Khurram Razi Khan

What has been really driving the reduced M&A activity in FMCG? It is not about the balance-sheet We often hear M&A bankers complaining about the lack of willingness of 'FMCG Strategics' to invest in M&A, arguing high debt level It is not true for most FMCG companies & especially not for the most acquisitive ones (although it also largely depends on the subcategory they play in, Alc. Beverages players are the exception here) It is not about FMCG companies balance-sheet but about the availability of quality assets (ie. with the potential to deliver a high ROCE) being fairly priced. More about the above & especially what we mean by quality assets in our last publication: To read our full perspective: FMCG CEOs: M&A Q1 2024 In Review - A New Bottom & Four Reinforcing Trends 𝗟𝗶𝗻𝗸 𝘁𝗼 𝘁𝗵𝗲 𝗳𝘂𝗹𝗹 𝗽𝘂𝗯𝗹𝗶𝗰𝗮𝘁𝗶𝗼𝗻: https://lnkd.in/efD5RNWX 𝗧𝗼 𝗴𝗲𝘁 𝘁𝗵𝗲 𝗰𝗼𝗿𝗿𝗲𝘀𝗽𝗼𝗻𝗱𝗶𝗻𝗴 𝗱𝗲𝗰𝗸, 𝗽𝗹 𝗹𝗲𝗮𝘃𝗲 𝘆𝗼𝘂𝗿 𝗻𝗮𝗺𝗲 𝗶𝗻 𝗰𝗼𝗺𝗺𝗲𝗻𝘁 𝗧𝗼 𝗴𝗲𝘁 𝗮𝗹𝗹 𝗼𝘂𝗿 𝗶𝗻𝘀𝗶𝗴𝗵𝘁𝘀, 𝗳𝗼𝗹𝗹𝗼𝘄 𝘂𝘀/ 𝘀𝘂𝗯𝘀𝗰𝗿𝗶𝗯𝗲 𝘁𝗼 𝗼𝘂𝗿 𝗙𝗠𝗖𝗚 𝗖𝗘𝗢𝘀 𝗜𝗻𝘀𝗶𝗴𝗵𝘁𝘀 𝗻𝗲𝘄𝘀𝗹𝗲𝘁𝘁𝗲𝗿: https://lnkd.in/ea4gy65y #cpg #fmcg #mergersandacquisitions #strategy Frederic Fernandez & Associates

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Avoid a cold bath Discover new ways to grow   🚀 With Q1 Earnings calls starting this week, indications suggest that many of leading fmcg companies are likely to miss their top line growth targets, it’s evident that the landscape is more competitive and dynamic than ever before as inflationary pricing is annualise, volume remains stagnant, and margins are often below pre-Covid levels. On top, management teams are exhausted having managed through Covid, Inflation and fallout from geo-political tension over the last 4 years, whilst marketing teams and budgets have been cut back.  Is it time for a fresh pair of strategic marketing eyes to find new ways to grow? 1/ Re-visit your MUST WIN BATTLES? - What are the country/consumer/segment/price tier opportunities that represent the highest growth opportunities today/future. 2/ Re-define and re-prioritise the CRITICAL INTERVENTIONS across the 4Ps? - Avoid the trap of defaulting to Product Innovation and think holistically against the problem to be solved.   3/ Re-think ways to stimulate CREATIVITY is the biggest driver of ROI? - Do you need new ways to find ideas that will attract more consumers, more often and build their basket value - with less money... 4/ Reinvigorate YOUR TEAM and equip them for success Inspire and support your team and put in place a disciplined process that enables you to execute flawlessly. World class marketing isn't an option, it's the cornerstone and pathway to sustainable growth and avoid taking a cold dip! If you'd like a fresh pair of eyes and support to power up your marketing and discover new ways to grow - drop me a line for a coffee & no obligations chat! A cold dip in the sea is optional and only available on Fridays !! #BusinessGrowth #ConsumerGoods #beauty #EarningsCall #Innovation #Strategy #Leadership #StrategicMarketing #BusinessGrowth #ConsumerInsights #ceo #cmo 📈 #marketing #advisory #coaching Photograph: West Wittering, sea swim 7 degrees - January 2024

