Marico net profit rises 13% on strong domestic volumes in Q3

FMCG firm Marico Ltd on Wednesday reported a 13.04 per cent increase in consolidated net profit to Rs 312 crore for the quarter ended December 2020.

The company had posted a net profit of Rs 276 crore in the October-December quarter a year ago.

Revenue from operations of the company went up by 16.33 per cent to Rs 2,122 crore during the quarter under review as compared to Rs 1,824 crore in the corresponding period of the previous fiscal, Marico said in a BSE filing.

Marico said in Q3FY21, revenue from operations grew on the back of a strong domestic volume growth of 15 per cent and a constant currency growth of 8 per cent in the international business. In the India business, the company witnessed robust demand trends across more than 95 per cent of its portfolio amidst steadily improving consumer confidence and a declining COVID-19 graph, the firm said. "Traditional trade led the growth... The company also continued to operate at reduced distributor inventory levels. Among the alternate channels, e-commerce witnessed augmented growth and modern trade also recovered sequentially to end flattish on a yearon-year basis," it said. The FMCG major said during the quarter, as key raw materials witnessed inflationary trends, the company increased effective consumer pricing in select portfolios, while continuing to absorb the cost pressure to a certain extent.