The steep hike in input costs is visible in the Wholesale Price Index (WPI)-based inflation, which scaled to a record 12-year high of 14.23 percent in November pushed by high prices of fuel, metals, food products and mineral oils.
volume growth of 4 percent (YoY) in the quarter was disapointing. Volume growth in the year-ago period was at 6 percent.
According to a CNBC-TV18 poll, revenue is likely to grow 5.7 percent at Rs 8220 crore from Rs 7774 crore (year-on-year) while volume growth is seen at 6-7 percent. HUL had taken a rural distribution clean up exercise during the quarter which may impact volume growth for the Q3.
EBITDA, during the quarter, was up 31.6 percent at Rs 100 crore versus Rs 76 crore and EBITDA margins was at 16.9 percent against 15.8 percent year-on-year.
AS Mehta, President, JK Paper, says that the company is looking for a suitable company to go for acquisition. He also says that the rising input costs have added pressure on margins. The company plans to increase the price by around Rs 6000 per tonne in January.
India's services sector grew at its fastest pace in five months in December riding on a surge in new business and expansion in employment, but rising input prices will likely add to inflationary pressures in the coming months, a survey showed.
Cement makers may further increase prices by Rs 5-10 per bag--the fourth hike since November—because of rising input costs, reports Business Standard.