Marico expects revenue growth in fourth quarter aided by price cuts

Aided by price cuts in the domestic market, fastmoving consumer goods (FMCG) maker Marico is expecting growth in consolidated revenue in the fourth quarter. It also sees domestic revenue growth outpacing volume growth in the quarters ahead.

The company stated that it is moving back into positive territory after three quarters with consolidated revenue growth in the low single digits.

“Amidst the backdrop of improving macroindicators, we expect a gradual uptick in the growth of our core categories through the ongoing initiatives to enhance the profitability of our general

The company also expects strong gross margin expansion

trade (GT) channel partners and focused investments towards a transformative expansion in our direct reach footprint across urban and rural outlets over the next couple of years. We will continue our focus on driving differential growth in our urbancentric and premium portfolios through organised retail and ecommerce channels. We will continue to aggressively diversify the portfolio through the accelerated scale up of foods and digitalfirst brands and improve profitability parameters in line with our mediumterm strategic priorities,” the company stated in an exchange filing.

INDIA BIZ

Marico’s India business witnessed a slight uptick in volume growth on a sequential basis owing to steadying trends. Parachute Coconut oil posted low singledigit volume growth while the Saffola oil delivered midsingledigit volume growth.

The FMCG maker stated that it is expecting strong gross margin expansion on a yearonyear basis and is expecting a low doubledigit operating profit growth on the back of a healthy expansion in operating margin.

The international business grew with doubledigit constant currency growth led by Bangladesh bouncing back from transient headwinds.