Jyothy Labs Q4 Review - Facing The Challenges Well: ICICI Securities
Bottles of “Ujala Supreme fabric whiteners”, made by Jyothy Laboratories Ltd. (Photographer: Abhijit Bhatlekar/Bloomberg News)

Jyothy Labs Q4 Review - Facing The Challenges Well: ICICI Securities

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.

ICICI Securities Report

Channel inventory rationalisation exacerbated the weakness in some of Jyothy Laboratories Ltd.’s existing categories leading to two-year compound annual growth rate revenue decline of 2% in Q4 (adjusted growth up ~3% as it implemented continuous replenishment system which had an ~8% impact on primary sales in Q4).

High margin post-wash business was impacted for most of the year; ex-post-wash FY21 revenue growth was ~6% higher (18%).

Focus on rural expansion (adding sub-stockists, driving low unit packs), rationalising channel inventory and continued media intensity are positive steps despite near-term challenges.

Click on the attachment to read the full report:

ICICI Securities Jyothy Labs Q4FY21 Results Update.pdf

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

BQ Install

Bloomberg Quint

Add BloombergQuint App to Home screen.