0.97 0. in raw mat.97 7.74 56.51 12.14 34.82 11.69 25.03 16.43 1.14 87.00 64.65 1.86 20.63 22.63 1.85 7.04 9.70 4.86 8.07 29.09 30.79 27.20 11.083.32 0.99 171.34 22.32 5.46 8.92 30.85 71.13 25.73 69.01 98.39 0.66 0.91 0.32 664.53 159.32 171.21 9.66 5.58 91.19 70.22 .17 0.23 294.37 29.12 223.65 8.58 12.66 11.00 84.83 0.63 16.39 9.11 11.61 59.00 53.73 1.12 223.28 142.06 42.65 920.80 0.06 59.60 1.29 153.ratio (post tax) Component ratios Material cost component (% earnings) Selling cost Component Exports as percent of total sales Import comp.02 0.07 0.72 10.59 91.58 10.60 234.54 57.87 18.00 76.34 23.25 8.16 7.99 0.87 246.84 66.93 1.25 19.23 0.86 0.65 246.22 5.90 24.40 14.00 97.09 91.12 717.76 0.69 0.53 91.82 15.62 0.Dividend per share Operating profit per share (Rs) Book value (excl rev res) per share (Rs) Book value (incl rev res) per share (Rs.82 14.48 8.51 5.64 0.87 33.19 0.03 0.76 14.58 0.35 73. charges cov.47 11.
26 .076 Mn in 2006-07.5% on an expanded base arising from 27.Annual Performance 2007-08 For the year ended 31st March 2008. the Company achieved a sales growth of 17.5 % to Rs 1. Net Profit of the Company increased 77.5% growth in the previous year.910 Mn compared with Rs 1.5%. Operating Margin increased by 307 basis points to 7.
skimmed milk powder and other dairy products. 23. britannia has an excellent track record of rewarding its shareholders. Earnings per Share are Rs. aided by strong consumer off take. The Company continues to maintain its leadership edge in 6 out of 7 key product segments.00 27 . 80 compared with Rs. with Tiger and Good Day growing in excess of 20%. refined palm oil. cost reduction programs and on the revenue side through improved product mix and higher realisation.00 150.00 150.00 75. This business has doubled in two years.700 Mn mark during 2007-08.45. Cake and Rusk business crossed the Rs. as well as energy costs. In an intensely competitive biscuit environment.Exceptional items for the year include Rs 130. The business continued to face inflationary pressure in key raw materials such as wheat flour. The Company¹s innovation forays have successfully addressed new benefit clusters and NutriChoice Digestive has claimed its position in the health and vitality space.00 45.00 100.00 110.00 55. Bread. 2. all ³Power Brands² of the Company recorded double digit growth.5 Mn towards amortisation of VRS costs.00 140. productivity improvements. The company has an uninterrupted record of distributing dividends for several decades. These were more than offset on the cost side through operational and procurement efficiencies.1 last year The Company witnessed all round growth in key categories with Biscuits recording sales of Rs. The dividends declared over the last 10 years are as under: Year 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Dividend Percentage 40. the only exception being Glucose.00 180.00 40.299 Mn.00 55.00 50.
Bonus History Year 1961 1966 1968 1971 1976 1984 1987 1990 2000 Bonus Particulars 1 equity share for every 2 shares held 4 equity shares for every 10 shares held 2 equity shares for every 3 shares held 2 equity shares for every 3 shares held 7 equity shares for every 10 shares held 2 equity shares for every 5 shares held 2 equity shares for every 5 shares held 1 equity share for every 2 shares held 1 equity share for every 2 shares held 28 .
