Godrej Consumer reports 11% rise in Q2 net profit at Rs 458.02 crore

Godrej Consumer Products (GCPL) on Thursday reported an 11% year-on-year (y-o-y) increase in its net profit at Rs 458.02 crore for the quarter ended September 30 on the back of higher sales.

The company’s consolidated revenue from operations increased by 11% y-o-y to Rs 2,915.12 crore due to the growth witnessed across categories. The company reported an increase of 6% in household insecticides, while hygiene grew by 27% and value for money grew by 22%.

GCPL’s Ebitda for the quarter surged a good 19% y-o-y to Rs 672.66 crore aided by higher growth in sales. Ebitda margins at 23.7% expanded by 90 basis points y-o-y. In terms of the geographies, India grew at 11%. The company’s Africa, USA and Middle East business showed robust recovery, growing at 10% in both a constant currency and rupee terms. However, the Indonesian business delivered a soft performance, growing at 3% in constant currency and 5% in rupee terms. Latin America and Saarc sales grew by 41% in Rupee and 46% in constant currency terms, on a y-o-y basis.

“We delivered a strong performance this quarter with double-digit, profitable sales growth. Going forward, we will continue to focus our efforts where the demand is – in household insecticides, hygiene, and value for money. We are ramping up innovation and have launched several new products, strongly price-enabled, across geographies. Across channels too, we are making a shift; doubling down on digitisation and platforms like e-commerce and chemists. We are also strengthening our supply chain operations and distribution. Overall, the situation we are in calls for an extraordinary level of agility and resilience,” said Nisaba Godrej, chairperson and managing director, GCPL.