Marico's Double-Digit Growth Ambition Fueled by Diversification and Resilience

Marico's CEO Saugata Gupta outlines the company's growth strategy for FY25, emphasizing double-digit revenue aspirations aided by price hikes and volume growth. Despite inflationary pressures on input costs, Marico aims for a 20% operating margin. The company is expanding in the food segment and boasts strong international performance.

In an optimistic forecast for financial year 2025, Marico's Managing Director and CEO, Saugata Gupta, expressed confidence in achieving a double-digit revenue growth driven by strategic price hikes and improved volume. He emphasized that the company's growth trajectory remains robust, underpinned by consistent quarterly volume escalations.

Despite challenges posed by inflation on material inputs, Gupta assured stakeholders of an expected operating margin of around 20 percent, thanks to an efficient cost management framework. Gupta revealed Marico's intensified focus on the food sector as part of its diversification strategy, registering an annual recurring revenue of Rs 1,000 crore from this venture over the last two quarters.

Gupta highlighted Marico's digital business success, noting low cash burn for its scaled digital brands. Despite global economic headwinds, the international segment reported double-digit growth in constant currency terms. He also credited tax incentives for improving consumer sentiment, contributing to hopeful signs of recovery in urban consumption.

(With inputs from agencies.)