MIRA
INFORM REPORT
|
Report Date : |
27.03.2014 |
IDENTIFICATION DETAILS
|
Name : |
NIVEA INDIA PRIVATE LIMITED |
|
|
|
|
Registered
Office : |
Hyde Park, 3rd Floor, |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
26.05.2005 |
|
|
|
|
Com. Reg. No.: |
11-153536 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 2000.000
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U24240MH2005FTC153536 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMN13137F |
|
|
|
|
PAN No.: [Permanent Account No.] |
AACCN1990P |
|
|
|
|
Legal Form : |
Private Limited Liability Company. |
|
|
|
|
Line of Business
: |
The Company Deals in Body Care, Bath Care and Other Cosmetic Products.
|
|
|
|
|
No. of Employees
: |
Information denied by the management. |
RATING & COMMENTS
|
MIRA’s Rating : |
B (34) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 2300000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a subsidiary of “Beiersdorf AG, Germany”. It is a
well-established company having moderate track record. The company has reported consecutive losseses from its operations resulting
in its accumulation during 2013. The ratings also take into consideration the debt free capital
structure and infusion of funds as capital from the part of promoters along
with the established brand image in the market space. Trade relations appear to be fair. Business is active. Payment terms
are reported as slow but correct. In view of strong financial support from its parent, the subject can
be considered for business dealings with slight caution. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
INDIAN ECONOMIC OVERVIEW
State-run banks hired nearly
300000 personnel including more than 94000 officers in the last four years,
according to the Indian Banks Association. A study by trade lobby Assocham in
September 2013 indicated that banks would need 800000 people in the next six
years. It estimated that state-run lenders alone would hire 50000 people in
2013/14.
The Competition Commission of
India plans to issue final orders within a broad time-frame of one year in
matters where it decides to carry out detailed investigations. The number of
complaints received by the watchdog which keeps tabs on unfair trade practices
in the marketplace.
The government has detected
custom tax evasion totaling around Rs 37920 mn in 14 states until December.
Maharashtra topped the list of Rs 14190 mn followed by Andhra Pradesh at Rs
8140 mn, Gujarat Rs 5240 mn, Karnataka Rs 1670 mn and Tamilnadu Rs 1610 mn.
Connaught Place in New Delhi
slipped four notches to become the world’s eighth most expensive office
locations. London’s West End is the world’s most expensive office market.
There are 4.072 mn number of
high value spenders under the scanner of the income tax department. The income
tax department has information that they have made cash deposits announcing to
Rs 1 mn or more in their savings bank accounts in the current financial year.
It plans to check potential evasion before the closing of the financial year on
March 31.
Estimated pharmaceutical sales
in the country for 2016 is $ 27 bn. It is 14.4 per cent higher than a year ago.
The life sciences and health care industry is up against challenges such as
quality management, says a recent Deloitte report.
The gross non-performing assets
of listed banks rose 35.2 % to Rs 2.43 lakh crore during the first three months
of the financial year. In absolute terms, the 40 listed banks added Rs 3386
crore to their gross NPAs in nine months with the State Bank of India leading
with the State Bank of India leading with an accretion of Rs 16610 crore.
The inflow of smuggled gold
doubled in 2013 following restrictions to curb the supply from official
channels to contain the current account deficit. China surpassed India in the
demand for gold for the first time in 2013 due to liberalization of gold
trading norms by its local governments.
