FMCG firm Emami Ltd today reported a 31 per cent increase in consolidated net profit at Rs 150.68 crore for the third quarter ended December 31.
The company had posted a profit of Rs 114.95 crore in the same period last fiscal, Emami said in a filing to the BSE. Net sales rose to Rs 584.67 crore from Rs 548.44 crore.
"Unfavourable season and moderation in the growth of FMCG sector has led to this low growth," the maker of personal and healthcare products said.
During the quarter, Emami said its cost of material consumed increased to Rs 164.39 crore from Rs 157.28 crore a year earlier.
The company's board of directors recommended an interim dividend of Rs 3 per equity share.
Commenting on the performance, Emami Director Mohan Goenka said: "Despite depressed market conditions due to sluggish economy, high inflation and erratic weather, Emami has been able to sustain modest growth."
While demand for the company's products was good, leading to continuous increase in market share in key categories, a delayed and erratic winter affected offtake, he added.
"International business has performed well, with aggressive growth in GCC (Gulf Cooperation Council) and SAARC countries. Effective cost management and easing of input prices has helped improve margins and report higher profits," Goenka said.
The company said it posted a 37 per cent topline growth in its international business, without sharing details.