95 1.12 3.in Rs.44 82.55 525.) Sales Net Profit Total Assets 188.50 -32.40 -2.89 96.14 0.90 38.36 861.10 11. (Rs.15 482.96 94.14 588.99 170.47 22.94 10.45 10. ------------------Britanni Nestle GlaxoSmith Con Dec '07 42.66 123.05 1.565.00 81.92 77.127.06 Mavens Biotech Cr.67 272.915.42 29 Mar '08 10.11 197.592.08 Balance sheet ------------------.82 GlaxoSmith Con Britannia Lotte India Heritage Foods SKM Egg Product Agro Dutch Ind Sita Shree Food 930.Comparison with Competitors Last Price Market Cap.39 646.740.99 .20 a Mar '08 Dec '08 Sources Of Funds Total Share Capital 23.16 1.35 Turnover 3.43 143.81 95.33 180. Kwality Dairy Mar '07 18.41 56.03 47.65 18. cr.30 3.
44 100.32 1.06 0.00 0.17 169.84 0.19 13.38 0.81 473.00 14.17 272.00 10.29 0.03 153.02 0.93 0.43 0. Loans & Advances Deffered Credit Current Liabilities Provisions Total CL & Provisions Net Current Assets Miscellaneous Expenses Total Assets Contingent Liabilities Book Value (Rs) 453.00 0.00 646.404.65 226.91 474.36 32.89 1.00 0.09 30 .00 861.17 34.15 61.00 109.16 162.65 677.06 0.00 646.02 0.36 7.85 753.35 0.00 17.68 60.00 0.96 0.67 6 207.89 96.53 0.86 0.96 0.00 14.99 0.00 731.83 301.42 0.99 0.94 0.54 391.78 11.18 10.39 4.91 24.00 31.51 42.00 0.00 0.08 0.00 0.40 163.85 14.00 0.09 Dec '07 Mar '08 Mar '07 554.66 493.10 0.35 GlaxoSmith Con 10.20 0.91 45.8 5 651.82 27.00 0.00 247.71 9.17 0.03 17.69 32.18 0.00 0.19 240.38 0.67 181.44 16.99 9.85 836.59 12.18 -422.23 0.16 0.55 84.7 347.00 13.00 106.35 0.10 8.00 604.00 20.00 0.00 243.92 376.17 Britanni a Nestle 42.00 646.82 104.Equity Share Capital Share Application Money Preference Share Capital Reserves Revaluation Reserves Networth Secured Loans Unsecured Loans Total Debt Total Liabilities 23.00 0.35 62.12 27.92 474.65 29.39 0.90 434.33 43. Depreciation Net Block Capital Work in Progress Investments Inventories Sundry Debtors Cash and Bank Balance Total Current Assets Loans and Advances Fixed Deposits Total CA.09 17.38 Mavens 18.259.00 0.02 582.00 3.90 0.79 0.69 0.69 4.18 212.03 523.23 1.86 11.37 5.50 378.17 254.82 861.68 297.00 755.00 34.90 23.22 0.64 34.37 49.95 2.00 0.90 316.52 0.84 194.00 0.83 Kwality Dairy Biotech Mar '08 Dec '08 Application Of Funds Gross Block Less: Accum.31 297.35 1.13 0.69 380.00 14.53 46.28 6.82 105.00 1.
8 5 22.34 1.86 0.88 31.328.09 1.14 Kwality Dairy Mar '07 149.97 122.78 159.12 0.25 21.14 19.80 143.81 156.05 31.61 30.00 149.02 0.88 -17.6 2. ------------------Britanni GlaxoSmith Con Dec '07 1.41 0. Cr.74 2.00 20.39 4.Profit & Loss account ------------------.61 0.44 154.546.22 0.6 2.77 0.58 222.in Rs.587.75 3.429.49 a Mar '08 Dec '08 Income Sales Turnover Excise Duty Net Sales Other Income Stock Adjustments Total Income Expenditure Raw Materials Power & Fuel Cost Employee Cost Other Manufacturing 1.61 0.53 314.71 141.153.86 5 20.11 4.07 6.93 4 Nestle 471.590.307.389.366.472.00 0.77 0.67 27.66 4.617.64 .94 113.46 31 2.12 29.0 4 29.18 73.76 90.89 Mavens Biotech Mar '08 20.
