Fast-moving consumer goods (FMCG) companies are expected to witness pressure on volumes in the October-December quarter. However, price hikes will help push up revenues, said brokerages.
The volumes may be impacted as persistent weak urban demand may play out in the performance of consumer companies in the third quarter (Q3) of 2024-25 (FY25).
"Our ground checks suggest that the demand environment for FMCG has not seen any meaningful improvement due to several factors," HDFC Securities said in its report.
The brokerage pointed out that the macro environment remained subdued and some companies have undertaken inventory corrections.
"The largest modern trade player, Reliance, has also been implementing significant inventory optimisation measures, which has reduced offtake from FMCG companies," HDFC Securities added in its preview note.
Rising agricultural commodities prices are expected to impact companies in Q3FY25 as well, affecting gross margins of packaged goods firms.
Bu hikaye Business Standard dergisinin January 06, 2025 sayısından alınmıştır.
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Bu hikaye Business Standard dergisinin January 06, 2025 sayısından alınmıştır.
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