Jyothy Laboratories Limited (JYOTHYLAB) Q3 FY23 Earnings Concall Transcript

Jyothy Laboratories Limited (NSE:JYOTHYLAB) Q3 FY23 Earnings Concall dated Jan. 25, 2023.

Corporate Participants:

Sanjay Agarwal — Chief Financial Officer

M R Jyothy — Managing Director

Analysts:

Manoj Menon — ICICI Securities — Analyst

Gaurav Jogani — Axis Capital — Analyst

Naysar Parikh — Native Capital — Analyst

Aviral Jain — Siguler Guff — Analyst

Sachin Jain — Individual Investor — Analyst

Harsh Shah — InCred — Analyst

Karan Bhuwania — ICICI Securities — Analyst

Shreyansh Jain — Swan Investments — Analyst

Presentation:

Operator

Ladies and gentlemen, good day, and welcome to the Jyothy Labs Q3 FY ’23 Results Conference Call hosted by ICICI Securities Limited. As a reminder, all participant lines will be in the listen-only mode. And there will be an opportunity for you to ask questions after the presentation concludes. [Operator Instructions] Please note that this conference is being recorded.

I now hand the conference over to Mr. Karan Bhuwania from ICICI Securities. Thank you. And over to you, sir.

Manoj Menon — ICICI Securities — Analyst

Hi, everyone. This is Manoj Menon representing ICICI Securities. It’s a wonderful good morning, good afternoon, good evening to you depending on the part of the world you’re joining this call from. At ISEC, it’s our absolute pleasure to host the 3Q FY ’23 results conference call of Jyothy Labs. The company is represented by Ms. M R Jyothy, Managing Director and Mr. Sanjay Agarwal, the CFO. After the initial opening remarks and the presentation by the management team, we will open up the floor for Q&A. Thank you. Over to Sanjay, please.

Sanjay Agarwal — Chief Financial Officer

Hi. Thank you, Manoj, and very good afternoon to all of you. And we welcome you to the conference call of Jyothy Labs. We will be discussing our performance for the quarter ended December 31, 2022, with all of you and as Manoj said, we will follow it with a Q&A after the opening remarks. So friends, overall a decent quarter. We have been continuously focusing on execution. And as you may have already seen our results, we have reported a healthy revenue growth of 13.7% and an EBIDTA grew by 37.9%. On a two year and as well as on a three year CAGR basis, our revenues have grown by 13.3% and 13.4%, respectively. So good double digit growth for last few quarters. If you look at the volume growth for the quarter was 2.1%. Each of our categories have grown by double digit except HI. If we analyze the business ex-HI, our value growth is 16.7% and a volume growth of 3.9%. So, overall decent set of numbers.

On business front, we continue to see the headwinds of input price inflation, and therefore, in this environment our focus is — remains to focus on the top line growth with balancing the margins. Lower unit packs continue to gain acceptance and are selling strong in the rural markets. We continue to focus on our potential of rural India and accelerate our overall growth through distribution drives, category penetration strategy, digitalization and premiumization. Both urban and rural continues to do well. The rural demand has been impacted more due to inflation issues and they are more cautious than the urban consumers. However, given the strong potential, we will continue to focus on our rural franchise and the numbers have been encouraging.

With regards to the specific commentary on channel performances, there is a stable growth across all channels now and that’s also being aided by our expanded distribution platform. Our constant endeavor is to fulfil the consumer needs and consistently gain market share across brand categories, which is helping us in building scale and growth for the future.

Regarding our different business categories, the demand for detergents, dish wash and personal care category is stable. For HI, which is Q3 is one of the smaller quarters, sales got impacted due to seasonal trends in our core markets of North and East of India and industry issues of illegal incense sticks.

On margin front, there has been a sequential improvement in margins. Few of the raw material prices have softened, but some of the key inputs like you have your labsa and soda ash, the prices have still remained high and which is keeping pressure on margins. However, as we see the EBITDA margin for us for this quarter is 13.8%, there is a sequential improvement by 160 bps. At September quarter we were at 12.2%. And also last year same time, our EBITDA margin was 11.3%, so there is an improvement of 250 bps. So overall a positive trend.

More from the house keeping, the small breakup. On the other income side, we — it includes INR9.5 crores pertaining to sale of land during this quarter. We move on to the key category performances. Our Fabric Care is doing well with 26% growth this quarter. Our lead brands Ujala & Henko have been doing a good growth. As you know, both in Ujala & Henko we have forayed into liquid detergents that’s doing well. And our geography extension of Ujala Crisp & Shine is also doing well. Similarly, on the mid priced detergent brands, Mr. White & Morelight, they have witnessed good demand. And as, unlike the earlier quarters, the momentum continues there. So overall a good performance in the Fabric Care.

Similarly in the dish wash category, both Exo & Pril continue to do well. We see both large packs in urban consumers and smaller packs in rural India. Rural markets offering good value to your — superior value to the consumers, so both doing well. And we continue to invest in both the brands of Exo & Pril and which has accelerated the growth on a pan-India basis. This quarter on Exo bar our pan-India market share has reached now at 14%. So that’s very encouraging.

