In it’s Annual Report for FY 2025, the Chairman Harsh Mariwala has said that the Company aims Rs 20,000 cr of revenues by FY 2030.
- In FY 2025, Marico reported revenues of Rs 10,831 cr.
- Rs 20,000 cr in next 5 years therefore imply a CAGR of 13%.
- Compared with this, the Company in the last five years actually grew at a CAGR of 8.2% only.
- Achieving a higher growth rate at a higher scale seems prima facie difficult.
- Company seems to be targeting higher growth by focusing upon certain segments
- foods business, which is primarily under the Saffola brand, and sells oats, honey, noodles, peanut butter, mayonnaise, and ready-to-eat healthy snacks – Rs 900 revenues in FY 25 to be grown at 25% over the medium term. Potential to become Rs 2,500-3,000 by FY 2030.
- digital-first portfolio – exited FY25 with an annualised revenue run-rate of Rs 750. Target is to make it significant by FY 2027
Achieving the projected numbers seem ambitious at this stage. Significant growth through inorganic route seem to be the only possibility.