The shares of the leading personal care brand gained up to 1.2 percent after the company launched AI-powered personalized Dental Screening.
With a market capitalization of Rs 75,334.58 crore, the shares of Colgate-Palmolive (India) Ltd were trading at Rs 2,772.90 per share, increasing around 0.82 percent as compared to the previous closing price of Rs 2,750.35 apiece.
Reason for Rise:-
The shares of the company have seen positive movement after Colgate-Palmolive (India) Ltd launched its transformative Oral Health Movement with AI-powered personalized Dental Screening. This unique AI-enabled initiative aims to encourage Indians to prioritize their Oral Health while leveraging technology to bridge the gap between the awareness and accessibility of Oral health in India.
Furthermore, Colgate has partnered with the Indian Dental Association (IDA) to activate a network of 50,000 dentists to support the Movement and offer free dentist consultations to people post the tool-based screening.
Financial performance:-
The company’s revenue surged 48%, increasing from Rs 1,471 crore in Q2FY24 to Rs 1,619 crore in Q2FY25. However, net profit zoomed by 97%, jumped from Rs 340 crore to Rs 395 crore, indicating strong revenue and profitability growth during the same period.
Market share:-
Colgate maintains a dominant position in India’s oral care market, controlling over 50% of the segment. The company aims to capitalize on this by focusing on premium products, as only 12% of the oral care category in India is currently premium, presenting significant room for expansion.
Ratio analysis:-
The company’s critical ratios show that the return on equity increased from 61.00 percent in FY22-23 to 70.61 percent in FY23-24, while the return on capital employed increased from 79.28 percent to 92.26 percent. The net profit margin (NPM) for fiscal year 23-24 is 23.30 percent.
Shareholding pattern:-
In the company’s recent shareholding pattern, the Promoters of the company own 51.00 percent while Retail shareholders own an 18.22 percent stake in the company and Foreign Institutional Investors own a 24.94 percent stake.
Company profile:-
Colgate-Palmolive (India) Limited is an India-based company engaged in manufacturing/trading of toothpaste, tooth powder, toothbrush, and mouthwash under the Colgate brand and personal care products under the Palmolive brand. The Company operates in a single segment: Personal Care (including Oral Care).
Written by:- Abhishek Singh
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