Godfrey Phillips India (500163) Q1 24/25 earnings summary

Executive summary

• Q1 FY25 consolidated gross sales value reached Rs 3,186 crore, up 22% year-over-year; net profit before exceptional item at Rs 273 crore, up 8% year-over-year.

• Unaudited standalone and consolidated financial results for the quarter ended June 30, 2024, were approved and reviewed by the Board and Audit Committee.

• Board approved exit from retail business; closure costs of Rs 44.6 crore recognized as exceptional item.

• Appointment of Ms. Charu Modi as Executive Director for five years effective September 7, 2024, subject to shareholder approval.

• Certified as 'Great Place To Work' for sixth consecutive year; continued focus on sustainability and talent infusion.

Financial highlights

• Gross sales value for Q1 FY25: Rs 3,186 crore (up 21.5% year-over-year); net revenue: Rs 1,171 crore (up 12%).

• Consolidated revenue from operations for Q1 FY25 was ₹144,081 lakhs, up from ₹124,539 lakhs in Q1 FY24.

• Gross profit: Rs 539 crore (up 9.3%); gross margin at 16.9%.

• EBITDA: Rs 266 crore (up 5.1%); net profit before exceptional item: Rs 273 crore (up 7.7%).

• Net profit after exceptional item: Rs 229 crore (down 9.8% year-over-year due to retail business closure costs).

Outlook and guidance

• Plans to enter new markets and launch new offerings while maintaining focus on productivity and profitability.

• The Board recommended a dividend of ₹56 per equity share for FY24, pending approval at the upcoming AGM.

• Strategic priorities include expanding cigarette markets, strengthening international business, and leveraging distribution partnerships.