Marico thumbed down

Marico is not doing too well today morning, falling 7% to hit an intraday low at Rs.502.30, the lowest point in 3 months. Its 52-week low is at Rs.455.80.

The market is disappointed with its Q2FY23 earnings wherein it reported a 3% (YoY)  and 18.5% (QoQ) decline in consolidated net profit at Rs.301 crore.

Consolidated revenue from operations rose 3% (YoY) to Rs.2,496 crore while domestic volumes grew 3%.

EBITDA rose 2%  at Rs.432 crore while margins fell 17 bps to 17.3%

The company said that retail Inflation and weakening INR subdued macro context while volatility in commodities except copra and continuing rising crude oil prices dented margins.

The company hopes that reasonable rainfall season and government subsidies will aid consumption - rural sentiment recovery remains key. It expects mid-single digit domestic volume growth in H2.