Marico Ltd.

§ Marico has successfully forayed in international businesses. Since April 2005, Marico has consummated 7 acquisitions as a part of its growth agenda. The group has identified acquisitions in India, Bangladesh, South Africa, U.A.E. and Egypt to pursue growth.

§ Marico has focused on achieving sustainable earnings growth. Top line growth has been accompanied by a healthy bottom line growth. The top line has grown at a CAGR of 20% from past 5 years whereas bottom line has grown at a CAGR of 25% during the same period.

§ Marico has also posted an impressive quarterly result showing a consistent growth in top line as well as bottom line. The total revenue has witnessed a growth of 28%, 30% and 23% in FY09 Q1, Q2 and Q3 respectively over the same period previous year. Similarly, the net profits have shown a growth of 15%, 12% and 11% in FY09 Q1, Q2 and Q3 respectively over the same period previous year.

§ Marico is leading with some of its strong brands in their own segment. Parachute coconut oil, which is a leader in its market with 48% share, Saffola and Sweekar are Marico’s brands in health and vitality segment which comprises of 23% sales of Marico’s total sales and have a significant share in their market.

§ The prices of key raw material like copra, coconut oil and safflower oil have seen a decline in the current quarter as compared to the previous quarter. The raw material prices have started to come down with effect from December 2008.

§ At the current market price of Rs.60.50, stock is trading at 23x P/E and 8.86 P/BV and as per market estimates for FY10E at 16.01x P/E and 5.94 P/BV.