Industry Profile: FMCG is the fourth largest sector in the Indian economy. The retail market in India is estimated to reach US$ 1.1 trillion by 2020 from US$ 672 billion in 2016, with modern trade expected to grow at 20 percent – 25 percent per annum, which is likely to boost revenues of FMCG companies. There are three main segments in the sector – food and beverages, which account for 19 percent of the industry, and healthcare which accounts for 31 percent. And household and personal care, which account for the remaining 50 percent, Accounting for a revenue share of around 60 percent, the rural segment is the most significant contributor to the overall revenue generated by the FMCG sector in India and recorded a market size of around US$ 29.4 billion in 2016 and is expected to grow to US$ 220 billion in 2025. Demand for quality goods and services has been rising in rural areas of India due to improved distribution channels for manufacturing and FMCG companies. As a result, semi-urban and urban segments accounted for 40 percent of the overall revenues in India’s FMCG sector.
Company Profile: Emami Limited, the flagship company of the Group, was founded by R S Agarwal and R S Goenka. In 1974. The company is an Indian producer of Fast-Moving Consumer Goods, Healthcare, and personal care products. The company holds a portfolio of 300+ products and some well-known brands, Boro Plus, Navratna, Fair and Handsome, and Zandu Balm. The company is headquartered in Kolkata, having 31 depots and eight manufacturing centers. The company is in 60 countries, including GCC, Europe, Africa, CIS countries, and the SAARC.
Shareholding Pattern: BSE Data
Financials and Ratio: [table id=174 /]
Future prospectus: Demonetisation was a big shock, and GST made significant changes. Unorganized to organized never happened. It will never, but the brand’s company holdings are substantial, which will help.