GCPL shares jump up to 8% to hit 52-week high on strong volume growth in March quarter
Upstox
3 min read • Updated: May 7, 2024, 10:51 AM
Summary
The company’s organic consolidated volume growth was 9% and organic sales growth was 4% in the March quarter. India volume growth was 15% and sales growth was 12% and EBITDA growth was 12%.
Shares of FMCG major Godrej Consumer Products Ltd rallied up to 8% to hit a year's high on Tuesday after the company reported strong volume growth for the March quarter.
Godrej Consumer Products Ltd shares opened around 5% higher at ₹1,271.65 apiece on the NSE, a day after the announcement of the financial results.
The FMCG stock rallied as much as 7.72% to hit a fresh 52-week high of ₹1,346.7 apiece on the NSE in morning deals. Around 18.75 lakh shares of the company changed hands on the NSE.
GCPL shares were trading 5.63% higher at ₹1,320.5 on the NSE at 10.05 am.
The Godrej group company reported a loss of ₹1,893.21 crore for the March quarter of FY24 mainly due to an exceptional charge compared to a profit after tax of ₹452.14 crore in the year ago quarter.
The company took an exceptional charge of ₹2,378 crore on its GAUM business (Godrej Africa, USA, Middle East). Except for exceptional items and one-offs, GCPL PAT jumped by 22% in the March quarter.
Revenue from operations rose around 6% to ₹3,385.61 crore in the March quarter compared to ₹3,200.16 crore in the Q4FY23.
GCPL posts 12% volume growth, 6% sales growth
GCPL in an investor presentation stated that the March quarter of FY24 has been a solid quarter for the company. The consolidated reported numbers stand strong at 12% underlying volume growth, 6% sales growth and 18% EBITDA growth, the company mentioned.
The company’s organic consolidated volume growth was 9% and organic sales growth was 4% in the March quarter. Sales growth is lagging behind volume growth due to currency fluctuations in Africa and low soap prices in India.
India volume growth was 15% and sales growth was 12% and EBITDA growth was 12%.
The company said that it is launching new products to drive growth. GCPL launched Cinthol Foam Bodywash in select markets in India in April. The product is aimed at the fast growing segment of Bodywash that is currently ₹700 crore and growing at more than 20% per annum.
₹10 per share dividend announced
The board of GCPL approved an interim dividend of ₹10 per share (1000% on shares of face value of ₹ 1/- each) for the financial year 2024-25. The Record Date for ascertaining the names of the shareholders who will be entitled to receive the said dividend is Tuesday, May 14, 2024. The dividend will be paid on or before Wednesday, June 5, 2024.