BRITANNIA INDUSTRIES

PRESENTED BY- AMLAN GHOSH PGDM SECTION-3

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BACKGROUND

• The owner of Britannia Industries is Mr. Nusli N Wadia.

• Registered Office: 5/1A, Hungerford Street, Kolkata - 700 017. Executive Office : Prestige Shantiniketan, The Business Precinct,Tower C, 16th & 17th Floor, Whitefield Main Road, Mahadevpura Post, Bangalore-560048.

• The latest Net Sales for the year ended on 31st March 2016 stands to be 7868.89Cr. Compared to 7100.46Cr on 31st March 2015.

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Contd..

• The market capital for Britannia Industries as on 12/9/2016 is Rs. 41,012.68Cr.

• The Net Profit for the year ended on 31st March 2016 stands to be 749.09Cr. Compared to 622.41Cr on 31st March 2015.

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Date History

1892 Established in Kolkata with an investment of Rs. 295

1918 The company was incorporated on 21st March, as a Public Limited Company.

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.

1924 A new factory Estd. in Kolkata. In the same year company became a subsidiary of Peek,Frean&Co.Ltd, U.K.

1939-45 95% of Company's production capacity was diverted to produce service biscuits on account of WWII

1954 The development of high quality and wrapped bread in India was pioneered by the co.

1955 Britannia launches the bourbon biscuits in India

1963 Britannia Cakes hit markets.

1978 Indian share holding in the company crosses 60%

1979 w.e.f 3rd October, the name for company was changed from the Britannia Biscuit Co. Ltd to Britannia Industries Ltd.

1980 The company signed a 10 year tech. collaboration with Nebico Pvt Ltd, Nepal for know how of manufacturing, packaging, marketing etc

1986 Good Day launched. Met with a good response.

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Date History

1989 The Executive office moves to Bangalore. The brand Pure Magic was launched.

1990 Launched Milk Bikis & other flavors to the Pure Magic Brand

1993 Wadia Group acquires a claim in the company and becomes an equal partner with Group Danone. Launches little hearts & 50-50.

1994 Annual Production crosses 1 lakh tonne of biscuits

1997 Launches its diary products

1999 Launches its brand of flavored milk

2001 Acknowledged No.1 food brand in India by Economic Times

2002 Enters into a JV with Fonterra Cooperative Group, New Zealand. Appoints new COO Nikhil Sen

2005 Relaunches Tiger Brand.

20011 Received Most Respected Company Award 2011 by Business World

2012 Awarded Global Performance Excellence Award(GEPA) by Asia Pacific Quality Organization

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Share holding pattern of the company

50.74

12.563.12

11.87

21.7

Percentage of shares

Bodies CorporateInstitutions(MF/FPI/FPB)Insurance CompaniesForeign Institutional InvestorsNon-Institutions

Share holding pattern of the company• Share holding pattern of promoter & promoter’s group.

Name of Share holder No. of shareholder

No. of equity shares

% of shareholding

Individuals1 Ness N. Wadia (Indian) 1 4551 0.002 Nusli N. Wadia (Foreign) 1 2250 0.00Bodies Corporate1 Associated Biscuits

International Limited2 53904500 44.93%

2 Dowbiggin Enterprises 1 1392510 1.16%3 Nacupa Enterprises 1 1392510 1.16%4 Spargo Enterprises 1 1392510 1.16%5 Valletort Enterprises 1 1392510 1.16%6 Bannatync Enterprises 1 1391555 1.16%

Total 8 60872896 50.74%

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Share holding pattern of the company• Share holding pattern of Public Shareholders

Name of Share holder No. of shareholder

No. of equity shares

% of shareholding

Institutions

1 Mutual Funds/UTI 157 7293850 6.082 Foreign Portfolio Investors 182 7429685 6.193 Foreign Portfolio Banks 35 352844 0.29Insurance Companies1 LIC 3 1750830 1.462 GIC 1 1236125 1.033 Others 8 760137 0.63Foreign Institutional Investors1 Arisaig Partners pvt ltd 1 3531876 2.942 Others 119 10715602 8.93A. Sub- Total 506 33070949 27.56%

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Share holding pattern of the company(Contd.)Name of Share holder No. of

shareholderNo. of equity shares

% of shareholding

Non-Institutions

1 Individuals (upto rs.2lahks) 79394 17898939 14.922 Individuals (more than

Rs.2lahks)17 2822616 2.35

3 NBFC registered with RBI 12 251914 0.214 Bodies corp 1519 3981799 3.325 Trust 37 325411 0.276 NRI 2237 665257 0.557 Clearing Members 226 86019 0.078 Foreign National 1 15 0.00B Sub- Total 83443 26031970 21.70

Total(A+B) 83949 59102919 49.26%

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PROFIT & LOSS A/C

Profit & loss A/c of Britannia Industries

Management of the company

• Managing Director of Britannia Industries – Varun Berry.• Qualifications –

1. Bachelor of Engineering, Mechanical, Punjab Engineering College  2. Masters of Business Administration, Universal Business School3. IMD Business School, Leadership Development Program4. University of Pennsylvania - The Wharton School, Strategic Management for

General Managers• Work Experience

1. Managing Director, Britannia Industries Limited2. CEO, PepsiCo Foods India3. Chief Executive Officer - International Dairy & Juice ,PepsiCo International4. Country Manager – Philippines PepsiCo Inc.5. COO – Vietnam PepsiCo Inc6. Market Unit General Manager, PepsiCo India7. Marketing Manager, Unilever India - Brooke Bond India Ltd

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Business Model of the company• PRODUCT PORTFOLIO

BISCUITS BREADS

DAIRY CAKES & RUSKS

Business Model of the company

• Target Customers of the company-1. The company's strategy is designed to attract new consumer

segments and widen its consumer base with its well packaged low priced offerings.

2. Different products for different age groups for example tiger and treat for kids, little hearts for youths and good-day for elders.

3. Britannia targets all age group through variety of products i.e. it uses age wise segmented marketing.

• Raw Materials reqd. by companyFlours, Palm Oil & fats, Milk, Laminations, Sugar, cream.

• Manufacturing facilitiesBritannia already has manufacturing units in Bihar, Orissa ,Tamil Nadu, Kolkata, Delhi, Chennai, Mumbai and Uttarakhand.  

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Business Model of the company• Distribution Strategy:- 1. Britannia follows the FMCG channel of distribution.

2. These distributors at select locations are responsible for handling dealers and retail showrooms.

3. Modern trade channels like super markets handled directly by the company.

4. The distribution channel follows breaking the bulk where in large amounts are transferred from factory to C&F, from C&F to distributor and then forward to retailers and dealers.

5. The distribution in urban areas is good but the rural penetration of the company is still less because of the challenges of distribution in rural area.

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Competitors

Britannia stands out to be the market leader with an advantage of 0.5% over Parle India pvt ltd. While ITC Foods has a market share of 11%. Rest 44% ofThe market is held by players like horlicks, anmol etc

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28

27.511

44

Market share

BritanniaParleITCOthers

SWOT ANALYSIS

STRENGTHS •Age based product segmentation•Has a strong brand name

WEAKNESSES •Requires high Investment in advertising•Has a single value share in premium segment

OPPORTUNITIES •Still has unexplored rural markets•Has an edge over consumer with a diversified product range

THREATS •ITC foods, Parle India, Cadbury•Change in consumer taste & preferences

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THANK YOU

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