Marico Shines with Strong Revenue Growth Amid Inflationary Pressures

Marico Ltd reported a 5.18% increase in net profit for the December 2024 quarter, driven by robust domestic and international performance. Despite inflationary pressures affecting margins, the company's revenue grew significantly, aided by volume growth and strategic price hikes across its core portfolios.

Marico Ltd, a prominent player in the FMCG sector, recorded a notable 5.18% rise in consolidated net profit, reaching Rs 406 crore for the December 2024 quarter. This growth comes as a result of improved domestic volumes and strong international business performance.

Compared to last year's Rs 386 crore net profit for the same period, Marico's consolidated revenue soared by 15.35%, amounting to Rs 2,794 crore. The company attributed this growth to a 6% volume increase in its India operations and a 16% constant currency growth in its overseas markets.

However, rising costs in copra and vegetable oil led to a contraction in gross margins, only partially offset by strategic pricing in key portfolios. Despite these challenges, Marico's expenditure on advertising and promotions rose by 19% YoY, with EBITDA reaching a 4% increase.

(With inputs from agencies.)