Godrej Consumer - Q4FY13 Result Review - Angel Broking

Godrej Consumer posted a healthy 29.7% yoy growth in top-line which was in-line with estimates. However, the 271bp yoy decline in OPM was a disappointment. OPM fell despite the fall in palm oil prices (a key raw material in soap manufacturing) on account of higher A&P expenses which went up by 120bp on a yoy basis. Recurring PAT rose by 22% yoy to Rs. 205cr, which was slightly below estimates.

We maintain our neutral rating on the stock.

Source : Equity Bulls

Keywords