Tag: godrej consumer

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Tata Steel Reports 654% YoY Jump in Net Profit in Q2 – Top Indian Market News

Tata Steel Q2 Results: Net profit jumps 654% YoY to Rs 12,547 crore 

Tata Steel Ltd reported a 653.6% YoY jump in consolidated net profit to Rs 12,547.70 crore for the quarter ended September (Q2 FY22). Net profit increased 28% compared to the previous quarter. Its revenue from operations rose 54.8% YoY to Rs 60,282.8 crore during the same period. EBITDA jumped 182% YoY to Rs 15,566 crore. TSL’s total expenses stood at Rs 47,135.28 crore in Q2, an increase of 27.4% YoY.

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ZEEL Q2 Results: Net profit jumps 187% YoY to Rs 270 crore

Zee Entertainment Enterprises Ltd (ZEEL) reported a 187% YoY jump in consolidated net profit to Rs 270.2 crore for the quarter ended September (Q2 FY22). Its revenue from operations rose 15% YoY to Rs 1,978.8 crore during the same period. ZEEL’s subscription revenues fell 1.5% YoY to Rs 788.5 crore, while advertisement sales grew 20.7% YoY to Rs 1,089 crore in Q2. The company saw an addition of 13 million monthly average users during the July-September quarter of FY22. 

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Godrej Consumer Q2 Results: Net profit rises 5% YoY to Rs  crore

Godrej Consumer Products Ltd (GCPL) reported a 4.6% YoY increase in consolidated net profit to Rs 478.9 crore for the quarter ended September (Q2 FY22). Net profit increased 16% compared to the previous quarter. Its revenue from operations rose 8.5% YoY to Rs 3,163.6 crore during the same period. GCPL’s India business posted a revenue of Rs 1,838.14 crore in Q2, registering a growth of 9.5% YoY. Total expenses rose 11% YoY to Rs 2,579.45 crore.

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Piramal Ent Q2 Results: Net profit falls 32% YoY to Rs 426 crore

Piramal Enterprises Ltd (PEL) reported a 32.1% YoY decline in consolidated net profit to Rs 426.49 crore for the quarter ended September (Q2 FY22). Its revenue from operations fell 5.9% YoY to Rs 3,105.52 crore during the same period. PEL’s financial services business posted a 20.2% YoY decline in revenue to Rs 1,481.1 in Q2. The pharma business reported a revenue of Rs 1,621.42 crore, an increase of 12.5% YoY.  

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Berger Paints to hike prices by 10% from Nov 12

Berger Paints Ltd will hike product prices by 10% from November 12. The company has already revised its prices by 6-7% in the past few months following pressure of rising raw material costs. Berger Paints MD Abhijit Roy is optimistic that the company would cross Rs 8,000 crore turnover in the current financial year (FY22). 

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Page Industries Q2 Results: Net profit rises 45% YoY to Rs 160 crore

Page Industries Ltd reported a 44.76% YoY increase in net profit to Rs 160.48 crore for the quarter ended September (Q2 FY22). Its revenue from operations rose 46.43% YoY to Rs 1,084.01 crore during the same period. Total expenses stood at Rs 874.54 crore in Q2, an increase of 46.2% YoY. The company said its sales momentum has picked up significantly after setbacks of the Covid-19 pandemic.

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J Kumar Infra secures Rs 168 crore order for Navi Mumbai Metro Rail Project

J Kumar Infraprojects has received a Letter of Acceptance (LoA) for an order worth Rs 168 crore from Maharashtra Metro Rail Corporation (MMRL). The order consists of designing and constructing concrete & fabricated steel structures, architectural works, plumbing, and sewerage of six elevated metro stations for the Navi Mumbai Metro Rail Project.

Indiabulls Housing Finance Q2 Results: Net profit falls 11% YoY to Rs 286 crore

Indiabulls Housing Finance Ltd reported an 11% YoY decline in net profit to Rs 286 crore for the quarter ended September (Q2 FY22). Net profit increased 2% compared to the previous quarter. Its net interest income fell 7% YoY (or 16% QoQ) to Rs 625 crore during the same period. The company is on track to disburse Rs 1,000 crore of retail loans through co-lending in the October-Nov quarter (Q3).

