Homegrown FMCG firm Emami Ltd reported 44.67 per cent rise in consolidated net profit at Rs 208.96 crore for December quarter 2020 helped by sales growth and cost control measures.

NH Bhansali, CEO-Finance, Strategy and Business Development and CFO of Emami discussed demand trends, how are rural markets doing versus urban areas and also spoke about the reduction in promoter pledge.

“The demand has been good, the recovery has been faster than what was expected, the festive season has also been good and the current trajectory is also good. We expect a good growth in Q4 as well,” he said.

“The demand is mainly coming from rural and urban, from all the channels. It seems to be sustaining,” he added.

The company has declared the second interim dividend of 400 percent. “Despite this, there will be a surplus, there is no debt in terms of Emami Ltd,” he mentioned.

The promoter pledge is around 36 percent and it is expected to go down further, Bhansali said.

Emami is on the lookout for inorganic growth as well in India as well as internationally. “If anything comes which is a strategic fit to us, we are very willing to take up those opportunities,” he said.

In terms of the healthcare business, he said, “The base has grown up and the growth would continue.”

“The promoters desire is to reduce the promoters pledge to zero in the times to come. So we are on the lookout for selling many non-core assets. However, we are not in a hurry,” Bhansali said.

For full interview, watch the video

(Edited by : Abhishek Jha)