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"🚀 Exciting times ahead in the intersection of FMCG and pharmaceuticals! 🌟 As consumer preferences evolve and health-consciousness rises, the convergence of Fast Moving Consumer Goods (FMCG) with pharmaceuticals presents a wealth of opportunities and challenges. In this dynamic landscape, we're witnessing FMCG companies exploring health and wellness segments, leveraging their brand equity and distribution networks to offer pharmaceutical-grade products. 💊 Similarly, pharmaceutical companies are diversifying into consumer goods, catering to the growing demand for holistic wellness solutions. From vitamins and supplements to skincare infused with pharmaceutical-grade ingredients, the boundaries are blurring between traditional FMCG and pharmaceutical sectors. 🎨 This convergence not only opens new revenue streams but also enhances consumer accessibility to essential healthcare products. However, navigating this space requires a deep understanding of regulatory frameworks, consumer behavior, and technological advancements. 🔍 Companies need to balance innovation with compliance, ensuring product safety and efficacy while delivering on consumer expectations. At RESONACLE, we're at the forefront of this transformative journey, combining our expertise in developing innovative solutions that empower new talent with desired carrier to lead healthier lives. 💪 🌐 #FMCG #Pharmaceuticals #HealthcareInnovation #WellnessRevolution"

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Divesture value continues to exceed acquisition value for the world's largest FMCG companies. It was true in 2023. It was also true in Q1 2024 And it will likely continue to be true for the next quarters considering recent announcements (Unilever Ice Cream) & on-going rumours (Kraft Heinz & Oscar Mayer...) Few reasons for this: 1) Pressure is on to get back to mid-term guidance on top-line which is often hard in a post price increase context (>50% of the top 50 listed FMCG companies missed their topline guidance in Q4 2023) while recovering pre-COVID profitability (at end 2023 >70% failed to do so) 2) Divesture is often the fastest/ most effective way to improve both organic growth & profitability footprint especially when companies have a large business with much lower growth, and much lower profitability & that comes with limited di-synergies in case of carve-out 3) If the leverage level for the top 50 FMCG companies is on average at an acceptable level (x2.7 at end 2023 vs. the generally accepted x3 level), some FMCG companies exceeds the threshold (AB InBev Kraft Heinz Nestlé Mondelēz International General Mills Danone The HEINEKEN Company Asahi Beverages Coca-Cola Europacific Partners...) 4) At a time top-line growth is becoming tougher, shares buy-backs are increasingly leveraged to drive EPS growth. So the proceeds of divesture can really help there especially for the companies with the most constrained B/S 5) Finally, high ROI M&A remain scarce because of the rarity of quality (mid-size, same categories than acquirer's, strong growth track record, complementary to acquirer's portfolio, scalable growth model that could benefit from GTM synergies) & well-priced assets PE funds & public markets (thru IPOs) will be most often the exit scenarii for those divesture. If large FMCG carve-out assets can sometimes deliver better results under (partial) private ownership (cf. Froneri), not all end up being a success. So caution prevails Exciting times ahead on divesture and M&A front in the FMCG industry in 2024 To read our full perspective: FMCG CEOs: M&A Q1 2024 In Review - A New Bottom & Four Reinforcing Trends 𝗟𝗶𝗻𝗸 𝘁𝗼 𝘁𝗵𝗲 𝗳𝘂𝗹𝗹 𝗽𝘂𝗯𝗹𝗶𝗰𝗮𝘁𝗶𝗼𝗻: https://lnkd.in/efD5RNWX 𝗧𝗼 𝗴𝗲𝘁 𝘁𝗵𝗲 𝗰𝗼𝗿𝗿𝗲𝘀𝗽𝗼𝗻𝗱𝗶𝗻𝗴 𝗱𝗲𝗰𝗸, 𝗽𝗹 𝗹𝗲𝗮𝘃𝗲 𝘆𝗼𝘂𝗿 𝗻𝗮𝗺𝗲 𝗶𝗻 𝗰𝗼𝗺𝗺𝗲𝗻𝘁 𝗧𝗼 𝗴𝗲𝘁 𝗮𝗹𝗹 𝗼𝘂𝗿 𝗶𝗻𝘀𝗶𝗴𝗵𝘁𝘀, 𝗳𝗼𝗹𝗹𝗼𝘄 𝘂𝘀/ 𝘀𝘂𝗯𝘀𝗰𝗿𝗶𝗯𝗲 𝘁𝗼 𝗼𝘂𝗿 𝗙𝗠𝗖𝗚 𝗖𝗘𝗢𝘀 𝗜𝗻𝘀𝗶𝗴𝗵𝘁𝘀 𝗻𝗲𝘄𝘀𝗹𝗲𝘁𝘁𝗲𝗿: https://lnkd.in/ea4gy65y #cpg #fmcg Nestlé AB InBev Procter & Gamble PepsiCo The Coca-Cola Company Unilever Mondelēz International Kraft Heinz L'Oréal Church & Dwight Co., Inc. Kellogg Company General Mills Blue Buffalo cerave Monster Energy Native RXBAR Danone The HEINEKEN Company Pernod Ricard Henkel Coty The Estée Lauder Companies Inc. Beiersdorf Bel William Grant & Sons Campari Group Diageo Mars

