- Bajaj Consumer Care has announced its Q4FY24 results and a new buyback plan.
- The FMCG company plans to repurchase its own shares at a premium of 11 per cent against the closing price of ₹260.
- The buyback offer size represents 19.25 per cent and 20 per cent of the company’s fully paid-up equity capital and free reserves.
Bajaj Consumer Care announces a new buyback plan and Q4FY24 results, offering insights into the company’s financial health and future plans.
Bajaj Consumer Care Buyback Plan
Bajaj Consumer Care has declared a new buyback plan in which it seeks to repurchase its own shares at a premium of 11 per cent against the closing price of ₹260. The company’s board approved the proposal for a buyback aggregating up to ₹166.49 crore of fully paid up equity shares of up to 57.41 lakh at a price of ₹290 per unit. This will be payable in cash for the said amount.
Details of the Buyback Plan
The approved buyback is of up to 57,41,000 equity shares of the Bajaj-Group company representing 4.02 per cent of the total number of equity shares. These will be brought back from the equity shareholders as on the record date. The buyback offer size represents 19.25 per cent and 20 per cent of the aggregate of the company’s fully paid-up equity capital and free reserves based on both latest standalone and consolidated audited financial statements of the company, respectively, for the financial year ended on March 31, 2024.
Bajaj Consumer Care Q4 Results
Bajaj Consumer Care reported a 12 per cent decline in consolidated net profit to ₹35.58 crore for the fourth quarter ended March 2024. The company had posted a consolidated net profit of ₹40.46 crore in the same quarter of the previous fiscal. The Bajaj Almond Hair Oil manufacturer’s consolidated total revenue from operations during the quarter under review stood at ₹239.96 crore against ₹249.42 crore in the year-ago period. The company’s total expenses declined to ₹208.08 crore in the fourth quarter from ₹210.33 crore a year ago.
Conclusion
The announcement of the buyback plan and Q4FY24 results provide insights into Bajaj Consumer Care’s financial health and future plans. The company’s decision to repurchase its own shares at a premium indicates confidence in its future performance. However, the decline in consolidated net profit in Q4FY24 compared to the same quarter of the previous fiscal year will be a point of concern for investors.
