SRIDHAR RAMAMURTHY
(Membership Number: 038772)
Nomination for
CFO - FMCG Sector
CFO – Hindustan Unilever Limited
HINDUSTAN UNILEVER LIMITED (HUL)
• Turnover (Sales) of the Company in Rupees:
Rs. 23,436 crores (consolidated for the year ending 31-Mar-2012)
• Net worth of the Company:
Rs. 3,699 crores (consolidated for the year ending 31-Mar-2012)
• Market Capitalization of the Organization:
Rs. 1,22,018 crores (for HUL as on 5-Oct-2012)
KEY ROLE IN THE ORGANIZATION
• Chief Financial Officer for Hindustan Unilever Limited (HUL)
• Executive Director and Member of the Board of HUL
– Member of the Shareholders’ / Investors’ Grievance Committee
• Head of Finance and Information Technology for HUL
• Director in Unilever India Exports Limited, Pond’s Export Limited and Hindustan
Unilever Vitality Foundation
– Audit Committee Chairman for Pond’s Exports Limited
• Senior Vice President for Unilever South Asia (India, Bangladesh, Sri Lanka & Pakistan)
• Member of the Global Finance Leadership Team for Unilever
MAJOR ACHIEVEMENTS: R SRIDHAR
As CFO for Hindustan Unilever Limited, delivering step up in business results/performance o Business delivering Consistent, Profitable, Competitive and Responsible growth
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• FY’12: 18% sales growth, ahead of market with 10% underlying volumes, 25% EBIT growth, margins +140 bps
• Significant progress on Unilever Sustainable Living Plan priorities and India Water Body initiative
Growth momentum built up in business (FMCG Sales growth - FY’10: 8%, FY’11: 10%, FY’12: 18%)
Sustaining improvement in key financial measures
• ROCE - FY’11: 88%, FY’12: 97%; RONW - FY’11: 74%, FY’12: 78%; Fixed Asset Turnover - FY’11: 8.3x, FY’12: 9.6x
History of strong cash generation
• Net Cash from Operating Activities - FY’11: Rs. 1892 crs, FY’12: Rs. 2870 crs
Consistent track record of effectively managing Negative Working Capital [FY’12: (-) 12.4%]
Economic Value Added at all time high (FY’11: Rs. 1,750 crs, FY’12: Rs. 2,250 crs)
Performance recognized by markets through share price movement and valuations (PEx)
o HUL outperforms sector peers and broader market indices over last 1 and 2 years (as of 5-Oct-2012)
• Sensex up 20%, BSE FMCG index up 48%, HUL share price up 76% in last year
• HUL delivers highest Total Shareholder Return across peers and well over broader market
o HUL valuation moves from discount to premium on sector - growing confidence of the market
• HUL PEx - Oct’10: 30 (87% of FMCG PEx), Oct’12 : 44 (112% of FMCG PEx)
MAJOR ACHIEVEMENTS: R SRIDHAR
As Head of the Finance and Information Technology function, instrumental in:
o The HUL Finance team being recognized in the top 2 teams in Unilever across countries and functions
• Global projects and initiatives on building Finance process being led/piloted out of India
• India leading development of Enterprise Support Services in Bangalore to provide financial services to Unilever
o HUL being recognized to be at the forefront of Corporate Governance practices at multiple forums
o Driving quality and best in class processes across expertise areas of the Finance function • HUL Ranked No 1 across Unilever for the last 2 years in succession on fastest and best quality reporting process
• Annual financial closing timelines down from 45 to 30 days in last year; Management results now in 1 day vs. 5 days
• HUL among first of large companies to publish Annual Audited Accounts as per new Schedule VI (year end Mar’12)
• Novel Supply Chain Financing program built with select banks to lower vendor cost of capital
• Collaboration with commercial banks to pioneer innovative payment methods to simplify HUL’s banking network
• Successful share buyback in 2011 – Rs 625 Crores (average buyback price: Rs 273, Current share price: Rs 570)
• Unique alliances built to unlock and provide a fillip to growth in Rural India
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Win – win partnership with Tata Teleservices Limited and pilot with SBI on financial Inclusion
• Reduction in tax exposure by over Rs 900 Cr over the last 3 years; working closely on evolving legislation
• Leveraging shared services for expertise and excellence; won award on the ‘Strategy to Spin Off Shared Services’
• Partnered to deliver Project iQ that won the 2011 Global Unilever IT Award for ‘Releasing the Power of Information’
o Leading the function to partner the business as ‘co-pilots’ to deliver consistent/stepped up performance
MAJOR ACHIEVEMENTS: R SRIDHAR
As Leader & Senior Management member - strong commitment on developing Finance talent:
o Unique Finance capability building program (Paathshala) developed ‘for and by the Function’
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• Step-up in last 18 months: 2175 man-days of training delivered covering 76% of team; average feedback 4.2/5
First of its kind initiative - 550 team members covered in a week long ‘Careers & Learning’ program
Recent introduction of ‘EduLeague’ to support & supplement learning, through external courses
Comprehensive six pronged program in place to drive people engagement
• Engagement scores for HUL Finance function moved up in 2011 and is higher than the Unilever Top 25%
‘CFO Connect’ with Finance team members across the function at a pre-determined schedule
HUL recognized as the Best Employer in India by Aon Hewitt in 2011
Thrust on the development of professionals in organization
• 64% of CAs in HUL moved roles/were exposed to new career experiences, 44% promoted between 2011-12
As Professional and Senior Business Leader, contributing to development of function
o Active participation in industry and CFO Forums