Saturday 08 Aug, 2020 05:36 AM
Site map | Locate Us | Login
   Sobha records 93% drop in Q1 PAT to Rs 7 cr    Mahanagar Gas slips after weak Q1 performance     Magma Fincorp Ltd leads losers in 'A' group    AMJ Land Holdings Ltd leads losers in 'B' group    Alembic Pharma raises 750 cr from QIP issue    Volumes jump at JSW Energy Ltd counter    M&M Q1 PAT slumps 97% to Rs 68 cr    Healthcare stocks edge lower    Information Technology stocks slip    Consumer Durables shares fall    KEI Inds Q1 PAT slides 21% to Rs 36 cr    Bajaj Holdings & Investment Ltd soars 1.39%, Gains for third straight session    GAIL (India) Ltd gains for third consecutive session    Tata Motors Ltd soars 1.16%    Bosch Ltd spurts around 3.50% 
Saravan Stocks
       
Hot Pursuit
Scrips, which has significant changes during the market hours.
Marico remains cautiously optimistic amid volatile biz environment
04-Jul-20   10:41 Hrs IST

FMCG major Marico on Friday issued an overall summary of the operating performance and demand trends witnessed in Q1 June 2020.

The company said it remains cautiously optimistic about the future as it unfolds, however much will depend on the extent of the spread of COVID-19 in India and overseas and how the on-ground environment evolves in conjunction with the response of respective governments. While the business environment and consumer sentiment remain volatile, the company said it is well positioned to withstand these challenging times through innovation, agile execution, aggressive cost management and its portfolio of trusted brands.

Despite significant disruptions during the first fortnight of April, the FMCG major was able to steadily scale up operations to near-normal levels in June. The edible oils and foods businesses resumed operations in early april, however the hair oils & personal care businesses commenced in late April/early May. The distribution network also improved progressively during the quarter, with general trade and e-commerce channels gaining over modern trade due to heightened social distancing concerns.

Marico said that while the India business clocked sales above the annual average monthly run rate of FY20 during the quarter, the reported volume decline on a year-on-year basis will be in low teens, given the very significant skew of revenues (c.31% of annual sales) and high base in the first quarter of the last year. With the Q1 top line translating into a single digit growth over the annual run rate of FY20, the company expects to bounce back to posting volume and value growth during the rest of the year.

International markets have also been disrupted either due to total or partial lockdowns. The international business witnessed a mid-single digit decline in constant currency terms in Q1, but should recover in the course of the year, as it is now clocking more than 100% of the FY20 monthly average top line, led by the Bangladesh business, the firm said.

While overall revenues have declined in double digits, a combination of benign input costs, aggressive cost control and rationalisation of A&P spends in few discretionary portfolios on a lower topline, will lead to expansion of operating margins compared to the corresponding quarter last year. However, for the balance of FY21, Marico expects operating margins to hold to a minimum of the previous year levels.

The company concluded that it will continue to drive sustained profitable volume-led growth over the medium term, through its focus on strengthening the franchise in the core categories and driving the new engines of growth towards gaining critical mass.

Shares of Marico rose 0.29% to Rs 358.60 on Friday.

On a consolidated basis, Marico's net profit fell 50.62% to Rs 199 crore on 7.02% decline in net sales to Rs 1,496 crore in Q4 March 2020 (Q4 FY20) over Q4 March 2019 (Q4 FY19).

Marico manufactures consumer products and services in the beauty and wellness space.

Powered by Capital Market - Live News

   Attention Investors : Prevent Unauthorized Transactions in your demat account --> Update your Mobile Number with your Depository Participant. Receive alerts on your Registered Mobile for all debit and other important transactions in your demat account directly from CDSL on the same day........issued in the interest of investors.
   Attention Investors : Prevent unauthorised transactions in your account Update your mobile numbers/email IDs with your stock brokers / Depository Participant. Receive information of your transactions directly from Exchange / Depositories on your mobile / email at the end of the day .... Issued in the interest of Investors.
   Attention Investors : KYC is one time exercise while dealing in securities markets - once KYC is done through a SEBI registered intermediary (broker, DP, Mutual Fund etc.), you need not undergo the same process again when you approach another intermediary.
   Attention Investors : No need to issue cheques by investors while subscribing to IPO. Just write the bank account number and sign in the application form to authorise your bank to make payment in case of allotment. No worries for refund as the money remains in investor's account."
Email ID: info@ssplwealth.com       Customers grievances : grievances@ssplwealth.com     Compliance officer : Mr.G Anand , anand@ssplwealth.com
Hit Count : 14626266
SEBI Regn.Nos : NSE/BSE-INZ000192638 | CDSL : IN-DP-262-2016  |  MCX : INZ000081736
Member IDs : NSE : 11221 | BSE : 6292 | CDSL : 12045000 | MCX : 12815 | AMFI Regn.No : 2662
Designed , Developed & Content provided by CMOTS INFOTECH.(ISO 9001:2015 certified) © Copyright 2011 All Rights Reserved. Saravana Stocks Pvt. Ltd