- Net Sales increased by 20% to Rs. 1,335 crore
- EBIDTA increased by 12% to Rs. 150.61 crore
- Net Profit stands at Rs. 53.50 crore
- KS Oils’ strong retail-led sales push helped in improving sales in key markets across India
- Company was able to maintain higher profitability at Rs. 53.50 crore despite increased input costs
- Kalash, the company’s flagship and premium mustard and soyabean oil brand, continues to garner brand loyalty and increased sales
- Despite inflation in cost of raw material, the company has been able to pass on the price increase and also meet consumer demand at competitive prices
New Delhi, February 11, 2011: KS Oils Limited, one of India's leading FMCG-led integrated edible oil company and leader in branded mustard oil, posted a 20.10 % growth in turnover in Q3 FY 10-11. The company declared a turnover of Rs. 1,335 crore during the third quarter of FY 10-11, up from Rs. 1,112 crore during the corresponding period of the previous year.
KS Oils reported an EBIDTA of Rs. 150.61 crore for the quarter ended December 31, 2010 compared to
Rs. 134.13 crore during the corresponding period of the previous financial year. The company’s profit after tax (PAT) grew to Rs. 53.50 crore for the December quarter compared to Rs. 53.04 crore during the corresponding period of the previous year. The company’s third quarter and EPS stood at Rs. 1.31 compared to Rs. 1.34 during the same period last fiscal.
Announcing the results, KS Oils Chairman Ramesh Chand Garg said, “Agriculture plays a significant role in the overall socio-economic development of the country. Despite continued inflation and increase in food prices, an improved performance in this quarter is encouraging and augurs well for the company’s future prospects. Focusing our sales and distribution network to serve an ever increasing customer base, we are relentlessly pursuing our values of delivering superior quality products to our loyal customers. I believe that the demand for healthy edible oil will continue to grow as Indian lifestyle and consumption patterns undergo increased economic spending.”
The company’s retail-led sales push and on-ground promotions continued during the quarter. The company is focusing on increasing its C&F agents and distributors to its existing network. This will ensure quicker replacement and availability of its brand at retail counters across urban and rural India.
The company is keeping a closing watch on food inflation and rising global crude oil and agriculture commodity prices. The company is focusing on building the Kalash brand to create better consumer pull in the market and with increased demand, volume growth will continue with minimal effect on the margins.
The company has made concerted efforts to drive quality measures right from increasing efficiency at its five state-of-the-art manufacturing facilities to providing superior and unmatched quality products to the consumer. The company’s continuous endeavor to surpass the demands of an increasing consumer base and keep up to the brand promise of delivering health and prosperity has been critical to its superior 3rd quarter performance. This will also drive long-term future growth.
About K S Oil Limited (www.ksoils.com):
KS Oils Limited is a leading FMCG edible oil player from India with two leading brands ‒ Double Sher and Kalash. With a wide range of product offerings across all edible oils like mustard, soyabean and palm oil, its products are available under the Kalash and Double Sher brands.
With an FMCG-led brand focus, the company delivers purity, nutrition and health to millions of Indian consumers. In the past two decades, the company has built a significant market share across all of its product categories. The company follows sustainable environment-friendly business practices that ensure a better and healthier tomorrow for its consumers and other stakeholders.
A professionally managed company with operations across four countries in Asia - India, Singapore, Indonesia and Malaysia - KS Oils has been creating value across the entire edible oil supply chain. The company has attracted the best investors with three leading Private Equity players ‒ CVC International, Barings Private Equity and The New Silk Route Partners (NSR) owning a significant stake in the company and partnering in its growth.