For
the quarter ending March 2023, consolidated Net sales (including other operating income) of Emami has increased 8.51% to Rs 835.95 crore compared to quarter ended Mar 2022. Operating profit margin has jumped from 21.28% to 23.90%, leading to 21.88% rise in operating profit to Rs 199.81 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 27.76% to 21.74%. Purchase of finished goods cost rose from 12.92% to 16.07%. Employee cost increased from 9.73% to 10.85%. Other expenses fell from 29.35% to 27.80%. Selling and administration expenses fell from 18.45% to 15.28%. Other income fell 54.61% to Rs 13.75 crore. PBIDT rose 9.95% to Rs 213.56 crore. Provision for interest fell 24.73% to Rs 1.37 crore. Loan funds declined from Rs 281.55 crore as of 31 March 2022 to Rs 90.51 crore as of 31 March 2023. Inventories declined from Rs 357.61 crore as of 31 March 2022 to Rs 328.04 crore as of 31 March 2023. Sundry debtors were higher at Rs 414.60 crore as of 31 March 2023 compared to Rs 320.92 crore as of 31 March 2022. Cash and bank balance rose to Rs 184.75 crore as of 31 March 2023 from Rs 116.00 crore as of 31 March 2022. Investments declined from Rs 302.70 crore as of 31 March 2022 to Rs 293.36 crore as of 31 March 2023.
PBDT rose 10.28% to Rs 212.19 crore. Provision for depreciation fell 23.35% to Rs 63.97 crore. Fixed assets declined from Rs 1,322.84 crore as of 31 March 2022 to Rs 1,183.48 crore as of 31 March 2023. Intangible assets increased from Rs 24.15 crore to Rs 68.19 crore.
Profit before tax grew 36.04% to Rs 148.22 crore. Share of profit/loss was 94.10% higher at Rs -0.35 crore. Provision for tax was debit of Rs 6.25 crore, compared to credit of Rs 256.27 crore. Effective tax rate was 4.23% compared to negative 261.93%.
Minority interest decreased 51.89% to Rs -2.81 crore. Net profit attributable to owners of the company decreased 59.43% to Rs 144.43 crore. Equity capital stood at Rs 44.12 crore as of 31 March 2023 to Rs 44.12 crore as of 31 March 2022. Per share face Value remained same at Rs 1.00.
Promoters’ stake was 54.27% as of 31 March 2023 ,compared to 54.27% as of 31 March 2022 . Promoters pledged stake was 40.12% as of 31 March 2023 ,compared to 35.21% as of 31 March 2022 .
Full year results analysis.
Net sales (including other operating income) of Emami has increased 6.69% to Rs 3405.73 crore. Operating profit margin has declined from 29.84% to 25.33%, leading to 9.41% decline in operating profit to Rs 862.76 crore. Raw material cost as a % of total sales (net of stock adjustments) decreased from 27.80% to 24.48%. Purchase of finished goods cost rose from 6.90% to 10.08%. Employee cost increased from 9.81% to 10.92%. Other expenses rose from 26.07% to 28.91%. Selling and administration expenses rose from 16.15% to 16.64%. Other income fell 27.63% to Rs 68.93 crore. PBIDT fell 11.07% to Rs 931.69 crore. Provision for interest rose 45.76% to Rs 7.39 crore. Loan funds declined from Rs 281.55 crore as of 31 March 2022 to Rs 90.51 crore as of 31 March 2023. Inventories declined from Rs 357.61 crore as of 31 March 2022 to Rs 328.04 crore as of 31 March 2023. Sundry debtors were higher at Rs 414.60 crore as of 31 March 2023 compared to Rs 320.92 crore as of 31 March 2022. Cash and bank balance rose to Rs 184.75 crore as of 31 March 2023 from Rs 116.00 crore as of 31 March 2022. Investments declined from Rs 302.70 crore as of 31 March 2022 to Rs 293.36 crore as of 31 March 2023.
PBDT fell 11.34% to Rs 924.3 crore. Provision for depreciation fell 26.15% to Rs 247.25 crore. Fixed assets declined from Rs 1,322.84 crore as of 31 March 2022 to Rs 1,183.48 crore as of 31 March 2023. Intangible assets increased from Rs 24.15 crore to Rs 68.19 crore.
Profit before tax down 4.34% to Rs 677.05 crore. Share of profit/loss was 48.56% higher at Rs -7.5 crore. Provision for tax was debit of Rs 42.14 crore, compared to credit of Rs 148.66 crore. Effective tax rate was 6.29% compared to negative 21.61%.
Minority interest decreased 424.14% to Rs -12.16 crore. Net profit attributable to owners of the company decreased 23.77% to Rs 639.57 crore.
Equity capital stood at Rs 44.12 crore as of 31 March 2023 to Rs 44.12 crore as of 31 March 2022. Per share face Value remained same at Rs 1.00.
Promoters’ stake was 54.27% as of 31 March 2023 ,compared to 54.27% as of 31 March 2022 . Promoters pledged stake was 40.12% as of 31 March 2023 ,compared to 35.21% as of 31 March 2022 .
Cash flow from operating activities increased to Rs 748.88 crore for year ended March 2023 from Rs 643.85 crore for year ended March 2022. Cash flow used in acquiring fixed assets during the year ended March 2023 stood at Rs 40.46 crore, compared to Rs 483.56 crore during the year ended March 2022.
Other Highlights
In Q4 FY23,
Domestic Business grew by 5%, International Business grew by 19% on YoY basis.
Board approved buyback
of shares worth upto Rs 186 Crore, up to a price of Rs 450.
In FY23, new age channels like Modern
Trade and eCommerce continued to perform well, growing by 18% and 64%
respectively over previous year. The contribution of both these channels to
Domestic sales increased to more than 20% of Domestic net sales.
In FY23, Pain
Management Range fell by 14%, Navratna Range up 6%, BoroPlus Range remains
flat, Kesh King Range up 1%, Male Grooming Range up 3% and Healthcare Range
declined by 12% on YoY basis.
For FY23, SAARC
(South Asian Association for Regional Cooperation) contributed 38% of total international
sales, MENA (Middle East & North Africa) 37%, CIS (Commonwealth of
Independent States) 14% and others 11%.