On a consolidated basis, Godrej Consumer Products posted a 12.78% increase in net profit to Rs 502.08 crore on a 10% rise in total revenue from operations to Rs 3055.42 crore in Q3 FY21 over Q3 FY20.
Profit before tax rose by 16% year on year to Rs 642.03 crore in Q3 FY21 over Q3 FY20. Current tax expense spiked 4.5% to Rs 115.47 crore in Q3 FY21 over Q3 FY20.The FMCG company's India business sales grew by 11% year on year. In Indonesia, sales growth was flat in rupee terms and declined by 2% in constant currency terms. This was impacted by adverse macroeconomic factors, the gradual recovery in a discretionary category like Air Fresheners, and higher competitive intensity in Wet Wipes
Africa, USA and Middle East sales grew by 17% year on year in constant currency terms while Latin America & SAARC sales grew by 35% year on year in constant currency terms.
Consolidated EBITDA grew by 13% year on year while EBITDA margins expanded 60 basis points to 23.5% in Q3 FY21.
In India, Godrej's household insecticides segment grew by 7% year on year. The company delivered strong growth in aerosols, electric formats and non-mosquito portfolio, but a soft performance in burning formats and personal repellents.
Soaps business delivered a second consecutive quarter of double-digit sales growth of 15% and the company continued to gain market share. The FMCG major said its launches in Health are scaling up well.
Hair Colours recorded a sharp recovery with growth of 14%, driven by an uptick in overall category growth as the company continued to gain market share.
Commenting on the business performance, Nisaba Godrej, chairperson and MD said, "We delivered a second consecutive quarter of double-digit, profitable sales growth. Consolidated sales grew by 10% and EBITDA grew by 13%. From a category sales perspective, Household Insecticides, Hygiene and Value For Money (which contributes to 81% of our global portfolio) grew by 14%. Household Insecticides grew by 5%, Hygiene grew by 19% and Value For Money grew by 22%. From a geography sales perspective, India grew at 11%. Our Africa, USA and Middle East business continued its robust growth trajectory, growing at 15% in INR and 17% in constant currency terms. Our Indonesian business delivered a soft performance; 0% sales growth in INR and 2% decline in constant currency terms. We remain confident of leveraging growth opportunities and continuing this double-digit sales momentum in the medium term.
She further added, Going forward, we will continue to focus our efforts where the demand is - in Household Insecticides, Hygiene, and Value For Money. We are investing behind consumer centric innovations and focusing on serving consumers at all price points. Across channels too, we are making a shift, doubling down on digitisation and channels like e-commerce and chemists. We are also strengthening our supply chain operations and distribution capabilities.
The FMCG company's total debt reduced by 43.3% to Rs 1997 crore as of 31 December 2020 from Rs 3526 crore in 31 December 2019. Cash and Cash & Equivalents stood at Rs 972 crore at the end of 31 December 2020 as against Rs 1535 crore at the end of 31 December 2019.
Meanwhile, the Board of Directors of the company decided not to declare any interim dividend. The earlier record date and payment date which was intimated by the company now stands cancelled.
Godrej Consumer Products is an Indian consumer goods company. The company's products include soap, hair colourants, toiletries and liquid detergents.
Shares of Godrej Consumer Products were down 1.12% at Rs 740.95.
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