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British grocery price #inflation has also fallen for the fifteenth month in a row to 2.4%, the lowest level since October 2021 and 15% points lower than this time last year, whilst sales rose by 2.9% over the four weeks to 12 May. Grocery price inflation is gradually returning to what we would consider more normal levels. It’s now sitting only 0.8 percentage points higher than the 10-year average of 1.6% between 2012 and 2021, which is just before prices began to climb. Typically, an inflation rate of around 3% is when we start to see marked changes in consumers’ behaviour, with shoppers trading down to cheaper items when the rate goes above this line and vice versa when the rate drops. However, after nearly two and a half years of rapidly rising prices, it could take a bit longer for shoppers to unwind the habits they have learnt to help them manage the cost of living crisis. For the full article and the latest #GroceryMarketShare 👉 https://lnkd.in/eDTdVxz3 Worldpanel by Kantar #consumerbehavior

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Are we witnessing (finally) the end of 'infinite' pricing-driven growth in #FMCG industry? PepsiCo Q3 results seem to confirm it with its 9th consecutive quarter of volume decline Yes, it is still a modest ~2% drop, but in the context of slowing price gains (+3%), PEP is getting closer to a decline on a top-line level missing its top-line guidance & is now reducing its growth outlook for a full year Let's add some historical perspective to those quarterly results: - Between 2019 & H1 2024, PepsiCo increased prices by 47%. The highest level of pricing for a globally listed FMCG company (cf. our H1 results publication - https://lnkd.in/ebn7EAwy) - During this period, its vol. decreased only by 1% over the total period. Historic vol. growth in its categories averages 2% CAGR pre-COVID. So this is still a ~-0.2 price elasticity, pretty best in class & in line with historic perf. for Impulse F&B (but, -4% if we are looking only at the L2Y). - Overall PepsiCo performed (top-/bottom-line) in the top decile of the top 50 listed FMCG companies since 2019 Yes PepsiCo has work to do (PPA, costs, bolt-on M&A) but objectively most would envy its track records Full details below: Q3 FY2024 •  NR: $23.3Bn •  OSG: +1.3%; Volume: -4%, Price/ mix: +5.3% •  GM%: 34.8%; +94 bps vs Q3 FY23 •  Adj. OP%: 17.9%; +73 bps vs Q3 FY23 •  Beats analysts’ consensus for EPS, misses revenue Results by Divisions •  Frito-Lay North America: $ 5,888m NR; OSG: -1%; Vol: -1.5%, Price/ mix: +0.5% •  Quaker Foods North America: $648m NR; OSG: -13%; Vol: -13%, Price/ mix: -% •  PepsiCo Beverages North America: $7,175m NR; OSG: +1%; Vol: -3%, Price/ mix: +4% •  Latin America: $2,915m NR; OSG: +3%; Vol: -3%, Price/ mix: +6% •  Europe: $3,946m NR; OSG: +6%; Vol: +1%, Price/ mix: +5% •  Africa, Middle East and South Asia: $1,552m NR; OSG: +6%; Vol: -5%, Price/ mix: +11% •  Asia Pacific, Australia and New Zealand and China Region: $1,195m NR; OSG: -1%; Vol: -2%, Price/ mix: +1% 𝗧𝗼 𝗴𝗲𝘁 𝗮𝗹𝗹 𝗼𝘂𝗿 𝗶𝗻𝘀𝗶𝗴𝗵𝘁𝘀, 𝗳𝗼𝗹𝗹𝗼𝘄 𝘂𝘀 & 𝘀𝘂𝗯𝘀𝗰𝗿𝗶𝗯𝗲 𝘁𝗼 𝗼𝘂𝗿 𝗙𝗠𝗖𝗚 𝗖𝗘𝗢 𝗜𝗻𝘀𝗶𝗴𝗵𝘁𝘀 𝗻𝗲𝘄𝘀𝗹𝗲𝘁𝘁𝗲𝗿: https://lnkd.in/ea4gy65y 𝗔𝗯𝗼𝘂𝘁 𝘂𝘀: FF&A solves the most complex strategic problems of the world's largest FMCG companies across Corporate Strategy, Organic Growth, Digital RTM (eCommerce, DTC, EB2B), and M&A. 14 out of the world's 20 largest FMCG companies are repeat Clients (https://lnkd.in/dc6jY4Qp) #strategy #cpg