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
INFORMATION DECLINED
Management Non-Cooperative (91-22-66459911)
LOCATIONS
|
Registered Office : |
Hyde Park, 3rd Floor, Saki-Vihar Road, Andheri (East),
Mumbai-400072, Maharashtra, India |
|
Tel. No.: |
91-22-66459911/ 66459900 |
|
Fax No.: |
91-22-66459999 |
|
E-Mail : |
DIRECTORS
As on 28.09.2012
|
Name : |
Mr. Rakshit Ranvijay Hargave |
|
Designation : |
Managing Director |
|
Address : |
502, Arhrodite, Raheja Acropolis II, Near Telecom Factory, Off VN Purav
Marg, Deonar, Mumbai-400088, Maharashtra, India |
|
Date of Birth/Age : |
27.08.1969 |
|
Date of Appointment : |
01.02.2011 |
|
DIN No.: |
03406793 |
|
|
|
|
Name : |
Dr. Malanie Bruno Schrewe |
|
Designation : |
Director |
|
Address : |
Appener Weg 11, Hamburg-20251, |
|
Date of Birth/Age : |
11.09.1967 |
|
Date of Appointment : |
31.10.2006 |
|
DIN No.: |
01128592 |
|
|
|
|
Name : |
Mr. Stefan Norbert De Loecker |
|
Designation : |
Director |
|
Address : |
Meadows 5, Street 8, Villa 34, Dubai, United Arab Emirates-502350 |
|
Date of Birth/Age : |
06.06.1967 |
|
Date of Appointment : |
01.08.2012 |
|
DIN No.: |
06384264 |
KEY EXECUTIVES
|
Name : |
Mr. Yogesh Rameshkumar Shroff |
|
Designation : |
Secretary |
|
Address : |
A-701, Poonam Residency- I, Holy X Road Extension, I.C. Colony,
Borivali (West), Mumbai-400103, Maharashtra, India |
|
Date of Birth/Age : |
05.03.1975 |
|
Date of Appointment : |
27.03.2006 |
|
Pan No.: |
ABAPS8946E |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 28.09.2012
|
Names of Shareholders |
|
No. of Shares |
|
Beiersdorf AG, |
|
158612850 |
|
Phanex Handelsgesellschaft mbH, Germany |
|
1602150 |
|
TOTAL
|
|
160215000 |
AS ON 08.10.2012
|
Names of Allottees |
No. of Shares |
|
Beiersdorf AG, |
39387150 |
|
Phanex Handelsgesellschaft mbH, Germany |
397850 |
|
TOTAL
|
39785000 |
AS ON 17.10.2013
|
Names of Allottees |
No. of Shares |
|
Beiersdorf AG, |
21176100 |
|
Phanex Handelsgesellschaft mbH, Germany |
213900 |
|
TOTAL
|
21390000 |
As on 28.09.2012
Equity Share Break up (Percentage of Total Equity)
|
Category |
Percentage |
|
Foreign holdings( Foreign institutional
investor(s), Foreign companie(s) Foreign financial institution(s),
Non-resident Indian(s) or Overseas Corporate bodies or Others |
100.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
The Company Deals in Body Care, Bath Care and Other Cosmetic Products.
|
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|
Products : |
|
GENERAL INFORMATION
|
No. of Employees : |
Information denied by the management. |
|
|
|
|
Bankers : |
Not Available |
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|
|
|
Banking
Relations : |
--- |
|
|
|
|
Auditors : |
|
|
Name : |
S V Ghatalia and Associates Chartered Accountants |
|
Address : |
Jalan Mill Compund, 95, Ganpatrao Kadam Marg, Lower Parel,
Mumbai-400013, Maharashtra, India |
|
PAN No.: |
AACFS6921Q |
|
|
|
|
Holding company : |
Beiersdorf AG (Germany) |
|
|
|
|
Fellow Subsidiary
company : |
· Beiersdorf (Thailand) Company Limited · Beiersdorf Shared Services G MB H · Florena Cosmetic GMBH · BDF Mexico, S.A. de C.V. · Beiersdorf Customer Supply GMBH · Beiersdorf Manufacturing Hamburg GmbH · Beiersdorf Singapore Private Limited · Beiersdorf Manufacturing Waldheim GmbH · Phanex Handelsgellschaft MBH (Germany) · BDF Middle East ·
BDF Indonesia |
CAPITAL STRUCTURE
As on 30.09.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
250000000 |
Equity Shares |
Rs.10/- each |
Rs. 2500.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
246390000 |
Equity Shares |
Rs.10/- each |
Rs. 2463.900 Millions |
|
|
|
|
|
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
225000000 |
Equity Shares |
Rs.10/- each |
Rs. 2250.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
200000000 |
Equity Shares |
Rs.10/- each |
Rs. 2000.000
Millions |
|
|
|
|
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
2000.000 |
1602.200 |
1602.150 |
|
(b) Reserves & Surplus |
(1658.700) |
(1410.800) |
(1228.050) |
|
(c) Money
received against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
250.000 |
0.000 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
591.300 |
191.400 |
374.100 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term provisions |
4.300 |
2.600 |
3.000 |
|
Total Non-current Liabilities (3) |
4.300 |
2.600 |
3.000 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Trade payables |
850.600 |
515.600 |
152.300 |
|
(c) Other current
