Godrej Consumer Products estimates double-digit growth in Q1 sales; Shares rise 2%

The company's home care business unit, which houses the Goodknight and HIT brands, posted double-digit volume growth in the quarter under review, while it logged a higher-than-mid-single digit volume growth in its personal care division, home to Cinthol soaps.

"In India, overall consumer demand remained steady as seen in the previous few quarters. Our organic business continued to deliver robust performance with double-digit volume growth. This is in line with our strategy of volume driven category development," Godrej Consumer said in a statement. The business made up nearly 57 percent of its total revenue in the immediately previous quarter.

Godrej Consumer estimated its overall sales volumes, including in overseas markets, rose in the high-single digit percentage range.

"Our Indonesia business delivered steady performance on the back of structural changes implemented last year. Constant currency sales is expected to grow in mid-teens," the company said.

"Godrej Africa, USA, and Middle East (GAUM) continued to deliver consistent performance with constant currency sales growth in mid-teens. However, in INR terms, there was an adverse currency translation impact resulting in high-single digit sales growth," the statement read.

The company also said its "quality of profits has seen sustained improvement, led by robust gross margin expansion and ongoing category development investments." It added, "This should translate to strong EBITDA growth."