Emami Q1 FY25 results: Net profit up 11% at Rs 153 crore; revenue climbs 10%

Emami Ltd on Thursday reported an 11 per cent year-on-year (YoY) uptick in its first quarter profit after tax (PAT), at Rs 153 crore, for the financial year 2024-25 (Q1 FY25). Revenue from operations, at Rs 906 crore, grew by 10 per cent YoY. Out of which, domestic business grew by 10 per cent with a volume growth of 8.7 per cent and international business grew by 11 per cent growth in constant currency (cc) terms, the company stated in a release.

Gross margins, which came at 67.7 per cent, improved by 230 basis points (bps). EBIDTA (Earnings before interest, taxes, depreciation, and amortisation), at Rs 216 crore, grew by 14 per cent despite 21 per cent higher investments in A&P (advertising & promotional spend), Emami mentioned.

EBIDTA margins improved by 90 bps to 23.9 per cent, it added.

Despite geopolitical crisis and currency depreciations in key geographies, International business grew by 11 per cent in cc and by 10 per cent in Indian rupee terms, Emami said.

"The quarter witnessed sequential improvement in demand trends with slight green shoots witnessed in rural demand. However, increasing food inflation continued to impact discretionary consumption," the company further stated.

"Our summer portfolio performed exceptionally well, led by the stellar performances of our power brands, Navratna and Dermicool. Modern trade, eCommerce, and institutional channels continued to post strong growth in the domestic business and our international business also witnessed impressive growth of 11 per cent in constant currency driven by the MENA and SAARC regions," said Harsha V Agarwal, Vice Chairman and Managing Director at Emami.

On the stock-specific front, Emami shares were trading 1.33 per cent higher at Rs 828.50. At this price, the stock has gained 44.50 per cent on a year-to-date (YTD) basis.