liabilities |
47.900 |
22.400 |
27.500 |
|
(d) Short-term provisions |
40.400 |
44.500 |
31.400 |
|
Total Current Liabilities (4) |
938.900 |
582.500 |
211.200 |
|
|
|
|
|
|
TOTAL |
1534.500 |
776.500 |
588.300 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
14.300 |
18.700 |
16.600 |
|
(ii) Intangible Assets |
1.500 |
3.600 |
7.800 |
|
(iii) Capital
work-in-progress |
0.000 |
0.000 |
0.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
0.000 |
0.000 |
0.000 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
11.600 |
11.600 |
11.600 |
|
(e) Other Non-current assets |
0.400 |
0.300 |
0.200 |
|
Total Non-Current Assets |
27.800 |
34.200 |
36.200 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
1113.200 |
510.700 |
170.600 |
|
(c) Trade receivables |
221.600 |
121.100 |
76.000 |
|
(d) Cash and cash
equivalents |
101.900 |
81.000 |
267.200 |
|
(e) Short-term loans and
advances |
70.000 |
29.500 |
38.300 |
|
(f) Other current assets |
0.000 |
0.000 |
0.000 |
|
Total Current Assets |
1506.700 |
742.300 |
552.100 |
|
|
|
|
|
|
TOTAL |
1534.500 |
776.500 |
588.300 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
|
2879.465 |
|
1054.289 |
|
|
|
Other Income |
|
|
|
|
|
|
TOTAL |
2879.465 |
1591.347 |
1054.289 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Material Cost |
1658.729 |
826.054 |
561.583 |
|
|
|
Employee Costs |
206.209 |
132.209 |
106.961 |
|
|
|
Other Operating Cost |
1262.424 |
815.744 |
387.395 |
|
|
|
TOTAL |
3127.362 |
1774.007 |
1055.939 |
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX |
(247.897) |
(182.660) |
(1.650) |
|
|
|
|
|
|
|
|
|
Less |
TAX |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX |
(247.897) |
(182.660) |
(1.650) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(1410.801) |
(1228.141) |
(1226.491) |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
(1658.698) |
(1410.801) |
(1228.141) |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
|
|
765.200 |
280.600 |
|
|
|
Capital Goods |
NA |
1.200 |
0.000 |
|
|
|
Others |
|
0.000 |
0.200 |
|
|
TOTAL IMPORTS |
NA |
766.400 |
280.800 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
(1.24) |
(1.14) |
(0.01) |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
(8.61) |
(11.48) |
(0.16) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(16.15) |
(23.52) |
(0.28) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.42) |
(0.95) |
0.00 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.00 |
0.00 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.60 |
1.27 |
2.61 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Share Capital |
1602.150 |
1602.200 |
2000.000 |
|
Reserves & Surplus |
(1228.050) |
(1410.800) |
(1658.700) |
|
Share Application money pending allotment |
0.000 |
0.000 |
250.000 |
|
Net
worth |
374.100 |
191.400 |
591.300 |
|
|
|
|
|
|
long-term borrowings |
0.000 |
0.000 |
0.000 |
|
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
Total
borrowings |
0.000 |
0.000 |
0.000 |
|
Debt/Equity
ratio |
0.000 |
0.000 |
0.000 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Total Income |
1054.289 |
1591.347 |
2879.465 |
|
|
|
50.940 |
80.945 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Total Income |
1054.289 |
1591.347 |
2879.465 |
|
Profit |
(1.650) |
(182.660) |
(247.897) |
|
|
(0.16%) |
(11.48%) |
(8.61%) |
LOCAL AGENCY FURTHER INFORMATION
CURRENT MATURITIES OF
LONG-TERM DEBT: NOT AVAILABLE
|
Sr. No. |
Check List by Info
Agents |
Available in Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
No |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact person |
No |
|
11] |
Turnover of firm for last three years |
Yes |
|
12] |
Profitability for last three years |
Yes |
|
13] |
Reasons for variation <> 20% |
---------------------- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
---------------------- |
|
22] |
Litigations that the firm / promoter involved in |
---------------------- |
|
23] |
Banking Details |
No |
|
24] |
Banking facility details |
No |
|
25] |
Conduct of the banking account |
---------------------- |
|
26] |
Buyer visit details |
---------------------- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
No |
CORPORATE INFORMATION
Subject is registered under the Companies Act, 1956 with effect from May 26, 2005. The commercial operations started from January 1, 2006. It is a wholly owned subsidiary of Beiersdorf AG, Germany. The Company deals in body care, bath care and other cosmetic products.
