Emami reports 12.3% jump in its net profit for Q1

KOLKATA: FMCG firm Emami Ltd on Wednesday reported 12.3% jump in its net profit at Rs 47 crore for the first quarter ended June 30 on back of 14.1% growth in net sales at Rs 339 crore.

However, the company's domestic sales grew at a faster pace of 22.2% during the quarter at Rs 299 crore, providing another indication that consumer demand is still upbeat in the country.

"Continued growth in urban demand and rapid expansion in rural areas have helped the company to maintain double-digit sales growth. Consumer sentiment has been good and demand for our products continue to be robust," Emami director Mohan Goenka said.

Emami reported healthy profitable growth from its main brands like Navratna Oil, Boroplus Antiseptic Cream, Zandu and Menthoplus Balm. Navratna Cool Talcum Powder and Prickly Heat Powder also registered strong growth aided by strong summer season.

"We have sustained our sales momentum, at a time when input costs and inflationary pressures were high," said Goenka. The company's board on Wednesday also approved 800% dividend, including 400% special dividend.

Emami is setting up two new plants at Bangladesh and Egypt to cater to the growing demand in Bangladesh, Egypt and other African markets.