On the HI segment, the coil category itself de-grew by 12% for us. Sorry not for us, but the coil category de-grew by 12%. And for us, as I earlier said, Q3 is a smaller quarter and our market shares have — we have been holding our market shares well. So we remain positive on this category. And we are hopeful that in the next year onwards things are more positive for this category as well. Finally, on Personal Care, which is primarily our Margo based franchise, a Neem based Margo franchise that’s also delivered a double-digit growth. So that’s doing well.

So in summary, we’ll continue to focus on volume-led growth what we have been focusing in the past and drive towards gaining market-share for all our brands. Going forward, I mean with the union budget around the corner, we are optimist that will offer more avenues for consumption to increase. And we believe that volume will gradually grow from here on and sequentially we should see improvement in margins and we’ll continue to focus on our journey to deliver revenue double-digit growth.

So with this, I finish my opening remarks. We are happy to answer any questions or clarifications you may have. Thank you.

Questions and Answers:

Operator

Thank you very much. We will now begin the question-and-answer session [Operator instructions] The first question is from the line of Gaurav Jogani from Axis Capital. Please go ahead.

Gaurav Jogani — Axis Capital — Analyst

Thanks for the opportunity and congrats on the good set of numbers. Sir my first question is with regards to Fabric Care segment that has continued to grow well about 20% over the past two to three quarters. So if you can help us break this between what could be kind of volume growth that you’re seeing and what could be the pricing growth here? And going ahead as the price [Indecipherable] rises how do you see the growth being driven in the segment?

Sanjay Agarwal — Chief Financial Officer

Yeah. So Gaurav, thank you for your question. Broadly, Fabric Care we’ve seen double digit volume growth and the balance is on the price. And we are in this Fabric Care with multiple brands and having brands at different price points. Overall, we see good traction for us and from numbers perspective definitely should have double-digit growth in Fabric Care, I mean, the next few quarters as well.

Gaurav Jogani — Axis Capital — Analyst

Sure. Thank you, Sir. And sir, my next question is with regards to the depreciation expense. So if we see on a standalone basis, the depreciation expenses actually have even on a nine month basis and even for the quarter as well. And even we are seeing some decline on the consol basis also. So if you can help us out, how we can build-in the depreciation expenses going ahead? Any guidance on this will be helpful.

Sanjay Agarwal — Chief Financial Officer

So, Gaurav that if you look in the consol, the numbers or the depreciation and amortization expense broadly remains the same or in line with the business. On standalone in previous years, we used to have a trademark which got amortized. And we did not had any impact on the consolidated numbers.

Gaurav Jogani — Axis Capital — Analyst

Sure. So sir, basically, the run rate that we are seeing, basically could we see the similar trends in the quarters going ahead as well?

Sanjay Agarwal — Chief Financial Officer

Yeah, yeah. On the consolidated basis, that’s right. And even in the quarter what we have for the standalone, what we have on December will be the same trend going forward as well.

Gaurav Jogani — Axis Capital — Analyst

Sure. And sir, just last final question from my end on the raw material side, while you highlighted that the [Indecipherable] both of them continue to remain inflationary. But most of the other RMs have seen significant decline on a YTD basis. And this has also seen on your Q2 margin improvement as well. So going ahead, do you still believe there is further scope of margin expansion given that the raw material prices remains where they are today?

Sanjay Agarwal — Chief Financial Officer

Yeah. So we expect this should be, assuming that the raw material prices remain where they are today and the softening continues. Yes, definitely there should be sequential improvement in the margins. But we cannot quantify at this point of time.

Gaurav Jogani — Axis Capital — Analyst

Sure, sir. Thank you and that’s all from me.

Sanjay Agarwal — Chief Financial Officer

Thanks, Gaurav.

Operator

Thank you. [Operator Instructions] The next question is from the line of Naysar Parikh from Native Capital. Please go ahead.

Naysar Parikh — Native Capital — Analyst

Yeah, hi. Thank you. Can you please give a split between your channels especially GT, MT? And what has been the growth this quarter in both of them?

Sanjay Agarwal — Chief Financial Officer

So both the categories have been doing well, general trade and modern trade. I mean, we had all these challenges during the COVID time. But as we speak, both of them are doing there.

Naysar Parikh — Native Capital — Analyst

What would be the split?

Sanjay Agarwal — Chief Financial Officer

So broadly, we have around 80% of our business in general trade and the balance is institutional business, which is modern trade, e-commerce, CSB and others.

Naysar Parikh — Native Capital — Analyst

Okay. Got it. And my second question is on the Personal Care portfolio. And strategically, are we looking at enhancing it or any adding more brands to it or increasing it? Because as of now, obviously, it is a small portion of our portfolio, but it is a big proportion in the market in terms of share. So what is our thoughts and strategy on the Personal Care portfolio?

