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Restaurant Market – India October 2014
Executive Summary Market Overview
Drivers & Challenges
Trends
Competitive Landscape
Restaurant market in India was valued at INR x1 bn in 20-- and is poised to reach x2 bn in 20-growing at x% CAGR Food Service market includes - Fine Dining Restaurants; QSRs or Fast Food Chains; Cafes and Coffee Joints Drivers: Growing disposable income Favorable demographics Changing lifestyles and preferences Increasing proportion of take away food Increasing number of working women
Challenges: Cumbersome licensing Rising food costs High cost of real estate Lack of skilled manpower
Foreign players foraying into Indian market Brand expansion into smaller cities Foreign market for Indian restaurants
Food franchising – emerging concept Emergence of Theme-based cafes and restaurants
Key Players Player 1
Player 2
RESTAURANT MARKET IN INDIA 2014 .PPT
Player 3
2
•Macroeconomic Indicators •Introduction •Market Overview •Drivers & Challenges
•Government Regulations •Key Trends •Competitive Landscape •Market Opportunities •Strategic Recommendations •Appendix RESTAURANT MARKET IN INDIA 2014 .PPT
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Economic Indicators (1/3) GDP at Factor Cost: Quarterly INR tn
c4
d1
c3
d2
c1 b1 a1
c2 b2 a2
Q1
b4 b3
a4
a3
Q2 2010-11
Q3 2011-12
2012-13
Q4 2013-14
Inflation Rate: Monthly % 2 1
p
r
s
q
0 -1
t
-2
Jul 2013 - Aug 2013
Aug 2013 - Sep 2013
Sep 2013 - Oct 2013
Oct 2013 - Nov 2013
RESTAURANT MARKET IN INDIA 2014 .PPT
Nov 2013 - Dec 2013 4
Introduction Restaurant Market - Overview • Text Segment
Description
Segment 1
• Text
Segment 2
• Text
Segment 3
• Text
RESTAURANT MARKET IN INDIA 2014 .PPT
Organized Players Penetration
5
Heading Market Overview – India
• Text
Market Size and Growth – Value INR bn 5,000
X%
4,000 3,000
x3
x1
x2
20--
20--e
20--
x4
x5
x6
2,000 1,000 0
20--
20--
RESTAURANT MARKET IN INDIA 2014 .PPT
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Drivers & Challenges
Challenges Drivers
Cumbersome licensing
Growing disposable income
Rising food costs
Favourable demographics
High cost of real estate
Changing lifestyles and preferences
Lack of skilled manpower
Increasing proportion of take away food Increasing number of working women
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Trends – Summary
Foreign players foraying into Indian market Brand expansion into smaller cities Trends`
Foreign market for Indian restaurants Food Franchising – emerging concept Emergence of theme-based cafes and restaurants
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Porter’s Five Forces Analysis
SAMPLE Impact High
Threat of New Entrants • Text
Impact Medium
Bargaining Power of Suppliers • Text
Impact High
Competitive Rivalry
Impact Medium
Bargaining Power of Buyers • Text
• Text
Impact Low Threat of Substitutes • Text
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Competitive Benchmarking (1/5) Public Trading Comparables (FY 2013) Company 1
Company 2
Market Capitalization (INR mn)
Share Price (INR)
EV/EBITDA (INR mn)
EV/Revenue (INR mn)
PE Ratio Note: Top 2 Public companies based on the Market Capitalization; Share Price; EBITDA; Revenue and PE ratio is as of 01/07/2014 RESTAURANT MARKET IN INDIA 2014 .PPT
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Competitive Benchmarking (2/5) Key Ratios of Top 3 Companies – Operational Basis (FY 2013) (1/3) Operating Margin
%
Net Margin
50
46.32
45.25
40 30 20
13.21
9.22
10
9.92
9.32
0 Player 1
Player 2
Player 3
• Text
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Public : Domestic Company – Company 1 Company Information
Offices and Centres – India
Corporate Address
Block ABC City XYZ
Tel No.
123456
Fax No.