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Zomato pulls out of all international markets except UAE

Zomato Ltd has shut down almost all its international businesses, including the United States, United Kingdom, Singapore, and now Lebanon. The company will continue to operate in the United Arab Emirates (UAE), but as a dining-out business and not a food delivery one. India is the biggest market for Zomato in terms of revenue, followed by the UAE.

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IPO Updates:

The Rs 2,073.25 crore initial public offering (IPO) of Sapphire Foods India was subscribed 6.62 times on the final day of bidding. Retail investors have subscribed 8.70 times against their reserved portion. Non Institutional investors (NIIs) and Qualified Institutional Buyers (QIBs) have subscribed 3.46 times and 7.50 times, respectively, against their reserved portions. 

The Rs 600 crore IPO of Latent View Analytics was subscribed 23.22 times on the second day of bidding. Retail investors have subscribed 69.56 times against their reserved portion. Non Institutional investors (NIIs) and Qualified Institutional Buyers (QIBs) have subscribed 33.29 times and 3.51 times, respectively, against their reserved portions. To learn more about the IPO, click here.

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SBI Reports 55% YoY Rise in Net Profit in Q1 – Top Indian Market News

State Bank of India Q1 Results: Net profit rises 55% YoY to Rs 6,504 crore

State Bank of India (SBI) reported a 55.2% YoY increase in net profit to Rs 6,504 crore for the quarter ended June (Q1 FY22). Its net interest income (NII) rose 3.7% YoY to Rs 27,638 crore during the same period. The gross non-performing assets (GNPA) ratio stood at 5.32% in Q1, compared to 4.98% in the previous quarter. Domestic retail loans rose 16.5% YoY to Rs 8.72 lakh crore. SBI’s total provisions fell 19.6% YoY to Rs 10,051.96 crore in the April-June quarter of FY22.

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India’s services PMI contracts for third consecutive month

India’s services sector remained in the contraction territory for the third straight month in July. The IHS Markit India Services Purchasing Managers’ Index (PMI) stood at 45.4 in July, compared to 41.2 in June. PMI is a month-on-month calculation and a value below 50 represents contraction when compared to the previous month. Business activity, new orders, and employment declined further due to local restrictions amidst the Covid-19 pandemic.

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Titan Q1 Results: Net profit at Rs 61 crore

Titan Company Ltd reported a standalone net profit of Rs 61 crore for the quarter ended June (Q1 FY22). It had posted a net loss of Rs 270 crore in the corresponding quarter last year (Q1 FY21). Its revenue from operations rose 74.5% YoY to Rs 3,249 crore during the same period. Titan’s jewellery segment posted a 108% YoY increase in total sales to Rs 2,467 crore in Q1.

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Britannia invests Rs 130 crore in capacity building; to hike prices

Britannia Industries Ltd announced that it has invested Rs 130 crore for capacity building in the current financial year (FY22). The FMCG company is also eyeing a greater revenue share from its e-commerce segment, which currently contributes ~2%. Britannia will gradually undertake a price hike of its products to offset the sharp rise in input costs amidst uncertainty arising out of the Covid-19 pandemic.

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Adani Green Energy Q1 Results: Net profit jumps nearly 10-fold to Rs 219 crore

Adani Green Energy Ltd (AGEL) reported an 895.45% YoY jump in consolidated net profit to Rs 219 crore for the quarter ended June (Q1 FY22). Net profit has jumped 110.5% when compared to the previous quarter. Its total income rose 22.8% YoY to Rs 1,079 crore during the same period. Total sale of electricity grew 48% YoY to Rs 2,054 million units in Q1.

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CCI approves Carlyle’s proposed Rs 4,000 crore investment in PNB Housing Finance

The Competition Commission of India (CCI) has approved the Carlyle Group-led Rs 4,000 crore equity investment transaction in PNB Housing Finance Ltd. However, the Securities and Appellate Tribunal (SAT) is yet to pronounce its verdict on the valuation controversy that the deal ran into recently. In May 2021, Carlyle Group and other investors had announced plans to infuse Rs 4,000 crore into PNB Housing through preferential allotment of equity shares and warrants. Market regulator SEBI had intervened and asked PNB Housing Finance not to go ahead with the deal until it undertakes valuation of its shares by an independent agency.

