Honasa Consumer Limited CC-Jun24.pdf · 2024-08-09
Hi. Thanks for the opportunity and congratulations on good set of numbers. The first question is just clarification. I know you called out that the impact of right sizing of channel inventory could be 150 basis point or the full year level, which would probably mean about INR30 crores or so on net sales. Will it have a disproportionate impact at profitability or you seem to be broadly comfortable on delivering your 150 basis point margin expansions guidance at a full year level?
Understood. And when you mentioned channel inventory correction does it essentially mean that the level of channel inventory will go down so basically that quarter will see a gap between primary sales and secondary sales? Or will there be some stock returns, which would lead to provisions or write offs as well?