BIC Company
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Explore BIC's rich history, product mix, financial information, and the success of its iconic disposable lighter. Learn about the company's growth and key financial data over the years.
BIC Company
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Presentation Transcript
BIC Company By: Graham Davis
Table of Contents • Company History • Product Mix • Stock Information • Company Financials • Financial Charts (Euro/USD) • BIC Disposable Lighter (history) • Product Breakdown • Product Financials
Company History • Founded in 1945 (Clichy, France) • Founders: Marcel Bich and Edouard Buffard • Originally manufactured fountain pen and mechanical pencil parts • Products are: Simple, Inventive, Reliable, and for Everyone, Everywhere • Total Employees: 10,455 • 9,198(Full-Time) 1,257(Part-Time)
Product Mix • Stationary • Ballpoint Pens, Pencils, Highlighters, Ect. • Lighters • Classic, Electronic, Multipurpose, Cases • Shavers • Men and Women's Disposable Razors • Other Products/Promotional Products • Batteries, BIC Phone, Pantyhose
Stock Information • Outstanding Shares: 48,245,532 (2012) • 48,341,785 (2010) 47,565,299 (2011) • Net Income per Share: $4.29, $5 (2010,2011) • Dividend Per Share: $1.90, $2.20 (2010,2011)
Financial Information (USD)(2010/2011/2012 9 Months) • Net Sales: • 2.334/2.324/1.828 Billion • Gross Profit: • 1.109 Billion/1.145 Billion/946.19 (Mil.) • Gross Profit (% sales): • 47.5%/49.3%/51.7% • Net Income • 264.46/303.20/271.47 (Mil.)
Net Sales Geographic • Europe • 29% (2010) 28% (2011) • North America • 42% (2010) 40% (2011) • Developing Market • 29% (2010) 32% (2011)
Net Sales By Category • Stationary • 32% (2010-12) • Lighters • 26% (2010) 28% (2011) 28% (2012) • Shavers • 17% (2010) 18% (2011) 18% (2012) • Other • 5% (2010-12) • Advertising/Promo • 20% (2010) 17% (2011) 17% (2012)
BIC Disposable Lighter • Started 1972 • Uses high-tech manufacturing process • It produces lighters in four factories located in France, Spain, the United States and Brazil. • 5 Million lighters manufactured daily • Each lighter undergoes more than 50 automated quality and security test
BIC Factory • BIC factory operatione • Manufacturing of primary parts • Sub-assembly • Automatic gas filling • Assembling, Controlling, and packaging • 3 Principles of Lighter Design • Saftey&Quality, Consumer Friendliness, Value for money
Lighter Components Gas Reservoir • 1)Body-plastic • 2)Base-plastic • 3)Ball-metal Lighting mechanism • 4)Flint spring • 5)fork spring • 6)valve-steel • 7)jet-steel • 8)flint-flint • 9)Fork-pastic/steel • 10)Spark Wheel-serrated steel Safety • 11)Hood-steel • 12)Guard-steel
Raw Materials Used/Cost % • Plastics- 39% • Delrin is a high grade plastic resin • Metals-23% • Ink and Solvents-6% • Packaging and Other-32%
Lighter Financial Information • Total Units Produced (Billions): • 1.224 (2010) 1.318 (2011) • Sales Revenue (Million USD): • 612.78 (2010) 651.01 (2011) 518.98 (2012) • Variable Cost (Million USD) • 391.52 (2010) 396.37 (2011) 316.71 (2012) • Total Contribution Margin (Million USD) • 221.25 (2010) 254.65 (2011) 202.26 (2012) • Contribution Margin % • 36.1% (2010) 39.1% (2011) 38.97%
Per Unit Breakdown 2011 • Revenue Per Unit: .4939 • Variable Cost Per Unit: .3007 Materials-40% (.12028) Labor-25% (.075) Manufacturing Overhead-35% (.105) • Profit Per Unit: .1932
Materials Cost Per Unit • Plastics: .047 • Metal: .028 • Ink: .007 • Packaging: .038
Overview BIC lighters account for28% of the companies revenue Post a consistent 30-40% Contribution margin as percent of sales Gross Profit for lighters 2011: 199.8 Million Euro
Refrences • http://www.bicworld.com/ • http://www.bicworld.com/en/finance/index/