Emami Reports 9% Profit Growth in Q1 Amid Challenging Market Conditions

2 min read     Updated on 01 Aug 2025, 09:02 AM
scanxBy ScanX News Team
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Overview

Emami Limited announced Q1 financial results with a 9% year-on-year growth in Profit After Tax (PAT) to ₹164.00 crore, despite flat Revenue from Operations at ₹904.00 crore. Gross Margins expanded by 170 basis points to 69.40%. The core domestic business grew 6%, while International Business saw 2% growth. Pain Management Range, BoroPlus Antiseptic Creams, and Navratna Cool Oils performed well. The company launched new products including Dermicool Prickly Heat Spray and Navratna Ayurvedic Hairfall Control Oil. Management remains optimistic about future growth, citing potential improvements in monsoon conditions, easing inflation, and possible interest rate reductions.

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*this image is generated using AI for illustrative purposes only.

Emami Limited , a leading Indian FMCG company, has announced its financial results for the first quarter, demonstrating resilience in the face of challenging market conditions. The company reported a 9% year-on-year growth in Profit After Tax (PAT) despite a flat topline performance.

Financial Highlights

  • Revenue from Operations remained stable at ₹904.00 crore
  • Profit After Tax (PAT) grew by 9% to ₹164.00 crore
  • Gross Margins expanded by 170 basis points to 69.40%
  • EBITDA stood at ₹214.00 crore

Business Performance

The quarter witnessed persistent pressure on urban discretionary consumption, while rural demand showed signs of recovery. However, an unusually soft and shortened summer, caused by unseasonal rainfall and the early arrival of the monsoon, negatively impacted consumption across the company's summer-centric portfolio.

Despite these macro headwinds, Emami maintained a stable topline performance. Key highlights include:

  • Core domestic business (excluding Talc/PHP) posted 6% revenue growth
  • International Business delivered modest growth of 2%
  • Talc/Prickly Heat Powder (PHP) category declined 17% YoY due to adverse weather conditions, but remains strong on a 2-year CAGR of 13%

Segment Performance

  • Pain Management Range and BoroPlus Antiseptic Creams delivered strong growth
  • Navratna Cool Oils grew by 6%
  • BoroPlus Antiseptic Creams saw a significant growth of 60%
  • Zandu & Mentho Plus Balms increased by 16%

Innovation and New Launches

Emami continued to focus on innovation as a key growth lever. New product launches during the quarter included:

  • Dermicool Prickly Heat Spray
  • Navratna Ayurvedic Hairfall Control Oil
  • Navratna Cool Talc – Fresh Floral
  • BoroPlus Icy Citrus Blast Prickly Heat Powder

The company also introduced several products exclusively through its Zanducare platform, including Zandu Shilajit Cool Rush Capsules & Resin, Zandu Kansa Wand Ayurvedic Massager, and Zandu Chia & Flax Seeds.

Management Commentary

Mr. Harsha V Agarwal, Vice Chairman and Managing Director of Emami Limited, commented on the results: "Our performance this quarter reflects the underlying strength and resilience of our brands, even in the face of an unusually subdued summer. Our Talc/PHP category maintained a 2-year CAGR of 13%. Looking ahead, we are optimistic about growth in the coming months, driven by strong monsoon conditions, easing inflation, and potential interest rate reductions."

Mr. Mohan Goenka, Vice Chairman and Whole-Time Director, added: "Despite a flattish topline, we delivered a 9% growth in Profit After Tax, underscoring our sharp focus on profitability and operational efficiency. We remain confident in our margin trajectory, supported by favourable input costs and operational efficiencies."

Future Outlook

Emami expects the macro environment to gradually improve, supported by a buoyant monsoon, stabilizing inflation, and ongoing consumption recovery. The company remains committed to driving sustained, profitable growth through strategic levers of innovation, distribution expansion, digital acceleration, and cost agility.

As Emami continues to navigate through market challenges, its focus on core brands, innovation, and operational efficiency positions it well for future growth in the competitive FMCG landscape.

Historical Stock Returns for Emami

1 Day5 Days1 Month6 Months1 Year5 Years
+3.10%+7.67%+9.52%-1.04%-24.85%+156.86%

Emami Reports Q1 Results, Reappoints Directors, and Names New Company Secretary

1 min read     Updated on 31 Jul 2025, 01:40 PM
scanxBy ScanX News Team
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Overview

Emami Limited reported its Q1 financial results with a slight decrease in consolidated revenue to ₹90,409.00 lacs, but an increase in consolidated profit after tax to ₹16,426.00 lacs. The company announced key management reappointments including Mohan Goenka as Vice-Chairman & Whole-time Director and Sushil Kumar Goenka as Whole-time Director. Ravi Varma will be appointed as Company Secretary & Compliance Officer. Emami also unveiled a new corporate brand identity to reflect its global ambitions and evolving vision.

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*this image is generated using AI for illustrative purposes only.

Emami Limited , a leading Indian FMCG company, reported its financial results for the first quarter, along with key management changes.

Financial Results

Emami posted consolidated revenue from operations of ₹90,409.00 lacs in Q1, compared to ₹90,607.00 lacs in the same quarter last year, marking a slight decrease. However, the company's consolidated profit after tax increased to ₹16,426.00 lacs, up from ₹15,060.00 lacs in the previous year quarter.

On a standalone basis, Emami reported revenue of ₹75,646.00 lacs, marginally higher than ₹75,530.00 lacs last year. Standalone profit after tax stood at ₹16,309.00 lacs, compared to ₹17,598.00 lacs in the same period last year.

Management Changes

The Board of Directors approved several key management decisions:

  1. Reappointment of Mohan Goenka as Vice-Chairman & Whole-time Director for a five-year term starting January 2026.
  2. Reappointment of Sushil Kumar Goenka as Whole-time Director for a five-year term beginning April 2026.
  3. Appointment of Ravi Varma as Company Secretary & Compliance Officer, effective August 1, 2025, replacing interim appointee Ashok Purohit.

These reappointments are subject to shareholder approval.

New Corporate Identity

Emami recently unveiled its new and refreshed corporate brand identity, coinciding with the company's 50-year journey. The rebranding initiative reflects Emami's evolving vision and global ambitions.

Harsha Vardhan Agarwal, Vice Chairman & Managing Director of Emami Limited, stated, "Our rebranding marks a pivotal step in Emami's evolution. Our new core corporate identity reflects who we are today — an organization rooted in heritage but powered by innovation, diversification and a global outlook."

Key features of the new corporate identity include:

  • Evolution of the iconic ellipse into a sphere, representing global expansion and adaptability
  • A stylized 'e' at the heart of the design, symbolizing innovation and continuous growth
  • Retention of the signature color palette for brand recognition
  • A refined typeface in the new wordmark conveying confidence and adaptability

The rebranding extends to all of Emami's diverse businesses, with each entity adopting a modern typeface and a distinctive color derived from the new sphere. The rollout of the new corporate identity is expected to be completed across Emami's business entities over the next couple of months.

Looking Ahead

While Emami faces some challenges in terms of revenue growth, the company's ability to improve profitability in a tough market environment is noteworthy. The management changes and the unveiling of the new corporate identity signal Emami's commitment to innovation and global expansion, which could potentially drive future growth and strengthen its market position in the coming years.

Historical Stock Returns for Emami

1 Day5 Days1 Month6 Months1 Year5 Years
+3.10%+7.67%+9.52%-1.04%-24.85%+156.86%
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