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Godrej Consumer Products Q1 Results: Net profit rises 5% YoY to Rs 413 crore

Godrej Consumer Products Ltd (GCPL) reported a 4.75% YoY increase in consolidated net profit to Rs 413.66 crore for the quarter ended June (Q1 FY22). Net profit has increased by 13.07% when compared to the previous quarter. Its revenue from operations rose 23.87% YoY to Rs 2,862.83 crore during the same period. GCPL’s expenses grew 21.53% YoY to S 2,372.65 crore in Q1. 

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Kumar Mangalam Birla steps down as Non-Executive Chairman of Vodafone Idea

Vodafone Idea (Vi) has informed that Kumar Mangalam Birla will step down as Non-Executive Director and Non-Executive Chairman of the board with effect from close of business hours on August 4, 2021. The company’s board has elected telecom veteran Himanshu Kapania as a Non-Executive Chairman. Last month, Birla had written a letter to the Indian Government in which he offered to hand over his stake in Vi to any public sector entity, considering the “looming crisis” that the telecom operator is going through. Shares of Vi fell over 16% today.

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Bosch Q1 Results: Net profit at Rs 260 crore

Bosch Limited reported a consolidated net profit of Rs 260.3 crore for the quarter ended June (Q1 FY22). It had posted a net loss of Rs 121.5 crore in the corresponding quarter last year (Q1 FY21) and a net profit of Rs 483 crore in the previous quarter (Q4 FY21). The automotive component manufacturer’s total revenue jumped 146.4% YoY to Rs 2,443 crore in Q1 FY22. EBITDA stood at Rs 306.6 crore in Q1, compared to an operating loss of Rs 102.5 crore in the year-ago period.

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HPCL Q1 Results: Net profit falls 11% YoY to Rs 2,004 crore

Hindustan Petroleum Corp Ltd (HPCL) reported an 11.04% YoY decline in consolidated net profit to Rs 2,003.9 crore for the quarter ended June (Q1 FY22). Net profit has declined by 34.5% when compared to the previous quarter. Its total income rose 66.9% YoY to Rs 77,980.15 crore during the same period.

Apollo Tyres Q1 Results: Net profit at Rs 128 crore

Apollo Tyres Ltd reported a consolidated net profit of Rs 127.78 crore for the quarter ended June (Q1 FY22). It had posted a net loss of Rs 134.58 crore in the corresponding quarter last year (Q1 FY21). Net profit has declined by 55.5% when compared to the previous quarter (Q4 FY21). Its revenue from operations rose 59% YoY to Rs 4,584 crore in Q1 FY21.

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Services PMI Falls to 41.2 in June – Top Indian Market News

India’s services PMI falls to lowest level in 11 months in June

India’s services sector activities fell to their lowest level in 11 months as new businesses and output declined. The IHS Markit India Services Purchasing Managers’ Index (PMI) stood at 41.2 in June, compared to 46.4 in May. PMI is a month-on-month calculation and a value below 50 represents contraction when compared to the previous month. International demand for Indian services continued to deteriorate in June, with new export orders falling for the 16th consecutive month.

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Govt to sell up to 7.49% stake in NMDC via OFS on Tuesday

The government will sell up to a 7.49% stake in National Mineral Development Corp (NMDC) through an offer for sale (OFS) on Tuesday (July 6). The Centre will sell its 4% stake (or 11.72 crore equity shares) in NMDC at a floor price of Rs 165 per share. The floor price is set at a nearly 6% discount to Monday’s closing price. The OFS also includes a greenshoe option to sell an additional 3.49% stake (or 10.22 crore shares) of NMDC. After the completion of the OFS, the government’s shareholding in NMDC will reduce to 60.8%.

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MCX signs pact with Europe’s EEX to share expertise on electricity derivative products

Multi Commodity Exchange of India (MCX) has signed a Memorandum of Understanding (MoU) with European Energy Exchange AG (EEX) to share knowledge and expertise on electricity derivative products. The MoU will facilitate cooperation between the two exchanges in areas such as education & training and organising events in the domain of electricity derivatives. EEX is a leading energy exchange in Europe that develops, operates, and connects secure and transparent markets for power and other energy products.

