Marico prioritizes responsible marketing as AdEx rises by 18.4% to Rs 1,128 crore in FY25
Marico delivered an operating profit of Rs 2,139 crores, up 6% over the last year.
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FMCG giant Marico has emphasized that it will continue its commitment to "responsible marketing" amid an 18.4% rise in its advertisement expenditures in fiscal year 2025. To bolster long-term growth and trust among customers, especially in emerging markets, Marico will continue investing in "responsible marketing". Marico scaled up its advertisement and sales promotion expenditures to Rs 1,128 crore in fiscal year 2025 compared to Rs 952 crore in the preceding fiscal.
"As we expand in emerging markets, we remain focused on understanding changing consumer needs and offering products that meet their expectations. Our consumer-centric strategy not only improves brand loyalty but also promotes long-term business growth," the maker of the Coconut Parachute Oil brand mentioned in its FY25 annual report.
To woo the new generation of customers- Millennials and Gen Z-- FMCG brand said it will adopt a balanced approach for both digital and traditional marketing channels. Additionally, the company has ramped up its presence in e-commerce and quick commerce platforms, with a forecast that online buyers will increase over time.
As per the FY25 annual report, Marico mentioned, "E-commerce is now a key part of FMCG sales," and added, "India’s dense urban clusters, coupled with low-rent dark store networks, also make it an ideal market for quick commerce format".
Marico posted double-digit growth through the ecommerce segment, driven by "distribution expansion across e-grocers, category activations in personal care, and pack innovations for strategic accounts".
In FY25, Marico posted a consolidated turnover of Rs 10,831 crore, up 12% from the previous year. The underlying volume growth in the domestic business was 5%. The maker of health, beauty and wellness product company delivered an operating profit of Rs 2,139 crore in FY25, up 6% over the last year. Whereas, its operating margin stood at 19.7%, while recurring consolidated net profit after tax was at Rs 1,593 crore, up 8% over the last year.
The company's domestic business delivered a turnover of Rs 8,110 crore in FY25, aided by price interventions in core categories. The underlying volume growth stood at 5%. The International business recorded a turnover of Rs 2,721 crores in FY25, registering 8% growth year-on-year.
