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Marico shares fall over 3% despite strong Q1 results

Marico Ltd shares declined more than 3% in early trade on Wednesday despite reporting a strong set of earnings for the first quarter.

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Marico Ltd shares declined more than 3% in early trade on Wednesday despite reporting a strong set of earnings for the first quarter. As of 11:17 AM, the stock was trading near its day's low after touching ₹846.85, down from the previous close of ₹875.

The FMCG major reported a 25% year-on-year rise in consolidated net profit to ₹630 crore for Q1, compared with ₹504 crore in the corresponding period last year. Revenue from operations increased 22.9% YoY to ₹3,957 crore, up from ₹3,221 crore, driven by healthy growth across key business segments.

Operating performance also remained robust, with EBITDA rising 25% to ₹819 crore from ₹655 crore a year ago. The company's EBITDA margin improved marginally to 20.7%, compared with 20.3% in the year-ago quarter, reflecting stable profitability despite input cost pressures.

Despite the strong earnings, investor sentiment remained subdued, leading to profit booking in the stock. At 11:17 AM, Marico shares were down more than 3%, trading between the day's high of ₹879.00 and low of ₹846.85. The stock opened at ₹878.60, while the 52-week range stands between ₹690.30 and ₹889.10. Trading activity remained healthy, with over 21.30 lakh shares changing hands.

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Newsdesk

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