Marico’s shares surged by 3.24 per cent in Friday’s trading session following the release of its quarterly business update for the March quarter. The company reported that FMCG demand remained steady during the quarter, similar to previous quarters, with urban and rural consumption patterns largely aligning.
In Q4 FY24, the domestic business experienced a slight increase in volume growth compared to the previous quarter, driven by stabilising trends across most portfolios. Parachute Coconut Oil saw modest single-digit volume growth, attributed to the ongoing shift from loose to branded products amidst rising copra prices, as anticipated.
However, value-added hair oils faced challenges during the quarter due to a high base effect and continued sluggishness in the bottom of the pyramid segment. The foods segment maintained its consistent performance, achieving approximately four times its scale in FY20, while digital-first brands sustained robust growth, meeting the company’s diversification goals for the year.
Looking ahead, Marico expects a gradual improvement in the growth of its core categories, supported by ongoing initiatives aimed at enhancing profitability. The company plans to aggressively expand its portfolio through the accelerated growth of foods and digital first brands while focusing on improving profitability parameters in line with its medium term strategic priorities.
Internationally, Marico’s business witnessed double-digit constant currency growth, driven by Bangladesh’s recovery from temporary challenges and sustained positive momentum in other markets.
