Godrej Consumer Q2 net profit rises 4.5% to Rs 479 cr, net sales up 9%

FMCG major Godrej Consumer Products Ltd (GCPL) on Thursday reported a 4.55 per cent increase in its consolidated net profit to Rs 478.89 crore for the second quarter ended September 2021.

The Godrej group company had posted a net profit of Rs 458.02 crore in the July-September quarter a year ago.

Its net sales during July-September 2021 jumped 8.63 per cent to Rs 3,143.61 crore as compared with Rs 2,893.86 crore in the year-ago period, GCPL said in a BSE filing.

GCPL's total expenses stood at Rs 2,579.45 crore, a jump of 10.97 per cent as against Rs 2,324.55 crore in the corresponding quarter.

Its Executive Chairperson Nisaba Godrej said, "We saw steady sales growth in home care and personal care categories. Home care grew five per cent and personal care continued its strong momentum, growing by 10 per cent. The sub-categories within home care and personal care saw broad-based growth."

Its India revenue jumped 9.46 per cent to Rs 1,838.14 crore in July-September, against Rs 1,679.19 crore in the corresponding quarter a year ago.

In the September 2021 quarter, India sales had a volume growth of four per cent, GCPL said in a post-earnings statement.

Revenue from the Indonesian market was marginally down to Rs 444.93 crore as compared with Rs 445.97 crore in the year-ago period.

GCPL's revenue from Africa (including Strength of Nature) market was up 14.81 per cent at Rs 748.54 crore, against Rs 652 crore a year ago.

Revenue from other markets was down 4.19 per cent to Rs 173.72 crore, compared with Rs 181.32 crore a year ago.

"From a geography perspective, India grew at 10 per cent. Our Africa, USA and Middle East business continued its robust growth trajectory, growing at 15 per cent in INR and 16 per cent in constant currency terms.

"Our Indonesian business saw flat growth in rupees, while it declined 2 per cent in constant currency terms," she said.

On the outlook, Godrej said that going forward, GCPL will continue to focus its efforts where the demand is in home care and personal care in household insecticides, personal wash and hygiene, and hair care.

"We remain focused on expanding our total addressable market. We have a robust pipeline of consumer-centric innovations and are building full portfolios across price points.

"To support this, we are strengthening our supply chain operations and ramping up new capabilities and channels in digital, e-commerce and chemists," Godrej said.

Shares of Godrej Consumer Products Ltd on Thursday settled at Rs 952.65 on the BSE, down 2.50 per cent from the previous close.