FMCG major Emami on Thursday reported a 17.22 per cent year-on-year rise in its consolidated net profit to ₹210.99 crore for the second quarter this fiscal from ₹179.99 crore for the same period last fiscal.
The Kolkata-based company’s revenue grew 2.97 per cent y-o-y at ₹890.59 crore for the second quarter compared to ₹864.87 crore for the corresponding period of Q2FY24, according to a stock exchange filing.
The company, in a statement, said at a macro level, the quarter brought its share of challenges, with demand trends aligning closely with those seen in the first quarter. Persistent high food inflation continued to weigh on mass consumer spending. Internationally, political unrest in key markets, including Bangladesh, created some temporary disruptions.
In the given context, the company’s overall revenue grew by around 3 per cent with domestic business growing by 2.6 per cent, the FMCG maker said, adding major brands Navratna, Dermicool and Healthcare range and Pain Management range performed well.
In the Q2FY25, gross margins increased by 60 basis points to 70.7 per cent, while EBITDA grew by 7 per cent to ₹250 crore, with margins expanding by 110 basis points to 28.1 per cent.
Harsha V Agarwal, Vice Chairman and Managing Director, Emami Ltd, said, “Our international business demonstrated resilience despite geopolitical challenges, delivering double-digit growth, excluding Bangladesh. Besides good performance of our existing brands, strategic investments and the recent launch of 11 new domestic products are set to boost consumer confidence and drive double-digit revenue growth in the second half.”
Agarwal said for H2FY25, the company expected stronger offtakes driven by improved rural demand and stable seasons ahead.
Mohan Goenka, Vice Chairman and Whole-Time Director, said, “Organised channels like Modern Trade, e-Commerce, and Institutional sales now contribute 26.6 per cent to our domestic business, a 190-basis point increase in the first half. We remain committed to achieving high single-digit revenue growth and double-digit EBITDA growth for FY25.”
The board of directors declared an interim dividend of 400 per cent, amounting to ₹4 per share for this fiscal.