FMCG maker Marico Ltd posted a 15 per cent increase in consolidated net profit for the quarter ended June at ₹427 crore against ₹371 crore clocked in the same quarter last year.
The company also reported a 41 per cent increase in profit against ₹302 crore reported during the March quarter.
Revenue from operations dipped 3.16 per cent at ₹2,477 crore against ₹2,558 crore clocked in the same quarter last year. The revenue increased by 10.58 per cent against ₹2,240 crore reported in the March quarter.
The company said the price cuts in key domestic portfolios and currency headwinds in international markets led to subdued revenue growth.
A 3 per cent volume growth was reported in the domestic business while the international business saw a 9 per cent constant currency growth.
Parachute Rigids posted a 2 per cent volume decline, value-added hair oil registered a flat quarter due to a slow recovery in mass personal care categories while Saffola Edible Oils registered a low double-digit volume growth. The food segment saw a 24 per cent value growth year-on-year.
Marico said its food and premium personal care segment is on course to contribute 20 per cent of domestic business by FY24. The India business delivered a turnover of ₹1,827 crore, down 5 per cent on a year-on-year basis.
In the international business, Bangladesh clocked 9 per cent constant currency growth, Vietnam registered 5 per cent while the Middle East and North Africa (MENA) delivered 15 per cent and South Africa grew 37 per cent for the quarter. Exports grew 24 per cent.
“The year has started on a mixed note with domestic volume growth marred by one-offs, while the international business was resilient in a challenging environment. However, we remain confident of an improving trajectory of growth in the domestic business and sustained momentum in the international business. We have delivered robust margin expansion on the back of a softening input cost environment and expect to deliver healthy profitability this year. We will continue to drive sustainable and profitable volume-led growth by maintaining focus on our strategic priorities of diversification, go-to-market transformation, digital capability building, and fostering an inclusive organizational culture,” said Saugata Gupta, MD & CEO of Marico Ltd.