Emami Banks On Premium Grooming Segment Post Acquisition Of The Man Company
“It contributes around 5% to the turnover, which was approximately Rs 180 crore last year in fiscal 2024," said NH Bhansali, the CEO-Finance and CFO of Emami.
FMCG major Emami Ltd. recently acquired a 100% stake in Helios Lifestyle Pvt., which owns the male grooming brand, ‘The Man Company’. Emami aims to expand its presence in the premium male grooming segment, which has been on the rise in India, through this acquisition.
Talking about the deal, NH Bhansali, the CEO-Finance and CFO of Emami, said the company is 'very optimistic’ about the acquisition.
“We acquired a strategic stake first in December 2017, and we gradually increased our stake to over 50%. Now, we have acquired the remaining 49.6%. It is a very good business in the premium male grooming segment, and it is doing exceedingly well,” he said.
The acquisition came just days after Emami Chairman RS Goenka, in the AGM of the company, said it will keep exploring opportunities for inorganic and strategic growth.
The Man Company offers premium men's grooming products in categories including skin care, body care, fragrance, and beard management.
Discussing the impact of this acquisition on Emami’s financials, Bhansali said, “It contributes around 5% to the turnover, which was approximately Rs 180 crore last year in fiscal 2024. This has already been factored into the fiscal 2024 finances since The Man Company is a subsidiary, so it gets reflected in the consolidated results, and it is Ebitda positive as well.”
Despite the market challenges, the current demand has been decent, and things are set to improve with time, Bhansali said. "Thanks to government spending and rising consumerism, the domestic Indian market has started looking up gradually since the last quarter. Going forward, we expect good rural growth coupled with urban demand.”
Bhansali confirmed that Emami will launch a series of new products in the current year. "Last year alone, we launched around 50 products, not just in the general market but also in digital markets and direct-to-consumer channels. We will continue this trajectory in the current year as well," he said.
The FMCG company has set out a target of achieving double-digit growth for FY25 with entry into new product categories.
Emami, owner of brands like Boroplus, Zandu, Fair and Handsome, and Dermicool, reported a turnover of Rs 2,921.57 crore for fiscal 2024.
