Tag: fair and handsome

  • Delhi HC rules in favour of Emami in case against HUL

    Delhi HC rules in favour of Emami in case against HUL

    MUMBAI: The Delhi High Court has upheld the right of Emami’s Fair and Handsome to run its advertisement that state that women’s fairness creams aren’t suitable for men’s tough skin. Rival Hindustan Unilever (HUL) had taken Emami to court claiming its commercial is disparaging to its own brand Fair & Lovely.

    HUL claimed in its complaint that brand endorser Vidyut Jammwal’s dialogue “Ab to ladkiyon ki cream chodo” is aimed at its own product Fair & Lovely and that the ad showed a white and pink tube which is its distinctive feature.

    The judgment dated 27 March, the Delhi High Court said that it cannot be said that the statements regarding men using women’s cream is false. It even added that the dialogue in question can’t be claimed to be false, misleading, unfair or deceptive and does not amount to generic disparagement.

    An Emami spokesperson said, “The ruling by the Delhi High Court reinforces the fact that Fair and Handsome is built on a foundation of truth and trust. We thank the High Court for upholding the truth and the right to free speech. Fair and Handsome has earned immense consumer trust and is among India’s Top 50 Most Trusted Health and Personal Care brands (Brand Equity Most Trusted Brands 2019 study). We take this consumer trust with humility and acknowledge the brand’s huge responsibility to our consumers. We are not surprised by the consistent strategy adopted by HUL to target Fair and Handsome on frivolous grounds across forums. We will endeavour to do everything in our realm to safeguard the best interests of consumers, by empowering them with the right information.”

    In June 2018, HUL aired a commercial for Men’s Fair & Lovely and Emami’s Fair and Handsome, claiming their own to be original. The High Court gave the verdict in favour of Emami and restrained HUL from circulating the displaying the commercial.

  • Q3-2015: Emami q-o-q marketing expenses up 16 per cent; PAT doubles

    Q3-2015: Emami q-o-q marketing expenses up 16 per cent; PAT doubles

    BENGALURU: Over the past 12 quarters, Q3 of a financial year has traditionally been a good quarter for Emami Limited (Emami). The company’s advertisement and sales promotional spends have been highest during the period under consideration. Following its past convention, Emami increased its advertisement and sales promotion (ASP) spends in Q4-2015 by 16 per cent to Rs 119.25 crore (17.2 per cent of Total Income from Operations or TIO) from Rs 102.84 crore (21 per cent of TIO) in the immediate trailing quarter (Q2-2015) and 35.7 per cent more than the Rs 87.85 crore (15 per cent of TIO) in the corresponding year ago quarter (Q3-2014). During 9M-2015 (YTD), the company’s ASP was up 37 per cent to Rs 312.19 crore (18.8 per cent of TIO) from Rs 227.88 crore (16.6 per cent of TIO) in 9M-2014.

    Note: 100,00,000 = 100 lakh = 10 million = 1 crore

    During a 12 quarter period starting Q4-2013 until the current quarter, Emami’s Q3-2015 ASP is the highest so far in terms of absolute rupees – Rs 119.25 crore (17.2 per cent), but Q2-2015 ASP in terms of per centage of TIO was highest at 21 per cent (Rs 102.84 crore). Fig A below indicates a steep upward linear trend for ASP in terms of absolute rupees and an upward linear gradient for ASP in terms of per centage of TIO. Traditionally, during the last three financial years (FY-2012, FY-2013, FY-2014), Emami’s ASP has been lowest in the fourth quarter and if the company follows the same trend, a drop in ASP for Q4-2015 can be expected.

    Among the brands in Emami’s portfolio are Zandu, Zandu Balm, Himani Navratna, BoroPlus, Fair and Handsome, Emami Vasocare, Emami Mentho Plus, Himani Fast Relief, Zandu Sona Chandi Chyawnprash Plus, Zandu Kesari Jivan, etc.

    PAT and Income

    Emami’s PAT in Q3-2015 almost doubled (grew by 98 per cent) to Rs 183.70 crore (26.5 per cent of TIO) from Rs 92.76 crore (18.9 per cent of TIO) in Q2-2015 and was 21.9 per cent more than the Rs 150.68 crore (25.8 per cent of TIO) in Q4-2014. During 9M-2015, PAT at Rs 347.28 crore (20.9 per cent of TIO) was 19.2 per cent more than the Rs 291.32 crore (21.2 per cent of TIO) in 9M-2014.

    Pease refer to Fig B below. In terms of absolute rupees and percentage of TIO, PAT shows an upward linear trend during the 12 quarter period under consideration.

    Emami’s TIO in Q3-2015 at Rs 692.26 crore was 41.4 per cent more than the Rs 489.60 crore in Q2-2015 and 18.4 per cent more y-o-y from Rs 584.67 crore. During 9M-2015, TIO at Rs 1663.59 crore was 21 per cent more than the Rs 1375.06 crore in 9M-2014. TIO shows an increasing linear trend during the 12 quarters under consideration.

  • Emami q-o-q ad and sales promo spend down 44 per cent in Q4-2014

    Emami q-o-q ad and sales promo spend down 44 per cent in Q4-2014

    BENGALURU:  In keeping with its norms, Indian personal and healthcare company Emami Limited (Emami) Advertisement and Sales Promotion (Ad & SP) spend during the last quarter of FY-2014 was the lowest during the year. In Q4-2014, Emami Ad & SP at Rs 49.53 crore was  down (–43.64) per cent as compared to the Rs 87.85 crore in the immediate trailing quarter Q3-2014 and just a meagre 1.18 per cent more than the Rs 48.95 crore in the year ago quarter – Q4-2013.

    Notes: (1) 100,00,000 = 100 lakh = 1 crore = 10 million.

    (2) All trends mentioned in this report are linear trends based on data across nine quarters starting Q4-2012 and ending Q4-2014 and across FY-2012 to FY-2014.

    At 11.11 per cent of net sales, Emami’s Q4-2014 Ad & SP percentage of net sales was the third lowest over a nine month period starting Q4-2012 and ending Q4-2014. The lowest corresponding figure over the nine quarters was in Q4-2012 at 9.19 per cent of net sales (Rs 36.60 crore). During Q3-2014, Ad & SP as percentage of net sales was 15.03 per cent and during Q4-2013 it was 10.85 per cent (second lowest).

    In terms of absolute rupee value terms, Emami’s Ad & SP Exp trends upwards, while in terms of percentage of net sales, it shows a downward trend. Also, in Q1-2013, and Q1-2014, Emami’s Ad& SP Exp was 18.72 per cent (second highest over nine quarters) and 18.85 per cent (highest over nine quarters) respectively of net sales.  If the company follows these norms, Q1-2015 should see a substantial increase in Ad & SP Exp as percentage of net sales. Please refer to Fig 1 and Fig 1A below.

     

    Emami’s PAT and net sales across the quarters under consideration and the three financial years FY-2012 to FY-2014 trends upwards as per Fig 2 and Fig 2A below.

    Among the brands in the company’s portfolio are Zandu, Zandu Balm, Himani Navratna, BoroPlus, Fair and Handsome, Emami Vasocare, Emami Mentho Plus, Himani Fast Relief, Zandu Sona Chandi Chyawnprash Plus, Zandu Kesari Jivan, etc.