Unilever Indonesia Has Averaged 130% ROE Over The Past Five Years

Background

PT Unilever Indonesia Tbk is engaged in the manufacturing, marketing and distribution of consumer goods including soaps, detergents, margarine, dairy-based foods, ice cream, cosmetics, tea, other beverages and fruit juice.

stevepb / Pixabay

Q1 hedge fund letters, conference, scoops etc, Also read Lear Capital

Unilever

It is the market leader in Home and Personal Care contributing 68% of revenues while 32% is from Food and Refreshments.

Business Description

UNVR offers home care and hygiene products in fabric cleaning, fabric care, oral and household care groups that are embodied by its high-profile brands, Rinso, Molto, Pepsodent, and Sunlight. Its personal care brands are in daily hair care, mass-market skin care, skin cleansing and deodorant groups that include Axe, Ponds, Dove, Clear, Sunsilk, and Rexona.

It also delivers food and beverage brands such as Lipton Tea, Wall’s ice cream, Buavita juices, Bango soy sauce, and Blue Band bread spread.

Unilever

UNVR’s over 40 brands are sold through 800 independent distributors, own centers, satellite warehouses, depots and other facilities across Indonesia. It operates 9 factories including a Personal Care plant in Rungkut, East Java, food and home care plant in Jababeka, Central Java.

With the implementation of zero-based budgeting which involves flexible budgets, operations have minimized costs while protecting profitability. Personal care ads are now in social media instead of television, helping to reach target audience with most cost-efficient digital marketing methods.

Leadership

Maurits Daniel Rudolf Lalisang is the current President Commissioner of UNVR and has been in this position since 2014. He joined Unilever and has served in many roles including President Director before being appointed the current role. He graduated from the University of Indonesia with a degree in Business administration. In 2010, he was selected as the CEO of the Year by Bisnis Indonesian.

Unilever

Hemant Bakshi took on the role of President Director from Maurits Daniel Rudolf Lalisang in 2014 after joining Unilever India in 1989. He is also the Director of Indian Society of Advertisers. He received a Bachelor’s degree from the Indian Institute of Technology Bombay and MBA from the Indian Institute of Management Ahmedabad.

World Class Benchmarking

Profitable Growth has been excellent, consistently ranked at #1 over the years. UNVR has ranked among the top 60 of 600 large Consumer Staples companies globally for the whole time period.

The exceptional Profitability has been the main driver of the company’s Profitable Growth rank while Growth has mainly ranked average or below.

Unilever

Asset utilization has been stable at a #2 rank and Profit margin has been consistently top-ranked for the whole time period.

Sales growth has mostly been above average but has fallen to #7 in the past 12 months. Margin change, on the other hand, improved to a #3 rank in the past 12 months from being at #9 in 2015.

Article by Become a Better Investor

LEAVE A COMMENT


Saved Articles
X
TextTExtLInkTextTExtLInk

The Life and Career of Charlie Munger

Charlie is more than just Warren Buffett’s friend and Berkshire Hathaway’s Vice Chairman – Buffett has actually credited him with redefining how he looks at investing. Now you can learn from Charlie firsthand via this incredible ebook and over a dozen other famous investor studies by signing up below:

  • Learn from the best and forever change your investing perspective
  • One incredible tidbit of knowledge after another in the page-turning masterpiece of a book
  • Discover the secrets to Charlie’s success and how to apply it to your investing
Never Miss A Story!
Subscribe to ValueWalk Newsletter. We respect your privacy.

Congrats! Are you a smart person?

We have an exclusive targeted & limited time offer for being a sophisticated and loyal reader.

ValueWalkPremium is a website and newsletter on the latest industry news much of which is not in the public domain and obtained via our sources.

We also have 10 years of resources on how to use this information to better your investment process.

Sign up for  today and get our exclusive content for 40% off. This is our second biggest discount ever!!

Use coupon code VIP20 or click on the button below

Limited time offer only ENDS 2/29/2019 or after next 25 subscribers take advantage whichever comes first – please do not share this discount with others

 

0