FUTURE PROSPECTS
The Company is focused on long term and sustainable growth. This stability is founded on the strength of its brand, increasing the portfolio of products, expanding and strengthening its distribution and sales network and by building and bonding a relationship of trust and confidence with the consumers and business partners.
INDEX OF CHARGES: NO
CHARGES EXIST FOR THE COMPANY
FIXED ASSETS
·
Leasehold Improvements
·
Plant and Machinery
·
Computers
·
Office Equipments
·
Electrical Installations
·
Furniture and Fixtures
·
Vehicles
AS PER WEBSITE
PRESS RELEASES
NIVEA TO RAISE
CONTRACT MANUFACTURING IN INDIA
Apr 25, 2012
German skincare major Nivea plans to increase its contract manufacturing to meet rising demand for its products in India, a top company official said today.
"We have third-party manufacturers exclusively for us for soaps and talcum powder. We are also evaluating other portfolio to be manufactured locally. We are looking at deodorants and emulsions. we are looking at the whole gamut.
"We are close to finalising something and that should happen sometime this year," Nivea India Managing Director Rakshit Hargave told PTI here
.
The company has a tie-up with FMCG firm VVF, the maker of soaps like Jo and Doy Care, to manufacture soap exclusively for it.
When asked about tapping the small towns, he said: "At the moment we are focusing on routine consumer packs for the average urban customer. But we will be introducing smaller packs of Nivea Creme and Nivea Softs which move fairly fast in smaller markets. We plan to launch them in a bigger way this winter."
The company today launched its sunscreen Nivea Sun that is priced from Rs 199 to Rs 399. The product will be initially available in eight major cities and will be rolled out in 35 cities in the next six months.
"We will also come out with newer variants and products. Right now the sunscreen is for all. In future, we will come up with products dedicated to special skin types," Hargave said.
FMCG COMPANIES RUSH
TO FILL GAPS IN MARKET
Mar 1, 2014
MUMBAI: Consumer product brands are trying to get the most of consumers' time by creating more occasions of usage and new categories within the same proposition to increase sales. Two decades ago, a consumer would just about use a single brand of toothpaste, soap (shampoos too have had a tough time converting non-users as soap doubled up as shampoo), hair oil and talc. Today, there are personal products looking at growth opportunities in the "white" spaces, or empty spaces, within existing categories where brands have still not ventured. So, while moisturizers were brought in — followed by sunscreens — ostensibly to tell consumers they need to take extra care of their skin, separate categories of face wash, anti-ageing and skin repair cream were created.
Post-shampoo conditioners, and now specialized hair oils, have got introduced to fill in certain gaps that marketers have only recently spotted. But guess what? There are still several crevices within existing categories that companies continue to exploit globally and in India to create fresh new categories. One such emerging category that got introduced last year in Europe is an in-shower skin conditioner, essentially a post-bath moisturizer by Beiersdorf which, it believes, would co-exist with moisturizers.
Even as this new category is being tested in Indian waters, consumers are getting used to stocking up on multiple brands of toothpastes (one normal, one for whitening and another for sensitivity), shampoos (one normal, another for special occasions), and even fairness creams (one for use at bedtime and another for daytime use).
