Australia’s Consumer Powerhouse- Pental Limited (ASX: PTL)
1- The Consumer Powerhouse
• Renowned manufacturer & distributor of home & personal care products across ANZ
• With constant product innovation & improvements, PTL is trusted by families for generations.
• Its iconic brand portfolio comprises of White King, Janola, Sunlight, Softly, Country Life, Velvet, Martha's, Huggie, Natural Selections, Duracell, Pears, LUX, Little Lucifer and Jiffy
• Core values include customer being in the center followed by their safety, introducing innovative products, maintaining high quality, and core people defined as “Team Pental”
• Amongst industry leaders with strong revenue growth (15.1% Australia, 10.81% NZ), a 5% EBITDA growth & no debt
• In a challenging retail environment with margin expectations increasing, price compression, retailers growing own brands etc, PTL appears to have safeguarded shelf space
• 2019 witnessed customer demographics expand
• Growth strategy is working via agency brands, partnerships (Pears & Duracell) and investment in Shepparton plant
• Promotional driven sales growth, development of new product & sales channels, international market opportunities (Asia), cost savings are effective strategies
4- Strategies (Contd.)
• Brand consolidation strategy focused on supporting key retail brands
• Development of new branded products in line with retailer range reviews
• Implemented sales structure to support brands & products at store level
• New pack designs and formats developed for changing consumer needs
There is no investor left unperturbed with the ongoing trade conflicts between US-China and the devastating bushfire in Australia.
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