1234567
Website
http://www.abc123com/
Year of Incorporation
20--
City A
Products and Services Category
Products/Services
Key People Product 1
P1,p2,p3 Name
Designation
ABC
abc
XYZ
xyz
MNO
mno
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Public: Domestic Company – Company 1 Financial Snapshot
Key Ratios Revenue
6 4
Net Income x4
x3 x1
Particulars 0.15 0.10
x2
2
0.05
0
0.00
20--
20--
20--
20--
Financial Summary • The company incurred a net profit of INR A mn in FY 20--, as compared to net profit of INR B mn in FY 20-• The company reported total Income of INR X mn in FY 20--, registering an increase of r % over FY 20--
Operating Margin Net Margin Profit Before Tax Margin Return on Equity Return on Capital Employed Return on Working Capital Return on Assets Return on Fixed Assets Operating costs (% of Sales) Administration costs (% of Sales) Interest costs (% of Sales)
• The company reported debt to equity ratio of g in FY 20--, an increase of r % over FY 20--
Leverage Ratios
Value (DDD/MMM/YYYY)
Market Capitalization (INR) Total Enterprise Value (INR) EPS (INR) PE Ratio (Absolute)
a b c d
20--
20--
20--
a1
a
a2
a3
a4
b1
b
b2
b3
b4
c1
c
c2
c3
c4
d1
d
d2
d3
d4
e1
e
e2
e3
e4
f1
f
f2
f3
f4
g1
g
g2
g3
g4
h1
h
h2
h3
h4
i1
i
i2
i3
i4
j1
j
j2
j3
j4
k1
k
k2
k3
k4
l1
l
l2
l3
l4
m1
m
m2
m3
m4
n1
n
n2
n3
n4
01
o
o2
o3
o4
p1
p
p2
p3
p4
q1
q
q2
q3
q4
r1
r
r2
r3
r4
s1
s
s2
s3
s4
Cost Ratios
Liquidity Ratios
Indicators
20--
Profitability Ratios
• The company earned an operating margin of d1 % in FY 20-- an decrease of k % points over FY 20--
Financial Summary
y-o-y change (20-----)
Current Ratio Cash Ratio Debt to Equity Ratio Debt to Capital Ratio Interest Coverage Ratio
Efficiency Ratios Fixed Asset Turnover Asset Turnover Current Asset Turnover Working Capital Turnover Capital Employed Turnover
t1
t
t2
t3
t4
u1
u
u2
u3
u4
Improved
RESTAURANT MARKET IN INDIA 2014 .PPT
Decline
13
Public: Domestic Company – Company 1 Key Business Segments
Key Geographic Segments
Enamelled Wire and Strips 6,000
c
4,000
a
India d
6,000 4,000
b
2,000
2,000
0
0
20--
20--
20--
b1 a1
20--
20--
c1
20--
20--
Key Recent Developments Description
News
Overview
• It sells product A under the brand name of ‘abg’ & ‘def’
Production facilities
• In India the company has k manufacturing hubs and j marketing offices
Shareholding pattern
• Promoters of the company hold j % of the share while k % is held by general public
Clients
• Clients are spread across ghj countries spanning across t continents
Investments
• The company wants to invest INR K mn in a company through a joint venture in Country 2 producing product a and product b • So far the company invested INR 0.C mn in company A in country A
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Private: Domestic Company – Company 2 (2/5) Shareholders of the Company as on 30/09/2013 Name
No. of Shares held
Ownership Structure Directors or relatives of directors Other top 50 shareholders (other than listed above)
Shareholder 1
X1
Shareholder 2
X2
Total
a
X%
X%
Ownership structure corresponds to Date of AGM: 30/09/2013
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Public: Foreign Company – Company 2
• Text
• Text
S
W
O
T
• Text
• Text
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Thank you for the attention Restaurant Market – India 2014 report is a part of Netscribes’ Retail & Services Series. For any queries or customized research requirements, contact us at: Phone: E-Mail:
+91 22 4098 7600 info@netscribes.com
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