90 964.49 3.05 0.00 0.00 0.56 Earning Per Share (Rs) 79.63 0.00 13.00 5.71 868.64 0.00 2.63 775.29 PBDIT 252.73 1.26 238.09 1.86 245.73 6.00 81.89 0.31 69.08 162.49 Other Written Off 0.00 425.00 Book Value (Rs) 316.09 32 .7 Total Expenses 2.47 Corporate Dividend Tax 7.27 0.00 0.06 0.00 534.86 Extra-ordinary items 18.92 0.44 869.08 5.74 82.58 Per share data (annualised) Shares in issue (lakhs) 238.69 0.00 Profit Before Tax 213.00 0.88 Tax 41.47 8.00 0.36 43.93 3.22 289.64 8.37 49.68 1.20 0.54 20.93 8 Britanni GlaxoSmith Nestle a Con Mar '08 Dec '08 Dec '07 Operating Profit 232.26 736.00 0.94 0.86 293.39 38.61 PBDT 242.00 120.00 Equity Dividend 43.00 109.73 270.11 0.00 0.96 Interest 9.00 3.072.30 0.00 20.00 409.98 262.64 4.77 50.02 PBT (Post Extra-ord Items) 232.03 0.16 420.66 1.37 0.00 0.35 Depreciation 29.74 601.00 0.40 32.54 1.27 775.95 55.9 Total Value Addition 791.00 0.Expenses Selling and Admin Expenses Miscellaneous Expenses Preoperative Exp Capitalised 382.95 Kwality Dairy Mar '07 8.49 1.32 839.94 0.08 92.365.338.46 Reported Net Profit 191.09 153.20 Mavens Biotech Mar '08 0.86 245.66 0.00 182.39 0.85 0.00 147.00 0.00 0.68 Equity Dividend (%) 180.32 2 Preference Dividend 0.91 6.21 0.85 0.519.00 11.00 0.09 0.82 0.50 74.
913 3.353 1.261 2.170 1.599 3.496 5.963 4.123 3.846 1.969 2.293 1.619 790 1.461 2.061 1.007 1.457 4.586 2.545 5.488 1.251 2.144 2.910 .844 2.076 1.588 1.184 2.516 2.390 1.306 1.545 392 2.49 14. million As at / Year ended 31st March 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 Assets employed Fixed assets less Depreciation & Amortisation Investments Net current assets Miscellaneous expenditure Financed by Equity shares Reserves & Surplus Loan funds Profits and appropriations Sales Profit before Depreciation.909 7.632 1.17 1 8 5 0 1 5 4 9 1 26.319 1.139 2.723 291 and Tax Depreciation and Amortisation 159 Profit before tax and 576 Exceptional items Exceptional items Profit before tax * Taxation Profit after tax Dividends 576 180 396 102 10.TEN YEAR FINANCIAL STATISTICS : 1999 .203 2.098 1.455 2.619 1.200 3.15 18.201 434 153 33 559 201 12 482 251 (183) (252) 656 272 715 334 6 543 358 (77) 108 358 (109) 413 430 771 1.69 13.196 5.252 5.464 1.653 4.32 14.196 8.585 6.196 8.585 6.283 1.507 1.591 1.722 2.702 4.457 4.664 2.702 4.470 2.30 11.496 5.2008 Rs.308 1.338 1.027 2.032 991 1.664 2.104 2.369 1.481 1.177 186 279 279 269 259 251 239 61 239 94 239 48 239 1.808 18 65 122 257 163 592 217 747 260 43 463 (485) 309 342 161 596 256 2.762 1.17 23.963 4.430 3.545 5.473 1.188 1.51 13.164 5.180 1.072 232 2.323 705 2.156 3. Amortisation 735 962 1.645 2.301 3.001 1.70 16.218 1514 172 189 240 261 224 190 217 253 2.432 (19) 261 510 125 (41) 1.059 4.164 5.630 1.
