Prefer Britannia Industries, says Gautam Sinha Roy

Gautam Sinha Roy, Fund Manager at Motilal Oswal Mutual Fund told CNBC-TV18, "In many of these FMCG companies where you are seeing very strong gross margin expansion. That is actually creating a very strong delta in earnings for them this year. So, adjusted for that, the fees would not be very high and we are believers that this is a deflationary environment globally for commodities. So, if you believe in that hypothesis, we believe there is still a lot of room for margins, operating margins, gross margins to go up for a few of these names which is where we are mostly positive on.""On Britannia Industries per se, the management focus on improving, the business mix also is stupendous, that is something that we continue to like a lot. So, this is one company where we should see a very strong top line growth, revenue growth aided by gross margin expansion, so that is the key hypothesis in Britannia, this is a very strong hypothesis which we believe that will continue to play out for a long time."