Food : Revenue and margins remained under pressure in 4Q - By JS Research

<p></p><ul><li><span style="font-family:Arial, Helvetica, sans-serif;font-size:medium;">Based on the cumulative figures of sample consisting 9 listed food companies, we review the Food sector&rsquo;s profitability for Dec-2024 quarter. Despite 1% YoY decline in revenues and 200bp decline in gross margins, softening of interest rates helped the industry to report 24% YoY growth in earnings during 4QCY24.</span></li></ul><ul><li><span style="font-family:Arial, Helvetica, sans-serif;font-size:medium;">Within the food sector, dairy companies&rsquo; revenues suffered more than the others. We saw cumulative revenues of NESTLE, FCEPL and FFL reporting 8% YoY decline. This mainly reflects drop in sales volume led by the continued disparity between branded and unbranded dairy product prices subsequent to imposition of GST on branded dairy prod...