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If you are looking to understand true shopper motivations at the shelf in any FMCG category, best practice is to analyze their actions & motivations via *actual* behavior, not via classic, rational decision tree approaches from sales data. All across #FMCG shoppers make decisions at the shelf in just seconds, yet behind those choices lies a complex decision hierarchy that our Decision Tree analysis reveals with precision. 🔎 And that’s just the beginning—discover more about shopper decision types, loyalty analysis, basket overlap, and more by clicking here 👉 https://bit.ly/4en80FJ to see some great analysis on the topic by my EyeSee colleague Morana! #DecisionTree #ShopperInsights #Planogram

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In Episode 2 of Achieving Alpha, we speak with Umesh Shah, a distinguished leader with over 30 years of transformative experience in the FMCG sector and former CEO of Unilever International. The discussion provides rich insights into the lean FMCG model, offering a detailed analysis of the investment landscape and opportunities for private equity investors. https://okt.to/8jf0Wn Utsav Garg, Shikha Johri, Manas Tamotia, Sue Ying T.  #AMon #FMCG #privatequity #investment #podcasts

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🌟 Proud to unveil Episode 3 of our Bridge2Elevate series: “Bigger, Better, Bolder Brands” – where our marketing maestros, Qasim and Abeer, inspired us with their insights on how Marketers Unlock Commercial Opportunities by Loving our Consumers, Everyday!✨ In this exciting session, we dove deep into: 🎯 The BAT Marketing Blueprint – setting the stage for strategic growth. 🎨 Strategic Campaign Creation – a journey From Idea to Impact. 🔍 GBS Brand Delivery in the Spotlight – showcasing excellence in execution. The energy was incredible as we explored how collaboration and consumer-centricity pave the way for stronger, bolder brands. These learnings are a true testament to how we at BAT continue to challenge the norm and elevate every touchpoint of the consumer journey. A big thank you to everyone involved, especially the APMEA South team, for driving this transformative initiative. Let’s continue to push boundaries and shape the future of our brands! Ahmed Nizami Salman Ahmed Khan Qasim Ali Sahifa Ali Younus #APMEASouth #Bridge2Elevate #BAT #MarketingBlueprint #StrategicCampaigns #BrandExcellence #CrossFunctionalCollaboration #LeadershipDevelopment #ConsumerCentricity #HighPerformingCulture #GrowthMindset

