BackMarico sees 8% rise in net profit in Q2
The company’s cooking oil and packaged foods portfolio registered strong double-digit growth during the quarter benefiting from sustained in-home consumption of foods
PremiumNEW DELHI : Marico Ltd on Wednesday reported an 8% jump in September quarter net profit, with its cooking oil and packaged foods portfolio registering double-digit growth as a result of sustained in-home consumption of food.
For the three months ended 30 September, the company reported net profit for ₹273 crore, up from ₹253 crore a year ago. On a like-to-like basis, PAT (profit after tax) grew 15% during the quarter. Reported PAT was up 7% after accounting for a one-time exceptional expense i.e. a post-tax impact of Rs21 crores. Consolidated revenue from operations grew 8.75% from the year earlier to ₹1,989 crore, the maker of Saffola cooking oil and Parachute hair oil said.
Domestic volumes grew 11% and the company reported 7% constant currency growth in international business.
“With improving consumer sentiment and supply chain operations at near pre-covid levels, the majority of the company’s portfolio came back to healthy growth on a year-on- year basis," Marico said.
The company said that though there were inflationary trends, “the impact was contained through aggressive cost saving initiatives, enabling an improvement of Ebitda margins to 19.6%". Reported profit was up 7% after accounting for a one-time exceptional item.
“After a challenging April, the business has reached near-normal levels and expects to deliver growth in the rest of the year," said Saugata Gupta, managing director and chief executive officer.
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