26 63.57 99.564 692 910 1.Tax on dividend Debenture Redemption Reserve Retained earnings 11 283 14 371 16 47 14 32 18 35 - 47 - 50 - 61 - 73 1.117 1.43 34 .17 -10.48 Nestle Dec '08 12 mths 772.00 -0. ------------------Britanni a Mar '08 Net Profit Before Tax Net Cash From Operating Activities Net Cash (used in)/from Investing Activities Net Cash (used in)/from Financing Activities Net (decrease)/increase In Cash and Cash Equivalents Opening Cash & Cash Equivalents Closing Cash & Cash Equivalents 12 mths 232.10 Mavens Biotech Mar '08 12 mths 0.in Rs.22 96.407 489 1. Cr.31 53.57 -251.08 -14.23 -69.84 0.92 -375.23 -8.84 Con Dec '08 12 mths 284.13 -130.01 Mount GlaxoSmith Everest Mar '08 12 mths -6.11 -0.38 -54.84 71.12 0.056 657 Cash flows ------------------.67 23.09 130.83 723.
1.603 26. 2008.The Directors present their Annual Report together with the Statement of Accounts for the year ended March 31.679 Year ended 31st March 07 23. 600 2.510 77 1.407 61 557 430 358 109 2.576 291 253 2.487 .514 89 2. Mn Particulars Year ended 31st March 08 Gross Turnover and Other Income Profit before Finance Cost.910.323 413 1.076 500 1. Depreciation & amortisation and Exceptional items Finance Cost Profit before Depreciation and Exceptional Items Depreciation and Amortisation Exceptional items Profit before tax Less: Tax Net Profit Add: Profit brought forward Profit available for appropriation Less: Dividend on Equity Shares Less: Tax on Dividend Less: Transfer to General Reserve Balance carried forward to 35 600 600 73 1. FINANCIAL RESULTS Rs.723 97 1.184 108 1.820 1.
all Power Brands of the Company recorded double digit growth. with Tiger and Good Day growing in excess of 20%.5%. skimmed milk powder and other dairy products. These were more than offset on the cost side through operational and procurement efficiencies.Balance Sheet 2. 130. cost reduction programs and on the revenue side through improved product mix and higher realisation. 2. This business has doubled in two years. Bread. Your Companys innovation forays have successfully addressed new benefit clusters and Nutri Choice Digestive has claimed its position in the health and vitality space. as well as energy costs. COMPANY PERFORMANCE For the year ended 31st March. The business continued to face inflationary pressure in key raw materials such as wheat flour. Exceptional items for the year include Rs.910 Mn compared to Rs. Earnings per share is Rs. Net Profit of the Company increased 77. productivity improvements. Cake and Rusk business crossed the Rs. 1. 80 compared to Rs.5% on an expanded base arising from 27. Your Company continues to maintain its leadership edge in 6 out of 7 key product segments.5% to Rs. 36 . The Company witnessed all round growth in key categories with Biscuits recording sales of Rs.076 Mn in 2006-07.299 Mn. 45 last year. 2008.700 Mn mark during 2007-08. aided by strong consumer off take. your Company achieved a sales growth of 17. Operating margin increased by 307 basis points to 7. refined palm oil.5% growth in the previous year. 23. In an intensely competitive biscuit environment. the only exception being Glucose.5 Mn towards amortisation of VRS costs. 1.
