EMAMILTDNSEMay 16, 2025

Emami Limited

4,959words

67turns

5analyst exchanges

7executives

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Management on call

Mohan Goenka

VICE CHAIRMAN AND

Vivek Dhir

CHIEF EXECUTIVE OFFICER

Gul Raj Bhatia

PRESIDENT (HEALTHCARE), EMAMI LIMITED

Manish Gupta

PRESIDENT (SALES), EMAMI LIMITED

Giriraj Bagri

CHIEF GROWTH OFFICER, EMAMI LIMITED

Rajesh Sharma

PRESIDENT (FINANCE &

Percy Panthaki

IIFL CAPITAL

Key numbers — 40 extracted

11%

siness continued to deliver robust growth this quarter also, this time growing by double digit at 11%, with volume growth of around 7%. This growth was achieved across brands and categories, reflecti

growth this quarter also, this time growing by double digit at 11%, with volume growth of around 7%. This growth was achieved across brands and categories, reflecting strong well-rounded performa

16%

ng strong well-rounded performance throughout the portfolio. Navratna and Dermicool range grew by 16%. BoroPlus range delivered growth of 27%. Healthcare range grew by 13%. And pain management grew b

27%

ghout the portfolio. Navratna and Dermicool range grew by 16%. BoroPlus range delivered growth of 27%. Healthcare range grew by 13%. And pain management grew by 1%. In the male grooming category, our

13%

and Dermicool range grew by 16%. BoroPlus range delivered growth of 27%. Healthcare range grew by 13%. And pain management grew by 1%. In the male grooming category, our recent rebranding efforts are

roPlus range delivered growth of 27%. Healthcare range grew by 13%. And pain management grew by 1%. In the male grooming category, our recent rebranding efforts are showing early success. The newl

12%

h, and Kesh King delivered flattish growth this quarter. After absorbing the revenue decline of 12% in our strategic investment portfolio, our overall domestic business grew by 9% in Q4 with a volu

venue decline of 12% in our strategic investment portfolio, our overall domestic business grew by 9% in Q4 with a volume growth of about 5%. We are proactively addressing challenges in the Kesh King

nvestment portfolio, our overall domestic business grew by 9% in Q4 with a volume growth of about 5%. We are proactively addressing challenges in the Kesh King and The Man Company. We are sharpening

50%

portal Zanducare. Our digital-first portfolio on Zanducare continues to scale rapidly going over 50% year-on-year and now contributing. Over 80% of Zandu Care’s sales. Products launched in the last

80%

io on Zanducare continues to scale rapidly going over 50% year-on-year and now contributing. Over 80% of Zandu Care’s sales. Products launched in the last two years now contribute around 50% to total

28%

tional sales continued to perform strongly. In FY ‘25, these channels together contributed around 28% to our domestic revenue, a 140-basis points improvement year-on-year. While our overall domestic

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Guidance — 14 items

Mohan Goenka

opening

“We are sharpening Kesh King strategy on solving for both medium term strategic issues as well as tactical challenges, E-com pricing SKU mix and media effectiveness.”

Mohan Goenka

opening

“With strategic actions being taken for male grooming, range Kesh King and The Man Company, we anticipate positive momentum for these brands in FY ‘26.”

Mohan Goenka

opening

“We expect a gradual pickup in consumption, supported by easing inflation, recent income tax benefits to individual taxpayers, higher government CAPEX and a more accommodative monetary policy, including potential rate cuts.”

Abhneesh Roy

“My first question is on Zairus Master, so here my question is, what will be his key KRA from the next two to three years’ perspective?”

Abhneesh Roy

“So what will be his main target over the next two to three years’ timeframe in Man Company?”

Mohan Goenka

“So, of course, the target is to get back to growth, to take The Man Company and other startups on the fast track, how can we get to substantial growth.”

Mohan Goenka

“I am not expecting profits immediately, but of course the long term target is to get these brands to profitability.”

