While hygiene and home care segment, rural-focused players could see better demand, a large portion coming from non-essential products means topline will be impacted
The equity market hasn't yet found a bottom and it is still not a time to bottom fish
In the last 12 months, there has been derating of FMCG stocks on the bourses, against a P/E expansion in the broader market
Consumer index underperformed the broader indices in November as investors looked at alternatives
North India, the largest market for FMCG, saw volume growth falling to 1 per cent from 17 per cent as the FMCG volume shrank by 2 per cent the villages
According to the report, the slowdown had been brewing since 2016 but was intensified further by several disruptions in the past two years including demonetisation
Sales of staples will recover in the second half of the fiscal year that began April 1, as farm-support measures and above-average rain lift rural incomes, the brokerage said in a report
For the quarter ended June 30, 2019, the FMCG bellwether reported 15 per cent year-on-year (YoY) growth in its net profit at Rs 1,755 crore.
Combined revenues of these firms was up 10.3% YoY, double the growth of India Inc
The market may have bounced back in the past two trading sessions but experts are saying that we are far from forming a bottom
Even after six months of moderation in consumption, the average current valuation of major FMCG players is still at a premium
Nielsen has cut CY19 growth forecast to 9-10%, from 11-12%
A cash crunch caused by the crisis in the shadow-banking sector has curbed spending even on staples after hurting demand for cars and homes
As a result, the valuation premium that FMCG stock enjoys over the broader market is at a two-decade high