Bajaj Consumer Care Ltd. in its June quarter earnings commentary said that the hair oil market has grown in both volume and value terms for the first time after eight quarters.
The company further said that while the urban market continues to grow, the rural market is recovering.
For the June quarter, Bajaj Consumer reported revenue growth of 8.3 percent from last year to Rs 270.16 crore, while net profit rose 36.3 percent to Rs 46.2 crore.
Operating profit or EBITDA grew by 31.3 percent to Rs 47.85 crore, while margin expanded by over 300 basis points to 17.7 percent from 14.6 percent last year. Gross margin remained flat at 55.4 percent from 55.5 percent last year.
The company's Almond drops hair oil business reported value growth of 9 percent from last year, while the Amla portfolio grew in double digits when compared to the March quarter.
Close to 20 percent of overall spends are now being done on digital media. Ad spends during the quarter stood at 16.6 percent, which was lower than 18.8 percent of sales done last year.
The company also launched three new products during the quarter - Almond Drop Extensions: Serums & Soap, Nomarks extending into face serums and Bajaj 100 percent pure Henna.
Shares of Bajaj Consumer Care are trading 3.2 percent higher at Rs 229.80. The stock hit a 52-week high of Rs 237.75 after the numbers were announced. Shares have now gained 35 percent on a year-to-date basis.
