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Colgate Palmolive Q2 profit seen up 5%, volume growth may be 6%

Personal care products manufacturer Colgate Palmolive's second quarter profit is seen rising 4.9 percent year-on-year to Rs 164.6 crore, according to analysts polled by CNBC-TV18.

October 27, 2016 / 06:55 PM IST
 
 
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Personal care products manufacturer Colgate Palmolive's second quarter profit is seen rising 4.9 percent year-on-year to Rs 164.6 crore, according to analysts polled by CNBC-TV18.

Revenue during the quarter is likely to increase 10 percent to Rs 1,140 crore compared with Rs 1,038.5 crore in same period last year.

Analysts expect sales volume growth as well as price-led volume growth at around 5-6 percent each.

Operating profit may grow 4.7 percent year-on-year to Rs 266.8 crore but margin may shrink 110 basis points to 23.4 percent in Q2.

Factors to watch out for:-Price/mix led growth may aid revenue-Company launched Cibaca Ved Shakti & Activ Neem Clove flavored toothpaste to enter naturals segmentAlert: Cibaca Ved Shakti priced 30 percent cheaper than Patanjali's Dant Kanti-Higher advertising expenses may curtail expansion in EBITDA margin-Improvement in market share on QoQ basis will be closely watched-In Q1, market share improved sequentially after hitting 12 quarters' low in previous quarter.

first published: Oct 27, 2016 06:55 pm

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