Emami Ltd has drawn up a strategic plan to more than double the contribution of its international business in the next five years. The plan, prepared by McKinsey, focuses on the West Asian, African and CIS markets.
“In the next five years we expect that about 30-35 per cent of our total revenue would come from international operations,” whole-time Director Prashant Goenka told reporters after the AGM here on Wednesday.
Currently, about 14 per cent of the company’s business comes from overseas operations.
In the domestic market, Emami will focus on healthcare products, addressing issues such as diabetes and insomnia. “We are in the process of test launching some products under the Zandu brand in Andhra Pradesh. The products will be in both OTC and ethical range. We see tremendous growth potential in this segment,” said Director Aditya V Agarwal. Emami also plans to take the recently acquired Kesh King brand of products nationwide. These are currently confined to about seven states.
At the AGM, Emami proposed issuing unsecured redeemable NCDs on a private placement basis to raise up to ₹700 crore, and to borrow up to ₹1,500 crore over and above the aggregate of paid-up share capital and free reserves.
The company has reported a 32 per cent increase in standalone net profit of ₹87 crore for the quarter ending June 30, against ₹66 crore in the year ago period.
Total income from operations rose about 23 per cent to ₹542 crore (₹442 crore). Consolidated net profit increased 24 per cent to ₹88 crore (₹71 crore).