Indian consumer goods makers say Q1 sales growth picks up as demand improves

BENGALURU (Reuters) -Indian consumer goods companies Marico, Dabur and Adani Wilmar reported a pick up in first-quarter revenue growth as demand improved gradually, with consumers spending more on personal care and cooking products.

WHY IT'S IMPORTANT

Volume trends from key consumer goods companies, which sell everything from hair and cooking oils to oats, are seen as an important indicator of consumption patterns in the country.

KEY CONTEXT

Marico gets more than a quarter of its sales from rural India, while almost half of Dabur's sales is from villages and small towns. Both are expected to be key beneficiaries of the recovery in rural demand as companies cut prices, analysts said.

The recovery, though, is not complete from last financial year when persistently high inflation forced consumers to tighten their wallets.

Rival Godrej Consumer Products is also due to post its quarterly update.

BY THE NUMBERS

Company Q1 revenue growth Q4 revenue Q1 volume qrowth Q4

expectation growth expectation volume

growth

Y/Y

Marico High single digit 2% "Modest" 3%

percentage growth sequential

uptick

(domestic)

Dabur Mid to high 5.1% Mid single digit 4.2%

single digit percentage

percentage growth growth

(domestic)

Adani 11% -4.6% 13% 11%

Wilmar

(Reporting by Varun Hebbalalu and Ashna Teresa Britto in Bengaluru; Editing by Nivedita Bhattacharjee, Sohini Goswami and Savio D'Souza)