FMCG company Adani Wilmar, in its quarter update announcement for Q1 of FY 2023-24, announced its recent launches during the period.
FMCG company Adani Wilmar, in its quarter update announcement for Q1 of FY 2023-24, announced its recent launches during the period. Under the whole wheat category, Adani Wilmar launched four premium grades (including Sharbati) of whole wheat under the Fortune brand in select markets. “This entry into a new category will enable brand penetration into more households and strengthen its brand equity for premium quality products. Fortune is the only national brand to offer branded whole wheat as a category,” the company said in the regulatory filing.
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Further, the FMCG major launched a multipurpose cleaning concentrate liquid, under the Ozel brand during the first quarter of FY24. “The offering is aimed at HoReCa clients for surface and utensils cleaning. This will allow us to serve HoReCa customers with a wider product basket, positioning us as a key supplier for their essential needs,” it said. Adani Wilmar had, in FY20, launched soap under Alife brand which is now clocking Rs 100 crore+ of annual revenue.
Sales performance by Adani Wilmar across business segments
In the edible oil category, the business grew by 25 per cent on-year in volume terms during the quarter on the back of continued strong consumer demand as well as the weak base of Q1FY23. The base quarter demand was disrupted by high edible oil prices with the onset of the Russia-Ukraine conflict. Adani Wilmar has been consistently focusing on growing the domestic oils – mustard oil and rice bran health oil. With edible oil prices falling by more than 50 per cent in less than one year, Adani Wilmar said that its risk management framework has mitigated the impact of falling prices on the gross profits to a significant extent.
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In the food and FMCG category, Adani Wilmar said that its food business continued to grow with segment revenues rising 30 per cent on-year to surpass Rs 1000 crore for the quarter on a standalone basis. “This was fueled by rapid growth in sales of branded products in the domestic market. The majority of our branded food products recorded a volume increase of more than 25 per cent for the quarter, with many of the new products that were launched in the market in the last 1 to 2 years, witnessing much faster growth,” it said.
Further, it said that exports of non-basmati rice decreased in terms of volume due to the continued restrictions on rice exports and levy of 20 per cent export duty. “In the rice business, we benefit from having both Kohinoor and Fortune as strong brands in our portfolio,” it said.
For industry essentials business, Adani Wilmar said that the business grew by 20 per cent on-year by volume in Q1FY24. However, the revenues declined by 15 per cent YoY due to steep correction in prices of oleo and castor products, it said, which together contribute around 70 per cent of this segment’s revenue.
