FMCG major Emami Ltd on Thursday reported nearly 28 percent fall in its consolidated net profit to Rs 60.23 crore for the quarter ended March 31, 2018 from Rs 83.32 crore for the year-ago period.
During the period under review, the company’s revenue from operations clocked over seven per cent year-on-year growth at Rs 616.98 crore, as compared to Rs 575.86 crore during corresponding period of previous fiscal.
On the financial front, EBIDTA at Rs 173.3 crore declined by three per cent due to aggressive spends on new launches which increased by 3.2 times at Rs 19.6 crore.
“Profit after tax at Rs 60.2 crore, however was impacted on account of writing off MAT credit entitlement of Rs 14 crore. Gross margins stood at 65.2 per cent and EBIDTA margins at 28.1 per cent in fourth quarter of FY18,” the company said in a statement.
“While Q4 witnessed a good growth, we expect the momentum to continue in FY19. With GST stabilisation, normal monsoon expectation coupled with higher government spending, FMCG is poised for a good growth. Strategic investment in upcoming growth segments through start-ups will help the company to grow further in years to come,” Harsha V. Agarwal, company’s Director said.
Director Mohan Goenka said the company increased its direct reach to 8.5 lakh outlets, which will help in reducing its dependency on wholesale channel. International business has achieved a growth of 37 percent.