FMCG major, Colgate-Palmolive India Monday reported a 10 percent rise in net profit at Rs 188.8 crore for the fourth quarter ended March 2018. The profit was driven by an improvement in operating margins led by lower advertising costs and soft raw material prices.
The company also declared a special interim dividend of Rs 11 per share.
A Reuters poll of analysts had estimated net profit for March quarter at Rs 182.6 crore.
The company reported net sales of Rs 1085 crore in March quarter compared to Rs 1026.9 crore reported a year ago. The company posted volume growth of 4 percent.
Revenue from operations grew by 5.2 percent to Rs 1,091.7 crore from Rs 1,037.5 crore YoY. Operating profit in Q4 increased 26.6 percent to Rs 307.6 crore from Rs 243 crore in same period last year.
The company's operating profit margin expanded 480 basis points year-on-year to 28.2 crore for the quarter ended March 2018. Volume growth was at 4 percent against analyst estimates of 5 percent.
Colgate's market share in the toothpaste segment fell to 53.4 percent at the end of March 2018, from 53.7 percent in December quarter, and 55.1 percent in corresponding period last fiscal.
Commenting on the results, "Issam Bachaalani, Managing Director, Colgate-Palmolive (India), said, "We remain focussed on driving growth in our key categories and improving gross margins through various funding-the-growth-program initiatives to fund continued investments in our brands."
Today, Colgate-Palmolive India stock ended marginally down at Rs 1,220 a share on National Stock Exchange.
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