Godrej Consumer Products Ltd. on Friday reported net profit of Rs. 244.27 crore for the June 30 quarter, which is more than double the net profit of Rs. 116.72 crore the company posted in the year-ago quarter.
However, net profit declined sequentially by 21.12 percent from Rs. 310.07 crore for the quarter ended March 31, 2016.
Consolidated revenues stood at Rs. 2,122.77 crore, a growth of 6.78 percent from the corresponding quarter last year. Revenues fell by 6.4 percent from Rs. 2269.07 crore sequentially.
EBITDA (Earnings before interest, tax, depreciation and amortisation) rose by 20 percent yearly to Rs. 380 crore.
"During the first quarter of fiscal year 2017, the consolidated sales of our business increased by 9%, and EBITDA by 20%, in constant currency terms," Adi Godrej, chairman of Godrej Group, commented on the quarterly earnings.
The company declared an interim dividend of Re. 1 per share for the financial year 2016-17. The earnings per share stood at Rs. 7.17 for the April-June 2016 quarter.
Godrej also stated that sales were affected by slow growth in consumer goods sector worldwide and unfavourable weather conditions in locations where the company operates. Godrej Consumer Products cater to segments like home care, personal care and hair care. India, Indonesia and Africa are the three major markets where the company is operating currently.
Geographical segment wise, Godrej Consumer Products posted the highest year-over-year sales growth of 46 percent in Africa, followed by 7.5 percent in Indonesia. In Europe, the company's revenues declined by 10.27 percent to Rs. 266.36 crore for the quarter under review.
In India, the company's sales growth was flat at Rs. 1063.97 crore for the June 2016 quarter compared to Rs. 1063.39 crore in the June 2015 quarter.
"Our India business gross sales, excluding Household Insecticides, increased by 7%," Adi Godrej added.
Adi Godrej attributed the higher year-over-year profits to "judicious cost control" and "commodity tailwinds."
Shares of Godrej Consumer Products Ltd. fell by 2.34 percent to Rs. 1596.80 apiece on the Bombay Stock Exchange on Friday.