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ITD Cementation secures orders worth Rs 585 crore

ITD Cementation India Ltd has secured two orders worth approximately Rs 585 crore. The first order consists of the development and construction of ‘Dream City Depot’, including electrical and mechanical works, in connection with Phase-1 of the Surat Metro Rail Project. The second order has been received from Military Engineer Services for the construction of an Aero Space Museum at Air Force Station in Palam, Delhi. It also includes the installation of mechanical and electrical systems, a rainwater harvesting system, etc. 

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Tata Communications introduces Virtual Video Assisted Referee solution

Tata Communications Ltd announced the launch of a Virtual Video Assisted Referee (V-VAR) solution. It enables an unlimited number of referees, judges to connect remotely from anywhere across the globe and assess/analyse sporting events. SailGP (a global sailing championship) will be the first sports event to deploy the company’s V-VAR solution. 

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Sales volume in IEX real-time power market jumps 3-fold in June

The sales volume of the real-time power market (RTM) jumped over three-fold year-on-year (YoY) to 1,726 million units (MU) in June 2021 at the Indian Energy Exchange (IEX). RTM allows consumers to buy power just one hour below delivery. IEX traded 7,093 MU of electricity volume in June, registering a 48% YoY growth. The term-ahead market (comprising intraday, contingency, daily & weekly contracts) traded 641 MU last month, recording a 539% YoY growth.

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Heranba Industries gets environmental clearance for Rs 110 crore expansion

Heranba Industries Ltd has received environmental clearance from the Ministry of Environment, Forest, and Climate Change for the expansion of manufacturing capacity at its facility in Gujarat. The expansion plan consists of setting up an additional manufacturing capacity of 24,900 tonnes per annum (TPA) for producing insecticides, fungicides, and pesticide intermediates. The estimated cost for the project is Rs 110 crore.

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Godrej Consumer expects double-digit sales growth in Q1 

Godrej Consumer Products Ltd (GCPL) said it expects strong double-digit growth in sales at the consolidated level for the quarter ended June (Q1 FY22). The demand trends in various categories remained steady across all countries the company operates in. GCPL’s home care segment saw strong sales growth in Q1, led by household insecticides. There was high demand for personal care and hygiene products as well.

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Religare’s shareholders approve Rs 570 crore preferential issue

The shareholders of Religare Enterprises Limited (REL) have approved the preferential issue of fresh equity shares worth Rs 570 crore. The company will allot 5.41 crore equity shares at Rs 105.25 per share to existing shareholders, including Burman Family, Ares SSG Capital, and select marquee investors. Noida-based Religare Enterprises provides broking services for equities, currencies, and commodities. It also offers financial services for small and medium enterprises (SMEs).

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HDFC Bank reports 14% YoY loan growth in Q1

HDFC Bank reported a 14% YoY growth in its loan book to Rs 11.47 lakh crore for the quarter ended June 30 (Q1 FY22). Loan advances grew 1.3% when compared to the previous quarter. The bank’s deposits grew over 13% YoY (or 0.8% QoQ) to Rs 13.4 lakh crore in Q1. Total retail disbursements at the end of Q1 stood at Rs 43,600 crore, a growth of 202% YoY. During the same period, HDFC Bank purchased loans aggregating to Rs 5,489 crore through a direct assignment route under a home loan arrangement with HDFC Limited.  

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SEBI announces new rules to make MIIs pay for technical glitches

Market regulator SEBI has issued a detailed framework for penalising market infrastructure institutions (MIIs) for technical glitches. MIIs include stock exchanges, clearing corporations, and depositories. Under the new framework, MIIs will have to pay Rs 1 lakh per day in case of delay in submission or incomplete submission of root cause analysis (RCA). A comprehensive RCA report needs to be submitted within 21 days of an incident. The failure to timely address a technical glitch will attract Rs 2 lakh per day for the first 15 days.

