Emami's net profit up 10% in Q3

Fast moving consumer goods company Emami Ltd on Monday reported a 10 per cent increase in its consolidated net profit to Rs 147.19 crore for the quarter ended on December 31, 2017 as compared to Rs 134.34 crore in the year-ago period.

During the period under review, its revenue from operations after incorporating changes in accounting treatment of indirect tax was at Rs 842.39 crore, up by 10 per cent from Rs 766.08 crore in the corresponding period of 2016-17.

The city-headquartered company said while the wholesale channel is yet to return to normalcy post-GST, rural and retail segments are "shining and promise a good growth trajectory going forward".

On the financial front, EBIDTA (earnings before interest, taxes, depreciation, and amortisation) at Rs 265 crore grew by two per cent despite sustained investments in new launches.

"After a strong Q2 (second quarter), the company has registered a satisfactory volume growth as we end this quarter. Retail and rural business have bounced back and are growing in healthy double digits though the wholesale channel is still continuing to be under some pressure. International business has also performed well," company's Director Mohan Goenka said.

While company's domestic business grew by 10 per cent, the international business also grew by 16 per cent.

"Although global business environment remained volatile and challenging, the international business delivered a growth of 16 per cent in Q3FY18 (third quarter of 2017-18) led by CIS and MENAP regions," a company statement said.

Company's another Director Harsha V. Agarwal said: "With the GST streamlining falling in place, market sentiments are improving, both in urban and rural markets. We have delivered satisfactory performance in this quarter led by growth in winter skincare and wellness brands along with the pain management products."

He said firm's future growth path would be focused more on strong innovation, wider distribution and on future-ready areas such as modern trade and online marketplace.

--IANS

bdc/nks/rn


(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel