Marico had a great third quarter! Their net profit went up 13.3% to ₹460 crore compared to last year. This happened because their income grew, their product categories are doing better, and their food and online businesses are still going strong. This shows their business model is working since they’re still able to expand and make money in India’s changing consumer and direct-to-consumer market.
During the quarter, their income from operations jumped 26.6% to ₹3,537 crore. This is because they sold more products and things are getting better in important areas. If you include other income, their total consolidated income was ₹3,576 crore, which is up 26.09% from last year. This increase in income proves that Marico can be big and adaptable at the same time, even when the market is changing.
Saugata Gupta, the Managing Director and CEO of Marico, said that the company’s results show they’re consistent and have a smart plan. He said that the Indian business had big increases in sales and income because their main product categories are doing better and their food and online businesses are expanding and making money. These are still important for the company’s plan.
In the last few years, Marico has been paying attention to creating growth engines for the future. Their food and online brands are now making important contributions to their business. These areas are getting better because people want higher-quality products, they’re more involved with the company, and more people are buying directly from them. This fits with how consumers in India are changing.
The quarter’s results also show that Marico can handle cost issues by finding cheaper sources, adjusting prices, and making their operations more efficient. Even though costs have been high recently, the company thinks their profits will get better as costs decrease. This will happen because they’re selling more products and their operations are becoming more efficient.
Marico’s ongoing spending on building their brand, coming up with products, and distributing them through multiple channels has helped them stay strong in India’s competitive FMCG and D2C market. The company has been working hard to make their online brands stronger and reach more people through stores, online shopping, and direct-to-consumer platforms. This allows them to grow in both cities and smaller towns.
Looking forward, the company is sure they can keep selling more products. The management thinks that the improving economy, decreasing costs, and the continued success of their food and online businesses will help them have consistent income growth in the coming quarters. They’re focused on being disciplined, making profitable growth, and expanding businesses that are in line with long-term consumer trends.
Because investors are confident in the company’s future, Marico’s shares closed at ₹745.90 on the BSE, up 0.67% from the previous day.
As India’s D2C market gets more developed, Marico’s combination of size, brand strength, and online execution puts them in a good position to participate in the next stage of consumer growth. The company’s Q3 results confirm that they’re one of India’s most tough and forward- consumers businesses, with strong basics and a clear plan.