503 Mnncluding dividend distribution tax of Rs. The total payout amounts to Rs. Treat and MarieGold.18 per share. 4. Good Day. The overall level of brand and infrastructure investment has increased with both national and regional players pursuing aggressive growth in an increasingly competitive market. several new dimensions have opened up as others have gained strength.Tiger. We expect this supply constrained inflationary environment to dampen industry growth in the coming year. BRAND INVESTMENT All Power Brands . In this scenario. The health and nutrition platform was buttressed by Tiger 37 . BUSINESS OUTLOOK After several years of strong GDP growth. geography and channel. the Indian economy is witnessing a slowdown.3. 50:50 and NutriChoice saw significant investment in increasing preference and purchase and secured double digit growth. in the midst of a serious food crisis globally. which has led to high inflation in all staples like wheat. From a consumer perspective. The key themes pursued by your Company are to increase brand relevance and differentiation. corn. for consideration and approval by the shareholders at theAnnual General Meeting. your Company will continue to pursue a strategy to identify and exploit profitable growth opportunities by increasing the consumer preference and consumption of Britannia brands. rice. Your Company also introduced several new and renovated offerings in Tiger. 73 Mn. Treat. improve availability. spurred by lifestyle and life stage choices. Good Day. 5. We enter the new financial year. DIVIDEND The Board of Directors is pleased to recommend a dividend of 180% onthe paid up equity share capital of the Company. MarieGold. structurally building capability and efficiencies to be cost competitive. which works out to Rs. Your Company will continue to focus on providing a range of enjoyable and healthy choices to consumers. Milk Bikis. pulses etc. leveraging the three growth vectors of brand.
5 price point. renovated MarieGold and NutriChoice Digestive. Groupe Danone divested its biscuit business worldwide (with the exception of India and Latin America) including Generale Biscuit. Further.08 was to increase responsiveness and cost effectiveness of the supply chain. This innovation combined with relevant consumer activation in key markets has seen a 30%+ growth in the Bread. the focus in 2007. To tap the more indulgent consumers. INTELLECTUAL PROPERTY RIGHTS (IPR) Last year we reported the creation of the IPR Committee of the Board to monitor and direct the Companys IPR. your Company initiated proceedings against Generale Biscuit. The Bread. The key issue addressed by the Committee was the unauthorised use by Generate Biscuit. 7. in favour of M/s Kraft Inc. while continuing to roll out individual consumption packs at the highly affordable Rs. USA and your Company continues to pursue the return of its Tiger IPR under the direction of the Committee. positioning them firmly as the healthy start to your day. MANUFACTURING OPERATIONS Following the significant addition to manufacturing capacity in the previous year. fortified Milk Bikis. your Company launched Good Day Classic Cookies. Based on legal advice. 6. of your Companys Tiger brand in five countries and registration in a large number of other countries. fortified with vitamins and minerals. Cake and Rusk business. Several technology innovation projects to secure cost and quality advantages and support introduction of differentiated products were completed. during the year. Cake and Rusk portfolio was strengthened with the successful relaunch of Breads. New technology 38 . a subsidiary of Groupe Danone. and its Associates in Singapore and Malaysia.Banana with iron-zor.
including the development of an e-learning portal. Uttarakhand factory continued to perform at high efficiency levels and reached full capacity utilisation of 5. 9. QUALITY STANDARDS Notable progress was made in quality. Capacity for Bread. 8. the drive for ongoing quality training. Cakes and Rusks was also expanded with a greenfield. These included availability of timely and granular information to improve planning and performance measurement in manufacturing. During the year your Company filed for 2 patents.based products were successfully manufactured using equipment designed internally. distribution. Information protection infrastructure and systems were significantly strengthened. PARTICULARS OF EMPLOYEES 39 . cake manufacturing facility in Assam. With a view to optimise capacities and manufacturing cost. With the objective of securing the best IT competencies. The vendor quality improvement program was intensified and the continuous grinding in of quality practices at all manufacturing units formed a key plank of building a quality culture. better infrastructure management and inflation proofing cost. your Company. state of the art. Overall conversion costs were reduced due to efficiency and productivity improvements in manufacturing.000 Tonnes/month. logistics. INFORMATION TECHNOLOGY Several initiatives were undertaken to enhance business performance. higher service levels for users. in April 2008. enabled by IT infrastructure and processes. sales and quality. The same was accepted by all the workmen and consequently manufacturing operations have been suspended. 18. offered a Voluntary Retirement Scheme (VRS) to workmen at its Chennai unit. A retail audit system was rolled out to monitor quality of products at point of sale. IT was outsourced in its entirety to Hewlett Packard (HP) with a lock in period of 3 years.
