 "Amway India loss doubles to Rs 52.78 cr in FY24, sales flat at Rs 1,284 cr")
Direct seller Amway India Enterprises has reported widening of net loss to Rs 52.78 crore, while revenue from operations stood at Rs 1,283.75 crore in FY24.
Its total income, which includes other income, was marginally up 0.7 per cent to Rs 1,293.97 crore in the financial year ended March 2024, according to the RoC (Registrar of Companies) filing by the firm.
Amway India had reported a net loss of Rs 21.72 crore and revenue from operations at Rs 1,278.69 crore a year ago, according to financial data accessed through business intelligence platform Tofler.
The 'advertising promotional expenses' in FY24 were down 25.5 per cent to Rs 61.03 crore in FY24, as against Rs 81.93 crore a year ago.
However, the royalty paid to its US-based parent firm was up 4.06 per cent to Rs 65.74 crore in FY24. This 'cost royalty' was at Rs 63.17 in the financial year ended March 2023.
The company, however, in a statement said:"We would like to clarify that no royalty has been paid to the parent company in FY 2024, it has only accrued in the books of account of Amway India for FY 2024." Amway India Enterprises is a wholly-owned subsidiary of Ada, Michigan, US-based Alticor Global Holdings Inc., which is one of the largest direct-selling companies in the world.
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Total expenses of Amway India Enterprises were at Rs 1,347.37 crore, down 1.64 per cent in FY'24.
In FY'24 Amway India's revenue from 'Nutrition and Wellness' was at Rs 782.40 crore, up marginally as against Rs 779.75 crore a year ago.
However, its revenue from 'personal care' and 'home care' were down at Rs 219.04 crore and Rs 123.57 crore, respectively.
Similarly, its revenue from the 'beauty' segment was down almost 13 per cent to Rs 109.76 crore. This was at Rs 126.14 crore a year ago in FY23.
Its revenue from 'cookware' and 'atmosphere drive' was down over 50 per cent to Rs 8.17 crore and Rs 3.78 crore, respectively.
A company spokesperson in a statement said: "Like any organization pursuing its growth journey. Amway India too has gone through challenges that impacted its business, but we are progressing according to our plans." Amway India holds an important position as a business market for Amway globally. We are positive about its future in India with a focus on health and well-being, the spokesperson said, adding that the direct seller is "committed" to the Indian market.