The performance of Park Avenue and KamaSutra brands, which the Godrej Group FMCG arm acquired earlier this year from Raymond Group, has "improved sequentially and are on track to achieve full-year guidance", it added.
The board of directors of Nestle India will consider the proposal of sub-division of shares of the company of face value Rs 10 each on October 19. This proposal will be considered along with the earnings for the September quarter.
Sales of FMCG, cars, smartphones, and household appliances surged in the September quarter, driven by lower inflation, improved monsoon, price cuts, and offers. Passenger vehicle makers had their best-ever quarter, while the FMCG market grew 8-12% boosted by rural demand and price cuts. Sales of high-value items like televisions and refrigerators also increased. However, sales of mass segment and entry-level products have yet to recover. Rising crude oil prices are reversing the benefits of lower input costs, putting pressure on production costs.
FMCG: Consumer goods companies are using various strategies to navigate price elasticity and maintain sales in rural markets. They offer less for the same price to combat inflation, but also introduce larger packs with higher prices. To cater to different consumer segments, bridge packs offering better price-weight value have become popular.