Consumer Staples Earnings Review - Improved Mobility Drives Q4 But Near Term Outlook Cautious: Systematix

FMCG products kept on shelves inside DMart. (Source: BloombergQuint)

Consumer Staples Earnings Review - Improved Mobility Drives Q4 But Near Term Outlook Cautious: Systematix

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Systematix Research Report

The fast moving consumer goods industry continued to recover in Q4 FY21 with the gradual easing of lockdowns and improved mobility.

While discretionary and out-of-home consumption recovered sequentially, categories like healthcare and soap that experienced Covid-19 induced tailwinds saw a moderation in growth.

According to data-analytics firm Nielsen, rural demand continues to drive growth while urban markets also delivered growth in Q4.

General trade and e-commerce channels are growing fast but modern trade remains stifled.

Revenue for our coverage universe grew 20.6% YoY (on a favourable base of down 5.3% YoY) but growth was only 6.8% on a two-year compound annual growth rate basis.

Click on the attachment to read the full report:

Systematix Consumer Staples - Q4FY21 Review.pdf

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