Looking to maintain 25% growth ahead: Wipro Consumer

Vineet Agarwal, President, Wipro Consumer said the second quarter has been a good one for the company and they have crossed Rs 1000 crore in its quarterly revenue. In the soap segment, Santoor did well and Yardley's performance in the deodorant space has been good, added Agarwal. He also said that Q2 saw good growth in office furniture segment.

Also read: Wipro to hive off non-IT biz into unlisted arm, share up 3%

Going ahead, Agarwal wishes to maintain their 25 percent growth rate. "We have a track record of growing at 25 percent from an organic perspective and that is something that we would like to retain. We believe that if our margins are reasonably good we would have enough cash to do acquisitions. We would like to be one of the fastest FMCG companies in terms of growth." Below is an edited transcript of Girish Agarwal's interview on CNBC-TV18. Q: Give us a synopsis of the quarterly earnings this time around for Wipro Consumer in terms of all your segments and the margins that you all have reported?
A: This has been a good quarter for us. We have crossed Rs 1000 crore from a quarterly revenue perspective. We have done Rs 1007 crore at a growth rate of 26 percent. Our EBITDA has grown from 29 percent to 11.3 percent fairly in line with what we reported, between 11 and 12 percent. Our business has been fairly good across segments.
There have been some segments which have not done as well while the other ones have compensated for it. In terms of India Santoor continues to do well, it has grown 22 percent. Yardley continues to do well and has grown 53 percent. We launched Aramusk range of soap talc and deos, a brand we acquired last year and has just rolled out with a new celebrity.
In terms of our institution business there has been a pressure as far as demand is concerned because expansion in offices, factories, general capex by corporates have been relatively lower. But we have grown well in office furniture business largely because our offering in those platforms are very good, especially with the international designers.
In the commercializing segment it has been flat but, we have grown very well in LEDs with a company that we acquired last year. Q: This may be the last time we speak to you as you will be a private company from the next quarter. But there could be people with private share holding and people out there who want to know whether they have to exchange their shares or stay with your company as a private investor. So how is growth looking here after? Will this be the prorata performance?
A: We will be here for some more quarters because the demerger is likely to be a function of the court order which will probably take some time. And post that, we would like to come and report our results and it is not that the investors will not know about our results.
But, we have a track record of growing at 25 percent from an organic perspective and that is something we would like to retain. And if our margins are reasonably good we would have enough cash to do acquisitions. So our strategy does not change. We would like to be one of the fastest FMCG companies in terms of growth and would like to retain going forward.