Godrej Consumer Q4 net zooms 73% to R334 crore

Written by feBureau | Mumbai | Updated: May 1 2013, 09:09am hrs
Consumer products maker Godrej Consumer Products (GCPL) reported a 73% increase in consolidated net profit at R334 crore for the January-March period, compared with R192.6 crore in the corresponding period last year. This included a one-time gain of R129 crore from the divestment of its non-core foods business.

Without the exceptional gain, the companys profit rose 19% to R205 crore for the fourth quarter. However, GCPL saw a decline in operating profit margin, which fell 290 basis points y-o-y to 16.3% for the quarter ended March.

The company, which makes HIT insecticides and Cinthol soaps, clocked in 30% higher revenue at R1,716 crore for the fourth quarter, from R1,323 crore in the corresponding period last year. This was aided by a volume growth of 4% in the soaps segment. GCPL had a flat volume growth for the segment in the preceding quarter.

Similar to other FMCG companies, GCPL passed on the effect of lower raw materials costs to consumers, during the quarter.

The FMCG growth story is strong. We are not experiencing any kind of slowdown in consumer demand. We are seeing good signs in the first quarter as well, the companys chairman, Adi Godrej, said.

GCPLs expenditure on advertising and publicity rose 48% to R162.6 crore. GCPL shares fell 2% to R836.3 on Tuesday on the BSE.