Godrej Consumer Products Q3 profit rises 3.55% to Rs 546.34 crore

Godrej Consumer Products Ltd on Tuesday reported a 3.55 per cent rise in consolidated profit after tax at Rs 546.34 crore in the third quarter ended December 31, 2022.

The company had posted a consolidated profit after tax of Rs 527.6 crore in the same period last fiscal, Godrej Consumer Products Ltd (GCPL) said in a regulatory filing.

Consolidated total revenue from operations during the quarter under review stood at Rs 3,598.92 crore as against Rs 3,302.58 crore in the year-ago period, it added.

Total expenses were higher at Rs 2,969.52 crore as compared to Rs 2,714.32 crore in the same quarter a year ago, the company said.

"We delivered an all-round performance in 3Q FY 2023. Overall sales grew by 9 per cent and we witnessed a sharp sequential uplift in underlying volume growth," GCPL Managing Director and CEO Sudhir Sitapati said.

The company had broad-based growth across geographies with India delivering double-digit sales growth of 11 per cent, he said, adding Africa, USA and Middle East business continued its strong growth trajectory, growing at 14 per cent in rupee terms and 23 per cent in constant currency terms.

"Performance in our Indonesian business is gradually recovering, declining by 3 per cent in rupee and constant currency terms," Sitapati added.

On the outlook, he said,"With commodity pressures abating, we expect gradual recovery in consumption, expansion in gross margins, upfront marketing investments with a significant focus on reducing controllable costs and improvement in profitability in the coming quarters."

GCPL continues to have a healthy balance sheet and are also net cash positive, Sitapati said, adding,"we are on track in our journey to reduce inventory and wasted cost and are deploying this to drive profitable and sustainable volume growth across our portfolio through category development.