Giriraj Bagri

“So I expect a very significant rebound to happen in The Man Company in the months to come.”

Gul Raj Bhatia

“Going forward, we are going to drive improved marketing campaigns, focusing on a better return on investment, considering the fact that consumer shifts are also happening.”

Gul Raj Bhatia

“So, we will also be focused on NPDs, but I think the focus will be compared to previous years more on consolidating and leveraging the NPDs we launch to see how we are able to scale them up in a profitable manner.”

Risks & concerns — 12 flagged

After absorbing the revenue decline of 12% in our strategic investment portfolio, our overall domestic business grew by 9% in Q4 with a volume growth of about 5%.

— Mohan Goenka

Turning to our international business, after the decline in Q3, we returned to growth in Q4, posting a 6% increase despite geopolitical and macroeconomic challenges in Bangladesh, Middle East, and some parts of Africa.

— Mohan Goenka

In Man Company, in the past few quarters, your stake has almost become 100% and the numbers have been a bit volatile.

— Abhneesh Roy

So in terms of now this new leadership and the overall performance has been a bit volatile.

— Abhneesh Roy

And in terms of anything weak in the business model, is there something weak or is it just the demand scenario which was weak, and the transition was there?

— Abhneesh Roy

So there would be slight challenge on our summer portfolio, and we will try to see if we can make it up with some of our other portfolios.

— Mohan Goenka

I think the audio quality at the end was weak, but I got the gist.

— Abhneesh Roy

Ultra Power and Mentho Plus has consistently been growing, but unfortunately the green pack, which is the main product, is showing signs of some stress.

— Mohan Goenka

Smart and Handsome, the decline has been arrested.

— Mohan Goenka

But having said that, mid singles should not be a problem, repeating the base is always tough, that's the current challenge we are having internally, oil so far looks robust.

— Manish Gupta

And I have continuously been maintaining that I do not see any pressure on our GCs this year also.

— Giriraj Bagri

Then we do not see any pressure on margins.

— Giriraj Bagri

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Q&A — 5 exchanges

Yes. Thanks and congrats on the good numbers. My first question is on Zairus Master, so here my question is, what will be his key KRA from the next two to three years’ perspective? In Man Company, in the past few quarters, your stake has almost become 100% and the numbers have been a bit volatile. And he has a excellent track record and excellent experience in Honasa, Unilever, Airtel, Nokia, etc. So what will be his main target over the next two to three years’ timeframe in Man Company?

Mohan Goenka

Yes, firstly, we are very excited to have him on board. We have been trying to reach out to him for quite some time. So this was absolutely part of our strategy to bring someone who understands this business very well. And of course, he has just joined a couple of weeks back, and he's a master in this. So, of course, the target is to get back to growth, to take The Man Company and other startups on the fast track, how can we get to substantial growth. Plus, at the same time, of course, the targets are to see that the brands get to profit in some time. I am not expecting profits immediately, bu

Hi, Mohan ji and team. Thanks for the opportunity and congratulations. I was little bit excited seeing BoroPlus range has grown 27%. Did you see any sudden spike? I mean, winter was extended, but is there anything new which has happened in that segment?

Mohan Goenka

Not really, Shirish. When summer doesn't do so well, BoroPlus does slightly better and same trends is what we are seeing also in the first quarter, BoroPlus is doing, though it's a very, very small base, but April and May BoroPlus is shining better than our some of our summer items. So it is purely seasonal, honestly. Okay. The other thing I wanted to check with you, this Smart and Handsome launch has happened over the end of quarter or early, say, Jan? Yes, we launched it in the second week of January. Okay. So by and large, we would have now phased out the Fair and Handsome and everything is

Yes. Good evening. I had a few questions. So one was, if you look at the pain management category for your business, it's been about seven quarters now of kind of single digit growth, obviously there was one de-growth quarter, but single digit kind of growth. Mostly from a slightly medium to long term perspective. is that the sort of trajectory that we should also kind of look at mid-single range, in a category that has got reasonable history, it should be kind of a normative growth? Or do you believe in any way innovations etc. can also kind of add a little bit more additional growth to this

