Kolkata, August 04, 2018: Kolkata-based Emami Ltd has posted a sharp jump in its consolidated net profit to ₹26 crore for the first quarter of FY19, against ₹89 lakh in the same period last year.
According to NH Bhansali, Emami’s CEO – Finance, Strategy and Business Development, and CFO, the growth appears steep on the lower base of profits last year. The revenues and profits in Q1 FY18 were adversely impacted by heavy destocking in the domestic market due to the implementation of GST.
“Last year’s base was low; however, the overall performance has been good in the first quarter this year with a 16 per cent growth in volume sales across most brands,” Bhansali told BusinessLine.
Revenues increased by 14 per cent to ₹614 crore (₹539 crore). Post GST rollout, revenue from operations is disclosed net of GST. Accordingly, the revenue from operations and other expenses for the June quarter in FY19 is not comparable with the previous year period, the company said in a note to the bourses according to thehindubusinessline.com.
On a like-to-like basis, there has been a 19 per cent growth in turnover, the company said. Domestic business grew 21 per cent with major brands like Navratna, pain management range, male grooming range and healthcare posting strong volume led growth. While wholesale channel saw some recovery, direct rural channel and modern trade continued their growth trajectory, the company said in a press statement.
On a standalone basis, net profit increased to ₹40 crore during the quarter under review as compared to ₹6 crore in the same period last year. Revenues (on standalone basis) grew 15 per cent to ₹575 crore (₹498 crore).
