Adani Wilmar has witnessed 25% Year-on-Year (YoY) volume growth in first quarter of FY24, capturing the robust consumer demand. The sale of branded products in both edible oils and foods has been much stronger compared to overall sales of respective segments. While the volume growth was strong, the sales value decline on YoY basis is reflective of the sharp decline in edible oil prices.
The Food & FMCG segment recorded a revenue growth of 30%+ YoY to cross Rs 1,000 crore of revenue for the quarter on a standalone basis. This was the eighth consecutive quarter with 20%+ volume growth and 30%+ revenue growth, on YoY basis, for the Food & FMCG segment.
Both urban and rural areas have witnessed strong demand. The oil and foods continued to grow at a rapid pace in the alternate channels (E-com, MT, eB2B etc.) and recorded around 50% YoY volume growth for the quarter. The Company kept its focus on expanding the distribution of both oil and food products in the General Trade channel. The sale of branded products to HoReCa clients continued to grow strongly with distribution expansion in more cities and acquisition of new client accounts.
The Industry Essentials business grew by 20% YoY by volume in Q1FY24. However, the revenues declined by 15% YoY due to steep correction in prices of oleo and castor products, which together contributes around 70% of this segment’s revenue. The strong volume growth was primarily driven by good crush operations and exports of animal feed products.
Adani Wilmar is one of the few large FMCG food companies in India to offer most of the essential kitchen commodities for Indian consumers, including edible oil, wheat flour, rice, pulses and sugar. Its products are offered under a diverse range of brands across a broad price spectrum and cater to different customer groups.
| Company Name | CMP |
|---|---|
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| Gokul Agro Resources | 206.15 |
| Marico | 760.45 |
| BCL Industries | 32.90 |
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