Mohan Goenka

Harit, you are right, pain management is an important segment for Emami. It almost contributes to around 20% of our overall revenues. And it has got three products. One is Zandu Balm which is the mother brand, green color, and Zandu Ultra Power and Mentho Plus Pain Balm. These are the three. Ultra Power and Mentho Plus has consistently been growing, but unfortunately the green pack, which is the main product, is showing signs of some stress. But anyhow, we have a robust plan for new products in pain management. We have launched a couple of products under this Zandu, and this year again we are

Hi sir, thanks for taking my question. So sir, I had two questions. One was, just wanted to get a sense on the summer products, how the volume trajectory had been for both Navratna and the Dermicool, given the fact that their revenue growth has been pretty robust during the quarter? And also, if you can share some outlook for Q1 for the rest of the summer season?

Mohan Goenka

This is a difficult one, Ajay. As I said, summer has not gone down so well, unfortunately. We had of course done some primaries in Q4, so the secondaries are slightly on the lower side because of rains. So, we have yet another four weeks of summer left. Let us hope if some markets rebound, then we might see low single digit growth. Manish, do you want to add anything? Manish Gupta is here, so Manish, if you want to add anything. Yes. So, all I will say is that from a Q4 perspective what the change we did in our strategy was to streamline how we load up that trade and everything. So, we have be

Hi sir. Very glad to see Fair and Handsome back in positive territory. Can you give some more detail on exactly what was the work that went behind turning this brand around and sort of getting this performance back?

Mohan Goenka

So Percy, it was all round 360 ° plan, right from changing the brand name to very aggressive marketing, both urban, rural, TV, OTT, digital, so everything. I think in Q4 we went very aggressive on go to market strategy. So it was a well-planned rollout strategy for Smart and Handsome. We hope that the momentum continues, that is what we are seeing. We are more optimistic on the face wash category because that is a very fast-growing category. And on the other male grooming launches that we have planned for this year, we have plans in place, we will be rolling out in Q2. So, we have been working

Speaking time

Mohan Goenka

Shirish Pardesi

Moderator

Percy Panthaki

Harit Kapoor

Abhneesh Roy

Giriraj Bagri

Ajay Thakur

Rajesh Sharma

Gul Raj Bhatia

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Opening remarks

Percy Panthaki

Hi, good evening. Welcome everyone. I have with me the Management of Emami. I have Mr. Mohan Goenka – Whole-Time Director and Vice Chairman; Mr. Vivek Dhir – CEO (International Business); Mr. Gul Raj Bhatia – President (Healthcare Business); Mr. Manish Gupta – President (Sales), and Mr. Giriraj Bagri – Chief Growth Officer; Mr. Rajesh Sharma – President (Finance & IR). Without further ado, I will hand over the call to the Management who will take you through the results and then we will have the Q&A. Over to you, sir.

Mohan Goenka

Thank you, Percy. Very good afternoon, ladies, and gentlemen. Thank you for taking this time to join us today for our Earnings Call for the 4th Quarter and the Financial Year ended 31st March, ‘25. Consumption demand trends in Q4 remained similar to the previous quarter. While rural markets continued to perform well, mass urban demand remains subdued. In this scenario, I am pleased to report that our core domestic business continued to deliver robust growth this quarter also, this time growing by double digit at 11%, with volume growth of around 7%. This growth was achieved across brands and categories, reflecting strong well-rounded performance throughout the portfolio. Navratna and Dermicool range grew by 16%. BoroPlus range delivered growth of 27%. Healthcare range grew by 13%. And pain management grew by 1%. In the male grooming category, our recent rebranding efforts are showing early success. The newly repositioned Smart and Handsome brand posted a 7% growth, and Kesh King delive

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