Healthy growth outlook keeps market experts bullish on Marico's stocks

The company aims at double-digit growth, driven by improving growth in core segments, rapid scaling of new-age businesses, and steady gains in international markets

Most fast-moving consumer goods (FMCG) majors have struggled to maintain growth amid weak urban consumption. However, Marico has a coherent growth and product diversification strategy, which may lead to outperformance going forward.

 

In Q3FY25, consolidated gross margin contracted 180 bps year-on-year (Y-o-Y) to 49.5 per cent due to inflationary pressure with copra prices up 38 per cent Y-o-Y and rice bran oil up 19 per cent. Earnings before interest, taxes, depreciation, and amortisation (Ebitda) margin contracted 210 bps to 19.1 per cent Y-o-Y. Adjusted profit after tax (PAT) grew 4 per cent Y-o-Y.

 

The company aims at double-digit growth, driven