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People Strategy: In FMCG Context People strategy in the Fast-Moving Consumer Goods (FMCG) industry is crucial due to the sector's highly competitive and dynamic nature. Here's a breakdown of key elements involved in a robust people strategy for FMCG companies: 1. Talent Acquisition and Retention - Employer Branding: Positioning the company as an employer of choice to attract top talent. - Diverse Recruitment Channels: Utilizing various platforms and partnerships to find the best candidates. - Retention Programs: Implementing initiatives like career development, mentorship programs, and employee engagement activities to retain talent. 2. Training and Development - Onboarding Programs: Structured onboarding to acclimate new hires quickly. - Continuous Learning: Providing ongoing training opportunities to upskill employees and keep them updated with industry trends. - Leadership Development: Identifying and nurturing potential leaders through specialized programs. 3. Performance Management - Clear KPIs: Establishing clear performance metrics aligned with business goals. - Regular Feedback: Implementing regular performance reviews and feedback mechanisms. - Incentive Systems: Offering performance-based incentives to motivate employees. 4. Employee Engagement and Culture - Employee Well-being: Prioritizing mental and physical health through wellness programs. - Inclusive Culture: Fostering a diverse and inclusive workplace where all employees feel valued. - Recognition Programs: Recognizing and rewarding employee contributions and achievements. 5. Workforce Planning and Flexibility - Strategic Workforce Planning: Anticipating future talent needs and planning accordingly. - Agile Workforce: Encouraging flexibility in roles and responsibilities to quickly adapt to market changes. - Technology Integration: Leveraging technology for efficient workforce management. 6. Compensation and Benefits - Competitive Pay: Ensuring compensation packages are competitive within the industry. - Comprehensive Benefits: Offering a range of benefits including health insurance, retirement plans, and other perks. 7. Employee Relations and Communication - Open Communication Channels: Facilitating open and transparent communication between management and employees. - Conflict Resolution: Implementing mechanisms to address and resolve workplace conflicts effectively. - Employee Feedback: Regularly soliciting and acting on employee feedback to improve the work environment. 8. Succession Planning - Identifying Key Roles: Recognizing critical positions and ensuring there are qualified candidates ready to step in. - Development Plans: Creating tailored development plans for potential successors. By focusing on these areas, FMCG companies can build a resilient, engaged, and high-performing workforce capable of driving business success.

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💡 Delve into the realm of #retail insights from Pakistan, powered by SnappRetail's cutting-edge data lake technology, designed to digitalize #MSME retailers across the nation. #RetailInsights #SnappRetail #Pakistan

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Brands& Market based assets, a subset of "intangible assets" contributing from 30%-50% to the value of a business is a crucial element we shouldn't ignore. By building brands the right way, you can create value for shareholders and investors. A well-established brand fosters confidence in the future potential of the business it represents. #brandbuilding #marketing #ethiopia #behavioralscience

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### Managing Brand Transgressions In an era where brand reputations can be swiftly damaged, "Managing Brand Transgressions" provides essential strategies for brands to recover from crises. The book outlines **8 fundamental principles** that serve as a roadmap for navigating the complexities of brand missteps, supported by powerful case studies that illustrate each principle in action. #### Key Principles: 1. **Acknowledge the Mistake**: - **Transparency is Key**: Brands that openly admit their errors can foster trust and begin the healing process. This principle emphasizes the importance of owning up to missteps rather than deflecting blame. 2. **Act Quickly**: - **Timeliness Matters**: A prompt response can significantly limit the fallout from a transgression. The book highlights cases where quick action helped mitigate damage and restore consumer confidence. 3. **Engage Stakeholders**: - **Involve Your Community**: Engaging customers, employees, and partners in the recovery process not only rebuilds loyalty but also creates a sense of shared ownership in the brand's journey forward. 4. **Develop a Clear Strategy**: - **Map Your Recovery**: Establishing a well-defined recovery strategy with specific, measurable goals is critical. The book outlines how successful brands have navigated their crises by having a clear plan in place. 5. **Communicate Effectively**: - **Honest Messaging**: Clear and consistent communication is vital during a crisis. The book offers guidelines on crafting messages that resonate with audiences and reinforce accountability. 6. **Learn and Adapt**: - **Turn Mistakes into Growth**: Each misstep can be a learning opportunity. Brands that analyze their failures and implement changes not only recover but often emerge stronger and more resilient. 7. **Rebuild Trust**: - **Actions Speak Louder**: Demonstrating a commitment to change through tangible actions is essential for rebuilding trust. The book discusses strategies for showing stakeholders that the brand is serious about its recovery. 8. **Monitor Progress**: - **Continuous Evaluation**: Recovery is an ongoing process. Brands must regularly assess their progress and be willing to adapt their strategies based on feedback and results. ### Conclusion "Managing Brand Transgressions" equips executives and marketers with the tools necessary to navigate brand crises effectively. By applying these principles, brands can not only rectify past missteps but also create a resilient framework for future challenges. Transform your brand’s approach to adversity and learn how to thrive in the face of setbacks. ### Discover the full insights to empower your brand’s recovery journey! #BrandManagement #CrisisManagement #Leadership #BusinessStrategy #BrandTrust