Product usage based on functionality is fast catching up and marketers are going all out to leverage the higher propensity of the young Indian consumer to spend. "We don't think it is too early to launch a globally new category like an in-shower conditioner in India. There are a lot of consumers who would want to use it. But it may not immediately become a mass product," said Rakshit Hargave, MD, Nivea India. Point of sale merchandizing and education would be specific to ensure consumers understand the difference between a regular moisturizer and an in-shower conditioner, Hargave added.
Hindustan Unilever (HUL), on the other hand, is investing in the development of several new emerging segments such as face wash, fabric conditioner and hand and body lotions. It has parent Unilever's global R&D capabilities and product portfolio to leverage and address the emerging needs of consumers. "Consumers are increasingly looking for brand offerings to fulfill their specialized needs. It is imperative for brands to continuously innovate and refresh their offerings to ensure that they stay modern and relevant to consumer needs and aspirations," said an HUL spokesperson.
The company had earlier launched Tresemme shampoo to meet a different functional requirement of the consumer, even though it already had a premium offering in the Dove shampoo in its portfolio. "In a household, there will be a functional face wash for specific usage and a not-so-functional face wash which a consumer would purchase for herself," said Hargave, giving an example.
Another case in point is the teeth whitening segment, which Colgate introduced last year. "As the consumer's focus shifts from basic products to new-age, specialized solutions — such as teeth whitening — there is a constant need to evolve and innovate. Consumers are spending more on looking good," said a Colgate spokesperson.
NIVEA ADDS NIVEA SUN
TO ITS BRAND PORTFOLIO IN INDIA
Apr 26, 2012
MUMBAI: Nivea added Nivea Sun to its portfolio of products in India. Launched yesterday in Mumbai, on a sunny rooftop - the event made sure people attending didn't have any doubts about the use of the product. Available in variations of SPF 30 and 50, Nivea Sun will be available in four SKUs starting from Rs 199 onwards.
According to Rakshit Hargave, MD, Nivea, "Nivea Sun is the largest selling sunscreen in the world, both according to Euromonitor and Nielsen." Launched in 1933, Nivea chose summer of 2012 to unveil the brand in India.
The brand will be available across 15 metros and will be mostly available through modern trade. Priced at a premium of 10-15% Nivea Sun is being positioned as a lifestyle product.
The company has plans to use digital media, print and point-of-sale to promote the brand. Mandira Bedi, Lara Dutta, Sheetal Malhar and Ranvijay launched the brand.
Mr. Hargave also said more variants of Nivea Sun will be available in India by August 2012.
NIVEA, FOGG PIP HUL
IN LIP BALMS, DEOS
Feb 13, 2014
MUMBAI: Is leading FMCG company Hindustan Unilever(HUL) losing traction in the upper urban markets in certain emerging categories, even as it claws its way deeper into rural India to expand its overall reach? HUL claims it is a market leader in the lip care market on an all-India basis as well as in urban market, but if one were to look at the top 400 towns, Nivea has displaced HUL's Vaseline from its No. 1 slot.
According to Nielsen data, in India's 400-plus towns, which includes both general trade and modern trade, Nivea had a share of nearly 19%, followed by Vaseline at 18% and Maybelline at around 13% in the year 2013. In 2012, in these same 400-plus towns, Vaseline was the leading brand with a share of 25%, while Nivea was at the second rung with a 17% market share.
HUL said, as a policy, it does not comment on market shares. "Vaseline continues to be the market leader in the lip care segment both in urban India and all India. Vaseline is driving the growth of this segment through exciting innovations and a market development approach," said an HUL company spokesperson.
Besides, HUL's Axe deodorant also recently lost its numero uno position to Fogg, a relatively new brand in the market. Like lip balms, deos too form an emerging market with a largely urban presence.
On the other hand, in established categories such as body lotion, Vaseline is way ahead of Nivea in market share in 400-plus towns.
Fresh competition, new product variants and a consumer behavioural change appears to have switched the sweepstakes in lip care, an emerging but fast growing category, said industry experts. Consumers are seen to be adopting a new lifestyle of using branded lip balms as opposed to cold creams which hitherto doubled up as lip care products.
