Homegrown FMCG major Marico Ltd on Thursday reported a 16 percent growth in consolidated net profit at Rs 316 crore in the second quarter ended September driven by volume growth in the domestic market. The company had posted a consolidated net profit of Rs 273 crore in the corresponding period last fiscal, Marico said in a regulatory filing.

Consolidated revenue from operations during the quarter under review stood at Rs 2,419 crore as against Rs 1,989 crore in the year-ago period, the company added.

In an interview to CNBC-TV18, Saugata Gupta, MD & CEO of Marico said the company is confident of delivering Rs 500 crore turnover by this year in the foods business. He said foods, digital brands and premiumisation of hair nourishment segment are our key drivers for growth in India.

"The food business is very much on track. We are extremely confident of delivering Rs 500 crore turnover by this year. We have an aspiration to hit Rs 850-1000 crore turnover in food by 2024. Digital business is tracking well. I think we have a job to do in premiumising of our hair nourishment business. So foods, digital brands and premiumisation of hair nourishment segment are our key drivers for growth in India."

Also Read: Marico Q2 Results: Net profit up 16% at Rs 316 crore, beats Street estimates

He said rural growth has seen some moderation towards the end of Q2 possibly due to inflation and diversion of consumption towards other categories. However, he believes that the company can deliver mid-single-digit growth in H2FY22.

"We have seen some moderation of growth in rural sometimes towards the end of the quarter. I feel a combination of inflation and diversion of consumption towards other categories could have had an impact. The monsoon has been good and there are significant benefits that continue to accrue to the rural segment of the population. So I believe that in H2FY22 we should be able to deliver mid-single-digit growth."

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He said there will be sequential growth in gross margins going forward. He expects gross margins to return to 2020 levels in the next 2-3 quarters.

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With text inputs from PTI.

(Edited by : Abhishek Jha)