Page 4 - Fmcg Sector

Rural demand lifts FMCG sector to 5.7% growth in July-Sept: NielsenIQ

Rural volume growth 'surpasses' urban markets for the third straight quarter, according to consumer intelligence firm

From Reliance to Unilever, firms worried about low consumer demand in India

At least 7 of India's largest companies, including RIL's retail arm and consumer bellwether Hindustan Unilever Ltd., have flagged softer consumption demand and a challenging operating environment

Marico Q2 result: Net profit rises 20% to Rs 433 cr, revenue at Rs 2,664 cr

Homegrown FMCG major Marico Ltd on Tuesday reported an increase of 20.27 per cent in consolidated net profit to Rs 433 crore for the September quarter. It had posted a net profit of Rs 360 crore in the July-September quarter a year ago, Marico said in a regulatory filing. Its consolidated revenue from operations was up 7.6 per cent to Rs 2,664 crore during the quarter under review. It was at Rs 2,476 crore a year ago. Total expenses of Marico, which owns popular brands like Saffola, Parachute, Livon, etc, increased 7.65 per cent in the September quarter to Rs 2,194 crore. Marico's total income, which includes other income, was up 9.22 per cent to Rs 2,746 crore. Domestic revenue of the Harsh Mariwala-led company was up 8.02 per cent to Rs 1,979 crore. Similarly, its revenue from the international market was up 6.36 per cent to Rs 685 crore. There is a "sequential uptick in growth in the domestic business" and the "international business continues robust show", said Marico in it

Rural demand rises but urban areas 'slow down'; will it impact GDP growth?

While rural demand has shown an uptick, rising food inflation and a slowdown in credit growth pose challenges, potentially dampening the country's growth in the second quarter of 2024-25

FMCG index slips 3% on weak Q2 results; HUL tanks 8%, Nestle hits 52-wk low

In the past one month, the FMCG index has tanked nearly 11 per cent, as against 6 per cent decline in the BSE Sensex.

RBI's caution against inflation may halt rally in FMCG stocks: Analysts

FMCG companies: RBI Governor Shaktikanta Das pointed out that core inflation, which excludes food and fuel prices, was on an uptrend in July and August

Predatory pricing, deep discounting by Q-Commerce to impact brands: AICPDF

Deep discounting by quick commerce firms impact brand value, AICPDF told the FMCG industry, suggesting that they closely monitor and evaluate effects of these hyper delivery platforms, their distribution and retail networks. In an open letter, All India Consumer Products Distributors Federation (AICPDF) asked FMCG companies to "ensure fair practices that do not alienate or undermine" their existing distributor and retail base. "Over the past few months, we have observed an alarming trend of predatory pricing and deep discounting practices by quick commerce platforms," the association, which claims to be representing about eight lakh FMCG distributors, said. These practices "not only undermine the integrity of the established distribution network but also erode brand value" by creating unrealistic consumer expectations around pricing, it said. Moreover, "distributors and retailers are facing the brunt of these unfair pricing models" AICPDF said, asking FMCG companies to "intervene t

Nifty Pharma, FMCG indices range-bound; Check support and other levels here

The Nifty Pharma Index is currently trading in a defined range between 23,700 and 22,700. This suggests that the market is experiencing indecision, with neither buyers nor sellers dominating.

Reliance to invest Rs 3,900 crore in FMCG arm to boost market position

Reliance plans to invest Rs 3,900 crore in its fast-moving consumer goods division, aiming to capture a larger share of the Indian FMCG sector, projected to exceed $1.4 trillion by 2027

Colgate, Pidilite, Britannia among Nuvama's top consumer bets; here's why

According to Nielsen, the consumer sector grew 4% Y-o-Y in Q1FY25, down from 6.6% in Q4FY24. Pricing saw a marginal increase of approximately 0.2 per cent, while volumes rose 3.8% Y-o-Y.

FMCG players expect volume trends to sustain as demand rises in rural mkts

Fast-moving consumer goods (FMCG) companies expect to sustain volume growth in the coming quarters, buoyed by recovery of demand in rural markets and good monsoon, despite concerns over growing food inflation. FMCG majors, including HUL, ITC, Dabur, Britannia, Nestle and Emami, in their June quarter earnings have reported 'green shoots' from the rural markets and strong growth from e-commerce channels, particularly from quick-commerce platforms. The industry had around 6.6 per cent volume growth in the April-June period of this fiscal. However, companies are worried about elevated food inflation as coffee and cocoa prices have gone up unprecedently. Amid expectations of an increase in cereals and grains prices, some of the players have even indicated price hikes. Dabur CEO Mohit Malhotra said, "Going forward, the volume will increase on the back of rural inching up for us. So I expect the subsequent quarters to be better than our existing quarters, but definitely not worse." He ...

Mamaearth parent net profit rises 62.7% to Rs 40.2 crore in Q1 FY25

In Q1 FY25, Honasa registered product business growth of 20.3 per cent, with underlying volume growth (UVG) of 25.2 per cent

Britannia Industries is gearing up for regional challenge: Varun Berry

The company has increased its rural distribution and now has up to 30,000 rural distributors

HUL sees profit booking after Q1FY25 results beat estimates; down 3%

Analysts said HUL is already at a 52-week high and has seen a sharp up move in the past two months. Thus, they believe that some profit booking in the near term is possible.

Viksit Bharat Budget 2024: ITC jumps 5% as govt keeps sin tax unchanged

The stock price of cigarettes-to-hotels conglomerate was trading at its highest level since July 2023 and was 2 per cent shy from its record high level of Rs 499.60 touched on July 24, 2023.

Zydus Wellness stock jumps 5%; hits 2-year high on hopes of demand recovery

The management sees encouraging signs of industry recovery, with inflation stabilising and margins poised for improvement.

HUL Q1 preview: FMCG major may see volume-led growth in June quarter

Earlier this week, Hindustan Unilever approved the sale of its water purification business to AO Smith India for an Enterprise Value (EV) of Rs 601 crore or $72 million.

Budget 2024: FMCG sector seeks more spending in rural areas to push demand

Ahead of the Union Budget, the consumer sector is calling on the govt to enhance both rural and urban infra, create a more business-friendly environment, and prioritise measures to boost demand

Dabur India gains 4% in subdued market post June quarter business update

Recovery in rural markets should support Dabur's portfolio, as it is heavily skewed toward rural areas, said brokerages.

Patanjali Foods to buy Patanjali Ayurved's non-food biz for Rs 1,100 cr

Baba Ramdev-led Patanjali Ayurved has decided to sell its home and personal care business to listed group firm Patanjali Foods Ltd for Rs 1,100 crore. The acquisition will help edible oil firm Patanjali Foods to become an FMCG company. In a regulator filing, Patanjali Foods informed that the board has approved the "acquisition of the entire non-food business undertaking i.e. hair care, skin care, dental care and home care carried out by Patanjali Ayurved, including but not limited to all movable assets, immovable properties, contracts, licenses, books and records, employees and certain assumed liabilities of PAL through a slump sale arrangement on a going concern basis". This is subject to the approval of shareholders, lenders and other necessary approvals. The deal will accelerate the company's transition into a leading FMCG company, Patanjali Foods said. The home and personal care business of Patanjali Ayurved currently has strong brand equity in India's FMCG space and enjoys a