Though it covers a small surface area as compared to a body lotion, lip care has become a nearly Rs 200-crore market in India and is said to be growing at a fast pace. The growth in the market has come with marketers attracting younger consumers.
"Until recently, lip balms were seen more as boring care products. All that changed with the launch of Maybelline New York's 'Baby Lips' in September 2012 - we targeted the impulse pick-up of a lip balm by making it a fun product with tints and colours. It is no longer the petroleum jelly that your mom used, it is about a young girl taking baby steps into the world of makeup," said Leena Shoor, general manager, Maybelline New York, India.
Baby Lips became the third largest brand in the category within a year of its launch. Prior to Baby Lips, Himalaya was the third largest brand in lip care. Although the gap between Himalaya and Nivea was not much (12% and 17%, respectively), Nivea has grown faster to further widen this gap. "For the FMCG industry, while the slowdown was evident in most categories last year, we continued to grow at a healthy pace. We have had market share gains as well and continue to expand distribution," Rakshit Hargave, MD, Nivea India, said, without commenting specifically on the lip care market.
While HUL has the advantage of a large penetration in large and small towns and rural areas, something it has built over the last few decades, new players like Nivea and L'Oreal are still in expansion mode and it may take a while before they reach a critical mass. Large urban towns, however, is where the action is playing out with the presence of all rival brands.
IMPORT-DEPENDENT
NIVEA SAYS NO TO PRICE HIKE
MUMBAI, JULY
2:
Despite importing half of its fast moving consumer goods (FMCG) portfolio, Nivea India has decided to hold on to prices and not pass on the higher costs to consumers due to foreign exchange fluctuations .
Rakshit Hargave, Managing Director, Nivea India said, “More than half of our portfolio is imported yet we have not been increasing our prices for the past year. We have defined our pricing strategy in such a way that we can absorb costs by increasing our volumes and revenues and are growing in excess of 20 per cent today.”
MARGINS IMPACTED
While margins have been impacted with escalating costs, the skincare major believes its volumes will take care of the blips faced by the economy, with high input cost, inflation and a weak rupee impacting the business.
As Hargave says, “There may be a drop in the margin percentage, yet absolute margins are still intact as there is value and volume growth in the business. With scale, we are building efficiencies which has helped us in growing ahead of the skincare category which is between 10 per cent and 15 per cent.”
Skincare is considered as a discretionary category, where consumer spending has been impacted. Nivea has made sure it has new products to lure buying along with enhanced distribution to reach out to consumers.
“Spending on skincare is discretionary and there is data to support this. But we believe in systematically beating this with new products and enhanced distribution. Our shares continue to be healthy in categories such as deos, body lotions and lip care,” adds Hargave.
Engaging in high-growth categories such as the Rs 18000.000 Millions deo category, Nivea recently launched five new deo variants for men and women. It also re-launched its Nivea for men range recently and has roped in Arjun Rampal to endorse it.
“While there is innovation and growth in the new products, there is organic growth through some of the older categories such as the smooth whitening lotion, where we have also created variants. Our advertising spends have also gone up to support these new products,” he added.
Despite being a premium brand, Nivea has been trying to go beyond urban markets but has been facing distribution challenges. Today, it is better equipped with its distribution network. “Our presence in tier 2 cities is now better and we have direct coverage in 100 top towns and would be adding another 20 towns this year. The wholesale distribution coverage would be at least five times the size of our direct coverage,” said Hargave.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No available
information exist that suggest that subject or any of its principals have been
formally charged or convicted by a competent governmental authority for any
financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on Corporate
Governance to identify management and governance. These factors often have been
predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.17 |
|
|
1 |
Rs.99.39 |
|
Euro |
1 |
Rs.83.09 |
INFORMATION DETAILS
|
Information Gathered
by : |
PDT |
|
|
|
|
Report Prepared
by : |
NTH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
4 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
34 |
This score serves as a reference to assess SC’s credit risk
and to set the amount of credit to be extended. It is calculated from a
composite of weighted scores obtained from each of the major sections of this
report. The assessed factors and their relative weights (as indicated through
%) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment record
(10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.