Marico forecasts double-digit profit growth for Q4
Marico expects double-digit operating profit growth in the fourth quarter. Stable consumer demand and lower raw material costs are driving the improved outlook.
Consumer goods major MARICO LTD announced on Thursday that it anticipates achieving double-digit year-on-year growth in operating profit for the fourth quarter. The company attributed this performance to stable consumer demand and a gradual recovery in consumption across various categories following several quarters of subdued interest in urban areas of India following reductions in goods and services tax in September.
The firm expects consolidated revenue to expand in the low twenties percentage range for the quarter ended March 31. Gross margins are also projected to improve sequentially, primarily supported by softening prices for copra, a critical raw material. Shares of the company climbed 2.5% following the announcement. Marico reported a 20% rise in consolidated revenue to 27.30 billion rupees in the fourth quarter of the previous year, providing a strong base for current expectations.
