While Marico has seen a slight improvement in rural consumption over the last two to three quarters, urban consumption, driven by e-commerce, quick commerce, and modern trade, remains relatively strong.
Marico’s premium personal care and digital brands, catering to higher-end consumers, are not showing signs of stress.
Yet, some pressure exists in the mid-market, where Marico’s mass food brands and other home and personal care (HPC) products are focused.
Marico’s food business is more profitable than its Saffola edible oils. The company plans to expand the food segment to increase its share to 50% of the Saffola franchise, up from the current 30%.
Over the next five years, Marico expects its food business to outgrow its edible oil segment.
Also Read | Marico Q2 Results: FMCG giant’s net profit jumps 20% to ₹433 crore
The FMCG company reported an over 20% increase in consolidated net profit to ₹433 crore for the quarter ending September 2024, according to its exchange filing on October 29.
Total income for the quarter rose to ₹2,746 crore, compared to ₹2,514 crore a year earlier, while revenue from operations increased by nearly 8% to ₹2,664 crore.
Marico’s market capitalisation stands at approximately ₹84,287.75 crore, with its shares gaining nearly 23% over the past year.
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