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Godrej Consumer Reports 59% YoY Rise in Net Profit in Q4 – Top Indian Market News

Godrej Consumer Q4 Results: Net profit rises 59% YoY to Rs 366 crore

Godrej Consumer Products Ltd (GCPL) reported a 59.13% year-on-year (YoY) increase in consolidated net profit to Rs 365.84 crore for the quarter ended March (Q4). On a quarterly basis, net profit has declined by 27%. Its revenue from operations rose 27% YoY to Rs 2,705.69 crore during the same period. GCPL’s revenue from the Indian market was up 34.63% YoY to Rs 1,499.74 crore. For the financial year ended March 31, 2021 (FY21), net profit rose 14.98% YoY to Rs 1,720.82 crore. GCPL said localised lockdowns could impact frontline servicing and replenishment of its outlets.

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JSW Hydro raises $707 million in first offshore bond issuance

JSW Hydro Energy, a subsidiary of JSW Energy Ltd, has raised $707 million (~Rs 5,185 crore) through its first-ever offshore bond issuance. The proceeds from the issue will be used to repay the existing debt of the company’s two operational hydro projects. The senior secured notes will bear interest from May 18, 2021, to May 18, 2031, at the rate of 4.125% per annum. The bonds will be listed on the Singapore Exchange (SGX).

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Moody’s cuts India’s FY22 GDP forecast to 9.3%

Rating agency Moody’s has slashed India’s gross domestic product (GDP) forecast for FY 2021-22 to 9.3% from the earlier projection of 13.7%. The downward revision in GDP estimates comes on the back of the second wave of Covid-19 infections across the country, which have triggered localised lockdowns and mobility curbs. Moody’s stated that the second wave will slow the near-term economic recovery and could also affect long-term growth dynamics.

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Infosys announces strategic collaboration with Britvic

Infosys Limited announced that it has been selected by UK-based Britvic as an end-to-end partner to help them deliver their strategic digital transformation roadmap and operations. Britvic is one of the leading branded soft drinks businesses in Europe. The IT services major will simplify and streamline Britvic’s cloud infrastructure and operations using its Infosys Cobalt platform.

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Granules India Q4 Results: Net profit rises 38% YoY to Rs 128 crore

Granules India Ltd reported a 38.15% YoY increase in consolidated net profit to Rs 127.6 crore for the quarter ended March (Q4). Its revenue from operations rose 33% YoY to Rs 799.3 crore during the same period. For the financial year ended March 31, 2021 (FY21), net profit increased by 63.8% YoY to Rs 549.45 crore. The pharma company’s board has recommended a final dividend of Rs 0.75 per share.

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JSW Steel’s crude steel out jumps two-fold to 13.71 LT in April

JSW Steel Limited said its crude steel output jumped over two-fold to 13.71 lakh tonnes (LT) in April 2021. The company had produced 5.63 LT in the same month last year. Crude steel output has declined by 5% when compared with March 2021. JSW Steel’s production of flat-rolled products rose three-fold to 9.57 LT, compared with 3.44 LT in April 2020. It produced 3.37 LT long-rolled products in April 2021, compared with 0.89 LT in April 2020.

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UPL signs licensing agreement with Japan-based Meiji Seika Pharma

UPL Limited said its subsidiary has entered into a licensing agreement with Japan-based Meiji Seika Pharma Co. Ltd for exclusive access to Flupyrimin in Southeast Asia. Flupyrimin is a patented active ingredient developed by Meiji. It is a novel insecticide that is effective against rice pests. UPL will obtain exclusive rights to develop, register, and commercialise formulations of Flupyrimin for applications in rice in Southeast Asia.

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Siemens Q2 Results: Net profit rises 90% YoY to Rs 334 crore

Siemens Limited reported a 90.3% YoY increase in consolidated net profit to Rs 334.4 crore for the quarter ended March (Q2 FY21). The company follows the October-September financial year cycle. On a quarterly basis, net profit has risen by 13.16%. Its total income rose 30% YoY to Rs 3,540 crore during the same period. Siemens registered new orders from continuing operations worth Rs 3,309 crore, registering a 16.9% rise compared with the same period last year (Q2 FY20). 

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Firstsource Solutions Q4 Results: Net profit falls 49% YoY to Rs 46 crore

Firstsource Solutions Ltd (FSL) reported a 49% YoY decline in net profit to Rs 46.68 crore for the quarter ended March (Q4). On a quarterly basis, net profit has fallen by 61%. The company’s revenue from operations rose 35% YoY (or 7% QoQ) to Rs 1,460 crore during the same period. Its BFSI vertical grew 66% YoY to Rs 758 crore, while the communications, media, and technology (CMT) vertical grew 23% YoY to Rs 300.94 crore. FSL is a leading business process management (BPM) company based in Mumbai.

