 "Colgate")
Among fast-moving consumer goods (FMCG) companies, Colgate-Palmolive (India) has hardly been a star on the returns front. India’s largest toothpaste maker delivered a measly 6 per cent returns over the last year, while the Nifty FMCG generated returns of about 30 per cent. Given the muted September quarter (Q2) show, the returns picture is unlikely to change soon.
Sales growth of 5.2 per cent year-on-year (YoY) in Q2 was below expectations. Most of the growth was on account of higher volumes that were boosted by increased promotions, while realisations came under pressure. The company highlighted good growth momentum across brands/categories with healthy volumes on a sequential basis, though the market awaits reflection of the same on growth metrics.
Sales growth of 5.2 per cent year-on-year (YoY) in Q2 was below expectations. Most of the growth was on account of higher volumes that were boosted by increased promotions, while realisations came under pressure. The company highlighted good growth momentum across brands/categories with healthy volumes on a sequential basis, though the market awaits reflection of the same on growth metrics.