customers. employees and all other business associates for the continuous support given by them to the Company and its management. III. 1956. 2008. DIRECTORS RESPONSIBILITY Pursuant to sub-section (2AA) of Section 217 of the Companies Act. shareholders. 2008 is also given in the annexure to this report. in selection of the accounting policies. 20. 2008 and of the profit of the Company for the year ended 31st March. 1956. They have taken proper and sufficient care. your Directors. read with the Companies (Particulars of Employees) Rules. for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act. Lovelock & Lewes retire in accordance with the provisions of the Companies Act. dealers. 1956.Information in accordance with sub-section (2A) of Section 217 of the Companies Act. Top competitors of company ➢ HERITAGE 40 . based on representations from the Operating Management. suppliers. 1956 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities. IV. and forming part of the Directors Report for the year ended 31st March. AUDITORS M/s. 1975. II. ACKNOWLEDGEMENTS The Directors would like to thank all stakeholders. They have indicated their willingness to continue in office and are recommended for reappointment as the Companys Auditors for the ensuing year. 21. They have. the applicable accounting standards have been followed and there are no material departures. to the best of their knowledge and ability. In the preparation of annual accounts. namely. consulted the statutory auditors and applied these policies consistently. confirm that: I. making judgments and estimates that are reasonable and prudent. They have prepared the annual accounts on a going concern basis. so as to give a true and fair view of the state of affairs of the Company as on 31st March. 19. bankers.
36 861.11 170.12 197. During the field work and after intensive study it was found that main competitor of PRIYAGOLD biscuits is BRITANNIA as the market leader.94 10.43 22.66 38. We found many products which can be compared with Britannia Biscuit. A particular organization always comprises with other same business and according to market share we clarify the brand of product is giving more challenge to my product.50 -32.) Sales Net Profit Total Assets Turnover 1.127.30 3.14 47.95 1.740.05 1. (Rs.10 11. cr.03 123.565.14 0.65 18.81 Generally all organizations have competitors in the market.40 -2.55 525.592.39 646.15 482.41 56.92 77.35 3.82 GlaxoSmith Con Britannia Lotte India Heritage Foods SKM Egg Product Agro Dutch Ind Sita Shree Food 930.16 3.99 94. BRITANNIA PRIYAGOLD 48% 20% 41 .00 81.915.67 272.45 10.90 143.08 188.33 180.96 588.➢ PRIYAGOLD ➢ PURE FOOD ➢ PARLE-G ➢ NESTLE ➢ GALXOSMITH CON Status of the competitors Last Price Market Cap. As a conclusion I found that particularly in my provided area Britannia is really doing well and its performance is on surprising level.44 82.47 95. In my provided area the share of the market is as follows.
Britannia has been concentrating on the premium category where it recorded more than 20% growth in Goodday and Tiger brands in FY08. According to our findings we found that BRITANNIA is the market leader followed by BRITANNIA biscuits. promotional strategy etc. So this is the comparison with other biscuits brands. in volume terms. as it cut material costs directly and also saw a 380bp decline in excise duty. distribution system. it undertook a 2-12% price hike across brands by way of pack size reduction and absolute price increases in order to ward off the continued rise in prices of wheat. vegetable oil and sugar. Hence. especially at the management level. focus on modern retail and cost efficiencies ahead for Britannia. when the industry grew by around 7% (in volume terms) in FY08. These two biscuits companies the lion's share in the 2. It reported a 350bp increase in gross margins and 320bp increase in EBITDA margins for FY08. However. the company was impacted as there were supply constraints in the second half of FY08. Britannia recorded a 2. analysts seem to be glad at the emerging clarity. This was largely due to reduction in pack sizes across brands. these investments do not directly translate into earnings for Britannia. Expert views: Britannia Industries-the market leader in the biscuits industry with a 34% share in value terms-is back on the stock market analyst’s radar. Analysts at Motilal Oswal Research expect more lifestyle products. thereby protecting it against rising commodity prices. As players fight it across segments. while also introducing newer Goodday variants. Also. Recently. This is despite the biscuit industry facing intense competition and players like ITC and Priyagold taking the battle to Britannia. It will work on extending the Tiger brand with new variants like Tiger Banana. After having been through uncertain times. The fact that the company is sitting on a treasure trove in the form of its real estate assets also attracts analysts.200 crore biscuits industry. Focus on the premium segment also allows the company to be flexible on pricing.8% growth. Tiger Cream.PARLE-G PURE FOOD OTHERS 16% 8% 8% When we compared with other businesses then we follow the quality. analysts are now looking at 42 . Overall. price. Reduction in pack sizes helped here. of the competitors Britannia in this area is doing well.
