According to CFO, Colgate wants to maintain profits while pursuing expansion

For the next quarters, the corporation does not anticipate a surge in input costs.

Speaking about the most recent oral beauty product introduction, Colgate says they have a competitive edge as industry leaders, especially in the whitening area.

Colgate, an oral care firm, wants to maintain its present EBITDA margins in the forthcoming June quarter while giving growth-oriented initiatives top priority.

Colgate's chief financial officer (CFO), Jacob MS, said, "We are located at a good place in terms of revenue margins both gross and EBITDA margins."

In the January–March quarter, earnings before interest, tax, depreciation, and amortisation (EBITDA) increased 17.7% YoY to Rs 532 crore. EBITDA margins increased to 35.7 percent YoY by 220 basis points.

According to Jacob, Colgate's research of its own and its rivals' performance indicates a strong growth trend for the firm within the category, with rural areas exhibiting indications of recovery. Sales in rural areas exceeded those in urban areas, and the business expects further growth in this category since rural markets are following urban patterns.

For the next quarters, the corporation does not anticipate a surge in input costs.

According to the leader in dental care, sales are now mostly determined by the amount of items sold, and this trend has continued into the current quarter. The business is succeeding in striking a healthy balance between volume and price, particularly as inflationary pressures lessen.

"And volume will need to play a key part going forward if we continue to deliver the current type of growth," Jacob said. "Therefore, our main focus is on volume and we achieve this by combining media campaigns to drive category volume growth," he said.

Brand advertising expenditures continue to be a key component of the business plan. Colgate dramatically increased their advertising spending, rising by 125 basis points to 13.5 percent of total spending. "Over the course of the year, this translates to Rs 760 crore spent on advertising," a corporate executive said during a teleconference with investors after the results.

Novel goods

Speaking about the most recent oral beauty product introduction, Colgate says they have a competitive edge as industry leaders, especially in the whitening area. There is a lot of potential for development in the Indian market for whitening goods. The firm now offers two variants: Visible White and Visible White O2.

"Our whitening offering will be further enhanced by the future gel application solution. The addition of Colgate Complete dental care products and this growth in whitening goods will be essential to our premiumization plan, according to Jacob.

For the corporation, premiumization is more common in direct trade and e-commerce. Approximately 5–6% of the company's overall revenues come from e-commerce.

The organization has surpassed oral care in its offers of personal care. Colgate intends to dramatically increase it, putting a strong emphasis on shower gel, even though it now accounts for just 3% of overall sales.

The management said that Palmolive is concentrating on the cleaning business, namely in the categories of body wash and hand wash.

Q4 earnings

For the March quarter, the business posted a combined net profit of Rs 379.82 crore, up 20.11 percent from the same time last year.

The personal care firm said in a regulatory filing on May 13 that its total revenues had increased to Rs 1,480.66 crore, or 10.35 percent, over the same quarter last year.