Patanjali: sales growth slows in FY18 but confident it will pick up again

By

Isabelle Crossley

Published
May 18, 2018

Patanjali, the Ayurvedic beauty, health, and lifestyle brand, has reported a slowdown in growth during the previous financial year that ended on March 31, 2018 but hopes that the pace will pick up again soon.

“We have closed the year around the same level as the previous fiscal year’s revenue,” said Acharya Balkrishna, Patanjali’s Managing Director in an interview. On May 4, 2017, the head and face of Patanjali, Baba Ramdev, assured that Patanjali would continue to “double revenue every year” and reach a 20,000 crore rupees revenue (approximately three billion US dollars) during the last financial year. Ramdev also predicted that Patanjali will overtake Hindustan Unilever in terms of revenue by March 31, 2019, the end of this current financial year.

Patanjali reported a revenue of 10,561 crore rupees (approximately 1.6 billion US dollars) for the 2016/2017 financial year and so, although it has not released figures for the subsequent financial year, the company’s statements show that the total is the same or very similar. The 2016/2017 revenue total had been a huge jump from the total of 5,000 crore rupees in the 2015/2016 financial year but this fast pace of growth has slowed down.

Balkrishna cited the impact of the GST as the reason that growth slowed down and assured that the pace will pick back up again. Balkrishna also added: “Besides, we invested our energy in developing infrastructure and supply chain during the year. This year, we focused on system development, and not just revenue growth.”