and maintain margins as well.(taxes) • • Threats • Many oriented Increase in pollution Sometimes provide poor quality of product for more profit Lack of technology Unable to utilize all the resources efficiently companies are result EXPORTS OF THE COMPANY 43 . SWOT ANALYSIS Strength • Fulfill one of our Basic Requirement among Air . This. Shelter • • • Widely accepted in all Generations Easily available in various forms Provide good Instant Remedy for hunger in the form of readymade food • Preserves the non seasonal food and makes it available all Weakness • • • • Decreases nutritional value Increases the cost of food product Industry and technology requires high investment Regular usage of processed food can cause alteration in health throughout the year Opportunities • • • • • • • Increase economy of India Generate employment opportunity Good quality of Goods Provide competition to foreign companies Improve living standard Provide goods to nation at • • cheaper rate Inflow of foreign reserve and funds for the govt. as its working capital requirements have grown by three times in FY08. could have a serious dent on net earnings. Food.the ability to deliver price hikes on a consistent basis. if not stemmed. Water .
295 in Kolkata.00 to Rs.100 Crores.00. 4. Britannia Company one amongst top 200 small companies of the world. Britannia Company having high volume assets among its competitors.40. 7. Company distributed dividend percentage increases Rs. Britannia is one of the biggest brand & permanent food brand in India.180. 3. 2. In 1983 company sales cross Rs. 6. 44 . 5.• • • • • • • • • • USA GHANA SAUDI ARABIA KUWAIT BAHRAIN OATAR SEYCHELLES SINGAPORE OMAN UAE MAJOR FINDINGS 1. Britannia Company preserves the non seasonal food and makes it available all throughout the year. A large part of the company’s production of service biscuits. Britannia was established with an investment of Rs. 8.
7. SUGGESTIONS 1. 45 . Company sometimes provides poor quality of products for more profit. Company must follow the some measures to decrease in pollution. The company has to take control measures to reduction of cost. Company must decrease the cost of food product. Britannia Company must maintain good environment condition. 15. 2. 12. Company increases the cost of food product. Company must use the recent technology for increases the sales volume. 3. 10. Company maintains proper usage of raw material value. 6.9. 14. Regular usage of processed food can cause alteration in health. Company may cause to increase in pollution. Britannia company growth has been increasing year by year. The company has to concentrate on nutritional value by that they will attract more customers. 4. The company maintain issued capital & paid up capital in 1988 50 2004 changes but in the year of 2005 to 2008 company maintain some standard. 11. 13. Company some time unable to utilize all the resources efficiently. 5.
Company having high volume assets among its competitors. Finally Britannia Company is the best company when compare to other companies. 46 . Company distributed dividend and company growth have been increases year by year. Britannia company products are popular any where in India. Company preserves the non-seasonal food and makes it available all throughout the year.CONCLUSION Britannia is one of the biggest biscuit company in India. Company has well dedicated management team to efficiently lead the company always to the next level. So. Britannia to hold their leadership positions in the market for long term.
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