The company has had to tone down its premium pricing policy to bring in more volumes for Whisper. The performance for both the years are not strictly comparable since the last year s results did not include figures relating to the divested businesses of shampoo and Clearasil. Its other income was substantially higher at Rs 28 crore compared to Rs 11 crore the previous year, since the latter figure includes profit on sale of immovable property, amounting to Rs 19 crore. Most industry experts feel there can be no future growth for FMCG companies unless it focuses on new brand launches. Variants will never give any brand the additional numbers.
New growth has to be propelled by new brand launches.
The company still earns a lot of operating profits, say analysts and is still considered a cash cow. Company officials have also been making the right noises about broadening consumer base and improving quality of distribution. There will be a lot of tough competition in these markets. There have no new brand launches happening and only a couple of variants have been launched. The future growth driver for this company will have to be new brand launches, said Rajesh Kothari, FMCG analyst with Khandwala Securities.