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Linde India Q1 Results: Net profit jumps 676% YoY to Rs 303 crore

Linde India Limited reported a 676% YoY jump in consolidated net profit to Rs 303.23 crore for the quarter ended March (Q1 CY21). The company follows the January-December financial year cycle. On a quarterly basis, net profit increased by 433.8%. Its consolidated revenue rose 17% YoY to Rs 441.42 crore during the same period. The rise in profit has been primarily due to an exceptional item worth Rs 294 crore.

Indiabulls Housing Finance to divest its mutual fund business to Groww for Rs 175 crore

Indiabulls Housing Finance has entered into a definitive agreement with Nextbillion Technology Pvt. Ltd (which operates Groww) to divest its entire stake in the mutual fund business of its subsidiaries— Indiabulls Asset Management Co. Ltd and Indiabulls Trustee Co. Ltd for Rs 175 crore. The deal includes a cash equivalent of Rs 100 crore to be invested in Groww. The transaction is expected to be completed by June 30, 2022. Indiabulls Housing said it will narrow focus on its real estate asset management business, as it looks to operate with an asset-light strategy. 

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Kalpataru Power Q4 Results: Net profit falls 43% QoQ to Rs 174 crore

Kalpataru Power Transmission reported a 43.51% quarter-on-quarter (QoQ) decline in consolidated net profit to Rs 174 crore for the quarter ended March (Q4). Net profit has jumped 461% YoY.  Its revenue from operations rose 16% QoQ (or 15.8% YoY) to Rs 4,086 crore during the same period. For the financial year ended March 31, 2021 (FY21), its net profit has increased by 72.05% YoY to Rs 671 crore. The company’s board has recommended a final dividend of Rs 1.5 per share.

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Editorial

Godrej Consumer Products: An Analysis

As you may know, the FMCG industry in India is highly competitive. Companies such as Tata Consumer Products, Hindustan Unilever, Dabur, ITC, and Britannia have time and again launched some of the best brands and products that have become a big part of our lives. These firms have kept a constant track of rapid changes in consumer tastes and preferences. At the same time, they have ensured superior quality and have established strong distribution networks for their products.

Let us learn more about one such FMCG firm that has created a wide portfolio of essential products that have become a part of our everyday lives— Godrej Consumer Products. Like most prominent business houses, the 124-year old Godrej Group has focused extensively on scaling up its FMCG segment as well. And, they have become highly successful in the field. Let us dive into the specific details surrounding this company and its financial highlights.

Company Profile – Godrej Consumer Products

Godrej Consumer Products Limited (GCPL) is one of the leading fast-moving consumer goods (FMCG) firms in India. It was established in 2001 and is headquartered in Mumbai. The company manufactures and markets personal care and household products in India and internationally. GCPL offers a wide range of air care products, household insecticides, liquid detergents, soaps, air fresheners, hair care products, personal wash products, wet wipes, and color cosmetics. It also offers skincare, fabric care, and hygiene products. Godrej Consumer sells its products primarily under the Good Knight, Godrej Expert, Cinthol, Godrej No. 1, Hit, Darling, Stella, Godrej Protekt, Godrej Aer, TCB Naturals, MegaGrowth, Renew, African Pride Moisture Miracle, NYU, Mitu, and Godrej Professional brands. It has established a strong presence in more than 90 countries.

GCPL’s geographic segmentation. Source: godrejcp.com

GCPL is currently one of the largest household insecticide and hair care players in emerging markets. The company’s manufacturing units are spread across Madhya Pradesh, Himachal Pradesh, Assam, and Sikkim.

Financial Performance

Godrej Consumer Products has been reporting a very gradual yet consistent increase in revenues and profits since 2016. Its total revenue has grown at a CAGR of 3.68% over the last 5 years, whereas the industry average stood at 3.6%. The firm’s Return on Capital Employed (ROCE) stands at 18.65%, which is quite low when compared to peers. This means that for every Rs 100 worth of capital employed, GCPL earns Rs 18.65 on it. Moreover, the company is virtually debt-free.

