Fast-moving consumer goods company Patanjali Ayurved Ltd endorsed by Yoga guru Baba Ramdev is growing at a rapid pace and has overtaken several older and more experienced rivals in the year through March 2017.
The company reported revenue of Rs 9,346 crore from its FMCG business for 2016-17, it said on Thursday. Total group revenue including sales from Divya Pharmacy, the Ayurveda medicine division, touched Rs 10,561 crore.
The ayurveda major posted Rs 10,216 crore in FMCG and ayurveda sales during 2016-17, a jump of over 100 per cent from Rs 5,000 crore the previous year, the group announced on Thursday. While most of FMCG companies, including ITC and Hindustan Unilever, are yet to announce their results for the January-March 2017 quarter. This makes Patanjali, which was set up in 2006, the country’s second-largest FMCG Company and the third-largest by FMCG business.
Hindustan Unilever Ltd and ITC Ltd are now the only two FMCG players ahead of Patanjali.
In the process, Patanjali has surpassed the FMCG businesses of companies including Godrej, which first launched a soap in 1918, and Nestle India, the local unit of the Swiss giant that set up its first India factory in 1961.
Patanjali’s revenue doubled from Rs 4,807 crore in 2015-16, according to its filings to the Registrar of Companies. Revenue has surged 20 times, from Rs 453.4 crore, in 2011-12.However, the company did not provide any information on profits.
Patanjali’s largest-selling product is desi ghee, which contributes 14% of its revenue. Toothpaste brand Dant Kanti (9%) and hair oil brand Kesh Kanti (8%) are the other top-selling products.The company said it has around 15% market share in the shampoo and face wash market and around 14% in toothpaste. “We have about 50% market share in honey and we have no competition in cow’s ghee category. We are also the leader in raw ghani mustard oil and second-largest player in flour,” it said in a press release.
To challenge multinational restaurant chains like McDonald’s, KFC and Subway, Now Patanjali will soon plans to enter the restaurant business and textile in the coming year.So, don’t be surprised if you find one day that Patanjali restaurants are serving nutritious and safe food in your neighbourhood.
Taking a dig at other FMCG companies, Ramdev said his fight against economic colonisation of the domestic market would continue. “Unlike Unilever, MHC, P&G, and Colgate, Patanjali spends its whole profit on education, research, cow promotion and protection, and will continue doing so. Patanjali is an organisation owned by 125 crore (1.25 billion) Indians. So, I seek their cooperation in our mission,” he said.
By Sasha Square Team
Do you have an story to share?
Please write to us at firstname.lastname@example.org
Source: Sasha Square