GODREJ PREDICTS SALES AND PROFIT RISE AS DEMAND FOR PERSONAL CARE SOARS
THE WHAT? Godrej Consumer Products is forecasting a strong third quarter on the back of ‘strong demand’ for personal care products, according to a report published by Reuters. The Indian FMCG manufacturer is expecting sales to rise in the mid teens while overall profit should see ‘meaningful improvement’.
THE DETAILS Shares rose 2.6 percent in the immediate aftermath of the announcement; previous quarters have seen the owner of Cinthol soap’s sales rise in the mid to high single digits, per Reuters.
THE WHY? Demand has bounced back in urban centers, Godrej said, per Reuters, offsetting muted performances in more rural areas. In addition, gross margins are improving as input costs improve.
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