Colgate Palmolive India Limited announced its Quarterly Result for Q1FY22 on Thursday 29th July 2021. Here is the detailed analysis of the Quarterly Result:
1) Q1FY22 Result: Company Analysis Colgate
Colgate recorded growth in revenue of 12% YoY from Rs. 1,041 Cr. in Q1FY21 to Rs. 1,166 Cr. in Q1FY22. Quarter-on-Quarter, the revenue of the company has gone down by 9.1% from Rs. 1,283 Cr. in Q4FY21.
The Operating Profit or EBITDA of the company stood at Rs. 355 Cr. in the quarter ended 30th June 2021 against Rs. 308 Cr. on 30th June 2020 amounting to a growth of 15.3% YoY. But on a sequential basis, the same has gone down by 15.8% from Rs. 422 Cr. in the quarter ended 31st March 2021.
The EBITDA/Operating Profit Margin of the company has expanded by 90 bps YoY from 29.6% in Q1FY21 to 30.5% in Q1FY22. The EBITDA margin of the company was 32.9% in Q4FY21 which is now contracted by 240 bps QoQ.
The Profit Before Tax (PBT) of the company has gone up by 17.7% YoY from Rs. 267 Cr. in Q1FY21 to Rs. 314 Cr. in Q1FY22. While quarterly, the same has gone down by the same percentage from Rs. 381 Cr. in Q4FY21.
The Net Profit of the company has also increased by 17.7% YoY from Rs. 198 Cr. in Q1FY21 to Rs. 233 Cr. in Q1FY22. Quarter-on-Quarter, the net profit of the company has decreased by 25.9% from Rs. 315 Cr. in Q4FY21.
The Net Profit Margin of the company stood at 20% in the quarter ended 30th June 2021.
Colgate Palmolive- Q1FY22 Result
2) Advertisement Expenses: Colgate Palmolive Performance Analysis
The Advertising Expenses o the company was Rs. 160.2 Cr. in Q1FY22 slightly more than the previous quarter.
The Advertising Expenses as a % of sales jumped from 11.6% in Q4FY21 to 13.7% in Q1FY22.
Advertisement Expenses as a % of Sales for FY21 of the company was 13%.
The Advertisement to Sales Ratio of the company remains on the highest mark among the peers based on Ad Spends as of the year ended 31st March 2021
Colgate Palmolive- Advertisement Expenses
3) Revenue Trend & EBITDA/EBITDA Margin Trend: Company Performance Colgate
i) Revenue Trend:
The Revenue of the company has witnessed a slight fall in Q1FY22 but has remained near around the same levels in the last 8 quarters.
The Revenue Growth Trend of the company has also witnessed a downfall from 19.8% in the previous quarter to 12% in the first quarter of FY22. The company continuously reported growth in its revenue from Q4FY20.
Colgate Palmolive- Revenue Trend
ii) EBITDA/EBITDA Margin Trend: Colgate Stock Analysis
The EBITDA of the company has remained overall in the same line in the last 8 quarters but has shown a gradual increase since Q4FY20.
The EBITDA margin of the company is also in a good position at near around the levels of 30% from the last 3 quarters.
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