Review

MARICO LTD. 

Ticker : 531642 
FV : Rs 1 
52-Week H/L : Rs 434.80/233.80

We had previously recommended Marico Ltd in volume no. 36, issue no. 1 (dated October 28, 2019), when the scrip was trading at Rs 394.65 and was recommended based on the company’s strong fundamentals as well as due to the fact that it was quite attractive then. Marico Limited is a consumer products company operating in the beauty & wellness space with products including edible oils and value-added hair oils. On the consolidated financial front, the net sales for Q2FY21 increased by 8.75 per cent to be Rs 1,989 crore as against Rs 1,829 crore reported for Q2FY20. Operating profit increased by 7.22 per cent to Rs 416 crore for Q2FY21 from Rs 388 for Q2FY20. The company gained a net profit of Rs 273 crore in Q2FY21, which is an increase by 8.33 per cent compared to the net profit of Rs 252 crore gained in Q2FY20. Considering the company’s improved financial & operational performance even in times of COVID-19, we recommended our investor-readers to BOOK PROFIT at Rs 431.85 as on January 11, 2021, with a gain of 9.42 per cent.