Demand improved sequentially and uptick during the festival season helped liquidate trade inventory by three days.
The implementation of an auto replenishment system (ARS) has improved inventory management for distributors. Primary growth was lagging secondary growth due to high trade inventory and this will help normalize it. E-commerce and quick commerce growth has accelerated.
In H1FY25, ecommerce growth was 41 percent. Sales grew 11 percent Y-o-Y to ₹1,250 crore and sales volume was up 6.7 percent Y-o-Y to 55.2 million pieces.
Gross margin expanded 80 basis points (bps) Y-o-Y to 56.5 percent and operating profit margin grew 185 bps to 22.6 percent, a multi-year high. The margin expansion was due to stable input costs and improved operating efficiency.
The company raised prices two years ago due to higher input costs, but there have been no price increases since July 2022.
Inventory days decreased to 93 from 168 at the end of FY24.
Denne historien er fra November 09, 2024-utgaven av Business Standard.
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Denne historien er fra November 09, 2024-utgaven av Business Standard.
Start din 7-dagers gratis prøveperiode på Magzter GOLD for å få tilgang til tusenvis av utvalgte premiumhistorier og 9000+ magasiner og aviser.
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Release for grief
EYE CULTURE
RBI supersedes New India Co-op Bank Board
Alleged misappropriation of funds behind curbs
Reciprocal tax plan sets off alarm bells amid global trade war buzz
The move by the United States President Donald Trump to impose 'reciprocal' tariffs on a 'country-by-country' basis is set to trigger a global trade war, according to officials watching this space.
Sachin Bansal steps down as Navi CEO amid top-level rejig
To serve as executive chairman of the group
Pharma Stocks Plunge Amid Tariff Concerns
Analysts Say Exports Unlikely to Face Major Impact
I-T Bill empowers taxman to ask for access to electronic systems
In a move that could make it easier to scrutinise cryptocur rency and other virtual digital assets, the new income-tax Bill introduced in the Lok Sabha on Thursday empowers tax authorities to demand codes for access to electronic systems during surveys and searches.
Cummins' engine may rev low in near term
Brokerages upbeat on firm's long-term prospects after a strong Q3
Smallcaps slip into bear mkt territory, midcaps on brink
Investors endured another challenging session on Friday as smallcap stocks tumbled over 3 per cent, sliding into bear-market territory, while midcaps fell 2.4 per cent, extending their decline from peak levels to 18.4 per cent.
Deep state, shallow state, non-state
The deep state has now become the engine of conspiracy theories across democracies. America was the first and India is catching up fast. Many European democracies are on the bandwagon too
DPIIT to sign MoUs with firms for setting up manufacturing incubation centres
In a move to give a fillip to manufacturing startups, the Department of Promotion of Industry and Internal Trade (DPIIT) will be signing memorandums of understanding (MoUs) with corporates to set up manufacturing incubation centres.
