The company also projected that its digital-first portfolio will exit the ongoing FY25 fiscal with an ARR of nearly INR 600 Cr
The FMCG giant claimed that Beardo scaled up “ahead of expectations” and is well-poised to deliver a “double-digit” EBITDA margin in FY25
Marico counts the likes of men’s grooming brand Beardo, healthy snacks startup True Elements, personal care brands Just Herbs and Plix, among others, in its D2C portfolio
FMCG major Marico on Tuesday (October 29) said that its D2C personal care brands crossed the INR 525 Cr annualised revenue run rate (ARR) mark in the second quarter (Q2) of the ongoing fiscal year 2024-25 (FY25).
The company also projected that its digital-first portfolio will exit the ongoing fiscal with an ARR of nearly INR 600 Cr.
In its quarterly update filed with the BSE, the FMCG giant claimed that Beardo scaled up “ahead of expectations”, adding that the men’s grooming brand is well-poised to deliver “double-digit” earnings before interest, taxes, depreciation, and amortisation (EBITDA) margin in FY25.
“Beardo continued to scale ahead of expectations and is on course to deliver (a) double-digit EBITDA margin this year. Just Herbs and the personal care portfolio of Plix continued to gain traction,” the quarterly update read. The FMCG giant also estimated that its D2C portfolio companies were well on track to double their ARR by FY27.
“We closed the first half of the fiscal on a fairly positive note with the growth trajectory of the business heading in the right direction… Foods and digital-first brands continued to ramp up impressively and reinforce the diversification agenda…,” said Marico’s managing director and CEO Saugata Gupta.
The developments come at a time when Marico has aggressively scaled up its D2C play in the past couple of years. The FMCG major has acquired majority stakes in Beardo, healthy snacks startup True Elements, and Just Herbs, among others.
The move is in line with multiple FMCG giants, including Unilever and ITC, acquiring a shareholding in emerging D2C brands. The strategy also enables these companies to tap into the growing ecommerce channel to further shore up their top line and scale up revenues.
At the heart of all this is the Indian ecommerce space, which has made rapid strides in the past few years on the back of increasing penetration of the internet and smartphones as well as the growth of D2C startups.
As per Inc42, India is home to more than 50,000 digital-first brands and the homegrown D2C space is projected to grow to a $300 Bn market opportunity by 2030.