Despite challenges posed by the Covid-19 pandemic, GCPL has thrived in terms of sales. This can be attributed to its strong and diversified product portfolio that focuses on health and hygiene. The company reported a 12.77% year-on-year (YoY) increase in consolidated net profit to Rs 502.08 crore for the quarter ended December (Q3 FY21). GCPL’s household insecticides, hygiene, and value for money segments grew by over 14% YoY. These three categories contribute to 81% of its global portfolio.

The company had entered into strategic partnerships with Zomato, ShopKirana, and Zoomcar for the delivery of essential goods to consumers, retailers, and distributors during the government-imposed lockdowns. This has helped Godrej Consumer to deliver consecutive quarters of double-digit, profitable sales growth in FY21. GCPL has been able to secure a market share of 24.82% so far. 

GCPL – Stock Performance

The shares of Godrej Consumer Products have been underperforming the Nifty indices for quite a while now. It had touched a new 52-week high of Rs 808.35 in January 2021. Since then, the stock has declined and is now trading ~8% lower from those levels. Financial analyst Nomura Financial Advisory & Securities believes that two out of GCPL’s three core segments (India household insecticides and Indonesia market) have still not recovered in terms of sales margins. This conclusion was based on forecasts and current industry trends. In the report, Nomura states that the company’s growth in both segments will pick up very gradually.

However, there are promising signs of steady growth in the Indian market and improvements in the operating performance of its international units. 

1-Day Chart of Godrej Consumer Products

The Way Ahead

On April 5, Godrej Consumer Products announced a highly promising market expansion plan. They have initiated a Go-to-Market (GTM) strategy to increase its overall distribution footprint from 1.2 million to 1.5 million direct coverage outlets. The company will also enhance indirect coverage from 6 million to 7 million over the next 2-3 years. GCPL’s primary objective from this mission is to deliver consistent double-digit growth within 3-4 years. A GTM strategy is basically an action plan that specifies how a company will reach target customers and achieve a competitive advantage. It provides a blueprint for delivering a product or launching an existing product in a new market.

As part of this strategy, the FMCG firm will leverage emerging channels and invest in innovative technologies (including analytics). It will transform the existing distribution software by converting it into cloud-based systems. This would ensure better accuracy and promptness. They would focus on expanding coverage in key rural markets and improve the quality of existing outlets in urban areas. GCPL expects its e-commerce segment to contribute 8-10% of its total business in the coming years.

Godrej Consumer is also building an integrated chemists’ network. The company has appointed over 400 distributors and acquired 50,000 pharma outlets for the same. It will focus on building a technology structure that will support the pharma channel. Through this, GCPL will be able to push its range of hygiene products (via the Godrej Protekt brand).

All eyes will be focused on how GCPL executes these strategic plans. 

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Godrej Consumer’s Q3 Profit Rises 12% YoY to Rs 502 crore – Top Indian Market News

Godrej Consumer Q3 Results: Net profit rises 12% YoY to Rs 502 crore

Godrej Consumer Products reported a 12.77% YoY increase in consolidated net profit to Rs 502.08 crore for the quarter ended December (Q3). Its revenue from operations rose 9.98% YoY to Rs 2,778.05 crore during the same period. The company’s Household Insecticides, Hygiene, and Value-for-Money segments (which contributes to 81% of its global portfolio) grew by 14% YoY in Q3. 

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NTPC’s hydropower project damaged in Uttarakhand glacier burst

NTPC Limited announced that a part of its Tapovan Vishnugad hydropower project (which is under construction) has faced damages due to the avalanche in Uttarakhand’s Chamoli district. The incident occurred after a glacier burst in Chamoli led to massive flash floods and landslides. Around 19 people have died from the unfortunate incident. It has been reported that ~150 employees at the NTPC plant are still missing.

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Aditya Birla Fashion Q3 Results: Net profit at Rs 59 crore

Aditya Birla Fashion and Retail Ltd (ABFRL) reported a consolidated net profit of Rs 58.55 crore for the quarter ended December (Q3). It had posted a net loss of Rs 37.64 crore during the corresponding quarter last year. The company’s total revenue declined 17.87% YoY to Rs 2,133.14 crore in Q3 FY21. ABFRL said it is confident that business recovery will continue as the impact of the Covid-19 pandemic wears down over the next few quarters. The company expects to resume its consistent growth trajectory in the next financial year.

