Godrej Consumer Products Limited stated that as consumer demand trends remained steady through the quarter in India, FMCG sector is expected to witness gradual recovery in growth rates, via an exchange filing.
The performance of company's India business has exceeded expectations especially on the volume front. It is expected to deliver double-digit volume and value growth.
The domestic branded business growth was very strong registering volume and value growth in teens. This is in line with the company's strategy of volume driven category development.
Overall, the growth was broad based and led by double-digit volume and value growth in both Home Care and Personal Care.
The company's Indonesia business has started to see gradual recovery in performance with mid-single digit constant currency sales growth. The growth ex-Hygiene is close to double digits.
The business stated it believes in building blocks in Indonesia are in place to drive steady-to-strong performance in the next fiscal year.
Godrej Africa, USA, and Middle East (GAUM) witnessed a temporary pause in its strong double-digit sales growth momentum, clocking higher than mid-single digit sales growth in constant currency terms.
This was due to elections and the impact of demonetisation in Nigeria. However, the company has seen a strong sales recovery in March. At a consolidated level, we expect to deliver double-digit growth in INR terms led by midsingle digit volume growth.
The growth trends continue to improve sequentially. The quality of the company's profits should see improvement, led by Gross Margin recovery and continued marketing investments translating to strong double-digit EBITDA growth.
