- Backed by a pick-up in the rural demand, FMCG sector has seen a gradual improvement in the volume growth every quarter. The revenue growth for the current quarter is likely to be in the higher double-digit range.
- Expect the earnings of the market leader, Hindustan Lever, to grow by 27% yoy backed by a strong volume growth and price hikes in key product segments.
- ITC's profits are expected to grow by a strong 33% yoy. Expect the growth to be broad based. ITC had recently effected price hikes in its cigarette business. Its non-FMCG businesses have also grown well.
- Expect Godrej Consumer Products to report a 20% revenue growth with its personal care segment continuing to record a strong growth. The net profit growth is likely to be in the 41% range as the vegetable oil prices have been stable and there has been a shift in the company's product mix in favour of the personal care products.
Sector Perfromance - FMCG
FMCG: Volume growth continues