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Infosys partners with Spirit AeroSystems to integrate its IT infrastructure

Infosys Limited said it has entered into a strategic collaboration with US-based aircraft manufacturing company- Spirit Aerosystems, Inc. Spirit has selected Infosys to integrate the IT infrastructure of its recently acquired Bombardier’s former aerostructures and aftermarket service assets. Infosys will leverage its system integration expertise, ecosystem partners, and extensive knowledge of the aviation sector to develop a robust IT framework.

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BPCL Q3 Results: Net profit jumps 120% YoY to Rs 2,778 crore

Bharat Petroleum Corporation Ltd (BPCL) reported a 120% YoY increase in net profit to Rs 2,777.6 crore for the quarter ended December (Q3). Its revenue rose 1.4% YoY to Rs 86,579.95 crore during the same period. The average gross refining margin of the company stood at $2.90 per barrel, compared to $3.15 per barrel in Q3 FY20. BPCL’s board has declared an interim dividend of Rs 16 per share.

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NMDC Q3 Results: Net profit rises 53% YoY to Rs 2,108 crore

NMDC Limited reported a 53.4% YoY increase in consolidated net profit to Rs 2,108.05 crore for the quarter ended December (Q3). Its revenue from operations rose 44.8% YoY to Rs 4,355.10 crore during the same period. The company’s revenue from its iron ore segment increased by 44% YoY to Rs 4,311 crore. State-owned NMDC Ltd is involved in the exploration of iron ore, copper, limestone, gypsum, etc.

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Meghmani Organics Q3 Results: Net profit rises 45% YoY to Rs 69 crore

Meghmani Organics Ltd reported a 45.64% YoY increase in net profit to Rs 69.34 crore for the quarter ended December (Q3). Its total revenue rose 25.94% YoY to Rs 657.66 crore during the same period. The company showed positive revenue growth in its agrochemicals and Chloralkali segments in Q3.

HCL Tech announces Rs 700 crore one-time bonus for employees

HCL Technologies Ltd announced a special one-time bonus worth Rs 700 crore for its employees around the world. This is in recognition of the company hitting the $10 billion (~Rs 72,900 crore) revenue milestone in 2020. Employees across geographies who have completed 1 year of service or more will receive a bonus in February 2021.

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Sun TV Q3 Results: Net profit rises 15% YoY to Rs 445 crore

Sun TV Network Ltd reported a 15.88% YoY increase in consolidated net profit to Rs 445.54 crore for the quarter ended December (Q3). Its revenue rose by 17.26% YoY to Rs 994.14 crore during the same period. Sun TV reported a 3% growth in subscription revenues at Rs 424 crore in Q3. It deployed cost optimization measures and managed to grow profits despite a high IPL franchise fee paid in this current quarter. The company’s board has declared an interim dividend of Rs 5 per share.

Prakash Industries Q3 Results: Net profit rises 4% YoY to Rs 31 crore

Prakash Industries Ltd reported a 4.6% YoY increase in net profit to Rs 31.3 crore for the quarter ended December (Q3). The company’s revenue rose by 20.6% YoY to Rs 891 crore during the same period. Delhi-based Prakash Industries is engaged in mining, steel, and power operations.

ONGC to carry out India’s first geothermal field development project in Ladakh

Oil and Natural Gas Corporation (ONGC) will carry out India’s first Geothermal Field Development Project, which will be implemented in Ladakh. A Memorandum of Understanding (MoU) was signed by the ONGC Energy Centre (OEC) with the Union Territory of Ladakh and the Ladakh Autonomous Hill Development Council on February 6. This project of ONGC will put India on the geothermal power map of the world.

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Balkrishna Industries Q3 Results: Net profit rises 45% YoY to Rs 325 crore

Balkrishna Industries Ltd reported a 45.25% YoY increase in net profit to Rs 325.07 crore for the quarter ended December (Q3). The tyre manufacturer’s total revenue rose 31.81% YoY to Rs 1,563.84 crore during the same period. The company’s board has declared an interim dividend of Rs 5 per share.