Marico hits 52-week high on expansion plans

NEW DELHI: Marico Ltd rallied as much as 14.7 per cent in trade on Tuesday to hit its fresh 52-week high of Rs 294.45, after the FMCG firm said that it is aiming to double its sales in the next four years with emerging markets of Asia and Africa expected to be lead the growth, with focus on key categories including hair, food and wellness.

At 09:45 a.m.; Marico was trading 12.5 per cent higher at Rs 288.85. It hit a low of Rs 258 and a high of Rs 294.45 in trade today.

The company, which reported net sales of Rs 4,676.18 crore in the previous fiscal, in an investors' update outlined its medium term strategic approach stating its business ambition is to "double topline in 4 years", PTI said in a report.

The company at present has operations in Bangladesh, Egypt, the Middle East, South Africa, Malaysia and Vietnam and is also looking at expanding its global operations further.

"Expansion in adjacent markets such as Nepal, Pakistan, Cambodia, Myanmar, Sri Lanka, North Africa etc., is expected to contribute up to Rs 100 crore (USD 17 million) by next year," the company added.

Most brokerage firms have raised their 12-month target price for Marico after the FMCG firm reported a consolidated net profit which grew by 17.5 per cent on yearly basis to Rs 185.3 crore aided by higher revenue.