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𝙐𝘼𝙀 𝙖𝙣𝙙 𝙆𝙎𝘼 𝙘𝙤𝙣𝙨𝙪𝙢𝙚𝙧𝙨 𝙖𝙧𝙚 𝙗𝙚𝙘𝙤𝙢𝙞𝙣𝙜 𝙢𝙤𝙧𝙚 𝙥𝙧𝙞𝙘𝙚 𝙨𝙚𝙣𝙨𝙞𝙩𝙞𝙫𝙚 𝙖𝙣𝙙 𝙩𝙝𝙚𝙧𝙚 𝙝𝙖𝙨 𝙗𝙚𝙚𝙣 𝙖 𝙨𝙝𝙞𝙛𝙩 𝙞𝙣 𝙘𝙤𝙣𝙨𝙪𝙢𝙚𝙧 𝙥𝙧𝙚𝙛𝙚𝙧𝙚𝙣𝙘𝙚𝙨. This explains the price elasticity of demand in FMCG markets, as the latest report from NielsenIQ highlights that decreases or increases in prices of goods affected the consumption rate among consumers. The sales of Fast-Moving Consumer Goods (FMCG) in Saudi Arabia and the UAE grew very slowly, merely 0.5%, at the end of 2023. According to the latest NIQ Retail Spend Barometer from NielsenIQ, the observed sluggishness can be attributed to heightened price sensitivity among consumers and evolving preferences. However, amidst these challenges, the e-commerce sector emerged as a beacon of growth, reporting impressive consumption rates throughout the past quarter and the past three years. During Q4 2023, E-commerce FMCG categories experienced a notable reduction in prices, with decreases of approximately 3% in the UAE and 5% in KSA. In the UAE, supermarkets and big stores (modern trade) saw a small rise in FMCG sales (2.3%), but overall spending on these goods actually dropped 3% in the last quarter of 2023. However, in KSA, sales fell slightly (0.9%) and overall growth slowed down a bit (0.2%). The Modern Trade channel is feeling the effects of price sensitivity among consumers, as appetites for promotions and private label products grow. Price fluctuations affected what people bought, especially for baby products in Saudi Arabia and personal care items in the UAE. In fact, many everyday items (a substantial proportion) increased in price by up to 10% in both countries. In contrast, Traditional Trade (TT) outlets in both regions experienced average price increases of 2.1% and 1.9% in KSA and UAE, respectively, in the last three months of 2023. The snacking category emerged as the category with the highest price increase, influencing consumption dynamics differently in KSA and the UAE compared to other categories. E-commerce emerged as a bright spot with strong consumption growth, possibly due to lower prices compared to traditional stores. Furthermore, in the Technology and Durables (T&D) sector, both regions witnessed consistent full-year growth in 2023, with increases of 5% in KSA and 4% in the UAE. Notably, advances in the Telecom and Small Domestic Appliances categories were the primary drivers of growth in both regions. https://lnkd.in/d6NJKaRt

