Godrej Consumer Q1 net profit rises 5% to Rs 414 cr; revenue up 24%

FMCG major Godrej Consumer Products Ltd (GCPL) on Wednesday reported a 4.75 per cent rise in its consolidated net profit to Rs 413.66 crore for the first quarter ended June 2021.

The Godrej group company had posted a net profit of Rs 394.88 crore in the April-June quarter a year ago.

Its net sales during April-June jumped 23.87 per cent to Rs 2,862.83 crore, compared with Rs 2,311.17 crore in the year-ago period, GCPL said in a BSE filing.

The company's total expenses were at Rs 2,372.65 crore, a 21.53 per cent jump as against Rs 1,952.31 crore a year ago.

GCPL Chairperson and Managing Director Nisaba Godrej said, "We saw strong double-digit sales growth in the home care and personal care categories. Home care grew by 14 per cent and personal care rose 29 per cent. The sub-categories within home care and personal care saw broad-based growth."

The company's India revenue increased 20.28 per cent to Rs 1,660.65 crore in the June 2021 quarter, against Rs 1,380.65 crore in the year-ago period.

In the first quarter of FY22, its India sales saw a volume growth of 15 per cent, GCPL said in a post-earning statement.

Revenue from the Indonesian market was up 1.43 per cent to Rs 411.47 crore, compared with Rs 405.64 crore a year ago.

While GCPL's revenue from Africa market (including 'Strength of Nature') was up 58.74 per cent at Rs 694.23 crore as against Rs 437.33 crore a year ago.

Revenue from other markets was also up 25.48 per cent to Rs 159.72 crore in the first quarter of 2021-22 as against Rs 127.29 crore.

"Our Africa, USA and Middle East business continued its robust growth trajectory, growing at 59 per cent in Indian rupee and 60 per cent in constant currency terms.

"Our Indonesian business grew one per cent in Indian rupee while growth in constant currency terms remained flat," said Nisaba Godrej.

On the outlook, she said, "Going forward, we will continue to focus our efforts where the demand is in home care and personal care in household insecticides, personal wash and hygiene, and hair care. We have a robust pipeline of consumer-centric innovations and are building out full portfolios across price points."

At the same time, GCPL is also strengthening its supply chain operations and distribution networks.

"We are also ramping up digital capabilities and new channels like e-commerce and chemists.

"We remain confident of leveraging growth opportunities to drive sustainable, profitable sales growth across our portfolio in the financial year 2022," Nisaba Godrej said.

Shares of Godrej Consumer Products Ltd on Wednesday settled at Rs 988.75 on BSE, down 2.73 per cent from the previous close.