Emami's Strategic Shifts Drive Revenue Growth

Emami, a home-grown FMCG firm, reported that 45% of its revenue in FY24 came from acquired brands, while non-seasonal brands contributed 56%. The company is transitioning from a seasonal, rural-focused entity to a perennial, universal organization with a consumer-centric approach. Emami aims to cater to both premium and low-priced markets as consumer preferences evolve.

Emami, the home-grown FMCG giant, has reported that acquired brands contributed to 45% of its top-line in FY24, while non-seasonal brands comprised 56% of its total revenue, according to the latest annual report.

In a shift from its traditional seasonal and rural-focused business model, Emami is evolving into a perennial and universal organization with a strong focus on consumer needs, Vice Chairman and Managing Director Harsha V Agarwal announced.

Agarwal noted that the company's portfolio—including brands like Fair and Handsome and Kesh King—demonstrates significant non-seasonal revenue generation. The shift to a consumer-centric approach over product-centric has also increased revenues from non-rural regions.

Additionally, the company is expanding its market by adopting new distribution channels, including modern trade and e-commerce, which now contribute 22% to domestic revenue. Emami's strategic acquisitions, including Zandu and Kesh King, have played a significant role in this growth, with 45% of the firm's revenue now stemming from these acquisitions.

The Kolkata-based firm, which owns iconic brands such as Navratna and Boro Plus, remains cash-rich and debt-free, enabling continued investments in acquisitions and new categories.

(With inputs from agencies.)