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**Q1 Results Preview: FMCG Sector Shows Promise Amid Demand Recovery** As Q1 FY25 unfolds, the FMCG sector is set for stable-to-improving growth, buoyed by recovering demand. Here's a concise overview of key players: **Sector Overview:** - Most FMCG companies are expected to see stable-to-improving volume and value growth trends. - Resilience observed in cigarettes, alcobev, and jewelry, while QSR, paints, and footwear face demand challenges. **Company Highlights:** ITC: - 5.6% revenue growth YoY; 7% growth in net cigarette sales. - Hotel segment expected to grow 8-9%. Hindustan Unilever (HUL): - Flat revenue; marginal 1.4% net profit rise YoY. - Gross margin expansion despite some challenges. Nestle India: - 10% revenue growth YoY, driven by domestic and export markets. - 5% volume growth, with price hikes in Maggi and coffee. Britannia Industries: - 5% revenue growth YoY; 17.7% net profit increase. - Biscuit volumes up 7.5%; strong EBITDA margin at 18.5%. Dabur India: - 5.5% domestic volume growth; 6.4% revenue growth YoY. - Solid performance in digestives and oral care; EBITDA margin expansion. **Key Takeaways:** - Robust value growth expected from Honasa Consumer, Tata Consumer Products, Nestle India, Colgate Palmolive, and Jyothy Labs. - HUL expected to see flat performance; promising growth for Marico and Britannia Industries. - Mixed results anticipated from Godrej Consumer Products and Tata Consumer Products. As the FMCG sector navigates these dynamic times, innovation and strategic pricing will be key drivers of sustainable growth. Stay tuned for more insights! Read more: https://lnkd.in/dwYiUeHB #FMCG #Q1Results #BusinessGrowth #ConsumerGoods #MarketTrends #Investments

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𝗧𝗵𝗶𝘀 𝘀𝗶𝗻𝗴𝗹𝗲 𝗰𝗵𝗮𝗿𝘁 𝗲𝘅𝗽𝗹𝗮𝗶𝗻𝘀 (𝗺𝗼𝘀𝘁 𝗼𝗳) 𝘁𝗵𝗲 𝗿𝗲𝗮𝘀𝗼𝗻𝘀 𝗯𝗲𝗵𝗶𝗻𝗱 𝘁𝗵𝗲 𝗠𝗮𝗿𝘀-𝗞𝗲𝗹𝗹𝗮𝗻𝗼𝘃𝗮 𝗱𝗲𝗮𝗹 ⚫ Mars 𝗶𝘀 𝗮 𝗴𝗹𝗼𝗯𝗮𝗹 𝘁𝗼𝗽 𝟯 𝗽𝗹𝗮𝘆𝗲𝗿 𝗶𝗻 𝗦𝗻𝗮𝗰𝗸𝘀 𝘄𝗶𝘁𝗵 𝟱% 𝗠𝗦 𝗯𝗲𝗵𝗶𝗻𝗱 PepsiCo ($230bn EV) & Mondelēz International (~$100bn EV). None of them can be reasonable acquisition target (EV but also anti-trust on confectionary/ chocolate) ⚫ Mars 𝗹𝗮𝗿𝗴𝗲𝘀𝘁 𝘄𝗵𝗶𝘁𝗲 𝘀𝗽𝗮𝗰𝗲 𝗼𝗻 𝗦𝗻𝗮𝗰𝗸𝘀 𝗶𝘀 𝗦𝗮𝘃𝗼𝗿𝘆 (a $225bn category, the largest category within Snacks accounting for >1/3 of total Snacks, where US alone accounts for 32% of the global RSV) ⚫ 𝗨𝗦 𝗺𝗮𝗿𝗸𝗲𝘁 𝗵𝗮𝗽𝗽𝗲𝗻𝘀 𝗮𝗹𝘀𝗼 𝘁𝗼 𝗯𝗲 𝗠𝗮𝗿𝘀 𝘀𝘁𝗿𝗼𝗻𝗴𝗵𝗼𝗹𝗱 (>40% of its RSV) ⚫ Kellanova 𝗶𝘀 𝘁𝗵𝗲 𝗴𝗹𝗼𝗯𝗮𝗹 𝗱𝗶𝘀𝘁𝗮𝗻𝘁 𝗻𝘂𝗺𝗯𝗲𝗿 𝟮 𝗼𝗻 𝗦𝗮𝘃𝗼𝗿𝘆 𝗯𝘂𝘁 𝗵𝗮𝘀 ~𝟭/𝟮 𝗼𝗳 𝗶𝘁𝘀 𝗥𝗦𝗩 𝗶𝗻 𝗡𝗔 ⚫ 𝗜𝗻 𝗤𝟰 𝟮𝟬𝟮𝟯, 𝗶𝘁 𝗲𝗻𝗱𝘀 𝘂𝗽 𝗯𝗲𝗶𝗻𝗴 '𝘂𝗽 𝗳𝗼𝗿 𝗴𝗿𝗮𝗯' 𝗽𝗼𝘀𝘁 𝗮 '𝗿𝗶𝗴𝗵𝘁-𝘀𝗶𝘇𝗲𝗱' 𝗜𝗣𝗢𝗲𝗱 𝗰𝗮𝗿𝘃𝗲-𝗼𝘂𝘁 (Kellogg Company broken down into two companies: WK Kellogg Co & Kellanova) ⚫ 𝗧𝗵𝗲 𝗼𝘃𝗲𝗿𝗮𝗹𝗹 𝗳𝗼𝗿 𝗮 𝗺𝗮𝗻𝗮𝗴𝗲𝗮𝗯𝗹𝗲 '𝗯𝗶𝘁𝗲-𝘀𝗶𝘇𝗲' ($36bn) for Mars B/S (& ownership structure) That is what we call a historic opportunity (that was most likely very long in the making) and Mars seized it Decisive To discover our perspective on: - Why Mars is acquiring Kellanova? - What are the likely consequences on the Food vertical & beyond? - How the FMCG M&A market will likely evolve in the next quarters? Read our last publication: 𝟭𝟬 𝗕𝗿𝗶𝗲𝗳 𝗧𝗵𝗼𝘂𝗴𝗵𝘁𝘀 𝗔𝗯𝗼𝘂𝘁 𝘁𝗵𝗲 Mars-Kellanova 𝗗𝗲𝗮𝗹 & 𝗢𝗻 𝗪𝗵𝗮𝘁'𝘀 𝗡𝗲𝘅𝘁 𝗙𝗼𝗿 𝗠&𝗔 𝗜𝗻 𝗧𝗵𝗲 𝗙𝗠𝗖𝗚 𝗜𝗻𝗱𝘂𝘀𝘁𝗿𝘆 https://lnkd.in/eKcD6VRa Exciting times for M&A in the FMCG industry 𝗔𝗯𝗼𝘂𝘁 𝘂𝘀: FF&A solves the most complex strategic problems of the world largest FMCG companies across Corporate Strategy, Organic Growth, Digital RTM (Ecommerce, DTC and EB2B) and M&A. 14 out of the world 20 largest FMCG companies are repeat Clients 𝗧𝗼 𝗴𝗲𝘁 𝗮𝗹𝗹 𝗼𝘂𝗿 𝗶𝗻𝘀𝗶𝗴𝗵𝘁𝘀, 𝗳𝗼𝗹𝗹𝗼𝘄 𝘂𝘀 & 𝘀𝘂𝗯𝘀𝗰𝗿𝗶𝗯𝗲 𝘁𝗼 𝗼𝘂𝗿 𝗙𝗠𝗖𝗚 𝗖𝗘𝗢 𝗜𝗻𝘀𝗶𝗴𝗵𝘁𝘀 𝗻𝗲𝘄𝘀𝗹𝗲𝘁𝘁𝗲𝗿: https://lnkd.in/ea4gy65y

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Why FMCG Companies Should Have a Chief Sustainability Officer 👥 With nearly a decade in recruitment, I’ve seen how an executive role, like Chief Sustainability Officer (CSO), can transform FMCG companies. Sustainability isn't just a buzzword; it’s a business imperative. A CSO drives: ✅ Environmental initiatives ✅ Brand trust ✅ Cost savings through efficiency Consumers are more eco-conscious now. In the UK, 85% prefer sustainable products (Source: KPMG). That trust translates to loyalty. Plus, efficiency measures not only cut costs but also reduce waste. What benefits have you seen in businesses prioritising sustainability? Comment below or reach out to [email protected]! #sustainability #FMCG #recruitment

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Excellent insight for Consumer Goods Organizations! Frederic Frederic Fernandez excellent thoughtful post with facts! You cannot cut your way to greatness. https://lnkd.in/ghNcMd-J However, in these upcoming difficult economic times, consumer goods organizations will need to do both - cut costs aggressively while growing and gaining category share at the same time. Not easy to do - the organizations though which do so will win! #cpg #FMCG #CFO #CMO #CEO #CSCO #unilever Hein Schumacher Reginaldo Ecclissato

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