M R Jyothy — Managing Director

Yeah. So we’ll be growing the Personal Care portfolio. As of now, we have few plans for the future. Right now, we’ll not be able to comment on that, but yes, plants are there. And we’ll be growing each of that segment which we have.

Naysar Parikh — Native Capital — Analyst

Okay. Got it. Thank you. And just one last question is on the Fabric Care margins, right? Can you just comment on the price increase? What was the price? If there was any price increase in this quarter and anything that we will see in future? And how would that flow into margins, please? Thank you.

Sanjay Agarwal — Chief Financial Officer

So for this quarter, we haven’t taken any meaningful prices across the brands. And going forward, it will depend on — lot will depend on how the competitive intensity is there and how the raw material prices are there. And then accordingly, we’ll have to take a call.

Naysar Parikh — Native Capital — Analyst

Okay. Thank you so much. That’s it from my side.

Sanjay Agarwal — Chief Financial Officer

Thank you, sir.

Operator

Thank you. We have the next question from Aviral Jain from Siguler Guff. Please go ahead.

Aviral Jain — Siguler Guff — Analyst

Yeah. Thank you. Hi, Sanjay. Could you comment on the market share or how is the performance in premium detergent side, especially Henko? Are you growing ahead of category on both volume and pricing terms? That’s one.

And the second is Ujala IDD, I mean there were plans to take it outside Kerala more into Tamil Nadu and West Bengal, so how is that panning out?

M R Jyothy — Managing Director

Yeah. So we’ve been doing really well on Henko and both Ujala IDD. Ujala IDD right now is in Kerala, Tamilnadu and West Bengal. West Bengal that way is at very nascent stage, while we have increased our market shares in Ujala IDD in Kerala. While Henko as a premium listing has — we have seen volume and value growth as well. We have also launched the liquid detergents in both these brands — under both these brands. And they are also initially — I mean, the feedback has been very good and has been doing well.

Aviral Jain — Siguler Guff — Analyst

If I ask differently, is it growing ahead of your overall category growth or that’s an unfair question to ask right now?

M R Jyothy — Managing Director

Yeah, liquids are, because it has been — I mean, we have launched it since last one, 1.5 years. So if you see comparatively the market is also growing, the category is growing and we are also growing along with that. And powders, while both the powders, yeah, compared to category internally, yes, we are growing.

Aviral Jain — Siguler Guff — Analyst

Okay. Thanks.

Operator

Thank you. [Operator Instructions] The next question is from the line of Sachin Jain, an Individual Investor. Please go ahead.

Sachin Jain — Individual Investor — Analyst

Hi, Jyothy and Sanjay. Congratulations for good set of numbers. My question is largely on distribution. Basically, if you can give more qualitative color on how last couple of years it has helped you expanding distribution? And second, how you see distribution footprint accelerating going forward say in next couple of years from here onwards?

Sanjay Agarwal — Chief Financial Officer

Yeah. Sachin, hi. So as you know we touched around a million retail outlets on a direct basis. And our Ujala fabric whitener is available in 3 million outlets. So we have a decent distribution footprint across India. Now there are ways and means in which you will do your expansion of distribution on a more cost effective basis because you’re anyway there across India with a fairly good footprint. So our focus is more on improving or increasing the productivity of the distribution what we currently have and obviously, using technology and other means to get there. So I think that’s what our philosophy has been.

And we are — with the increasing outlets — focus on increasing the outlets or at least then adding more outlets to this 1 million retail outlets has been our focus and making more productive [Indecipherable], and increasing the productivity of calls [phonetic] from those, as we — so I think that’s more our focus on the distribution side of it.

Sachin Jain — Individual Investor — Analyst

So productivity would also mean that you may be more aggressive in new launches.

M R Jyothy — Managing Director

It means selling — so if there is one particular sales guy is selling, say, two lines or three lines, it’s basically increasing more SKUs and more — so the same retail outlet will have more of our SKUs. We have lot of brands. So there is a scope of growth in every SKU that way. So, yeah, so if your average is around 3, the intent is to go to 4 or 5, depends on the each geography.

Sachin Jain — Individual Investor — Analyst

And what kind of a direct reach you want to take it to, say, next couple of years, distribution reach from 1 million to what is the aspiration?

Sanjay Agarwal — Chief Financial Officer

So Sachin, obviously, there are internal ambitions. And as I said, 1 million today is a decent number for us for the turnover what we’re doing. And we don’t want to put a number on but we want as I said, we want to make it more cost effective and increasing the productivity from the existing network.

Sachin Jain — Individual Investor — Analyst

So that would also mean, Sanjay, maybe double digit growth — maybe we can assume a structural growth of double digit looking at the kind of work you’ve done on distribution and productivity. So what kind of growth you guys are building in?

Sanjay Agarwal — Chief Financial Officer

Yeah. Sachin, with the current challenges and everything what we are seeing, I think, yes, we — definitely we’ll target to have a double digit growth.

Sachin Jain — Individual Investor — Analyst

Sure. Sure.

Sanjay Agarwal — Chief Financial Officer

Thank you, Sachin.

Operator

Thank you. The next question is from the line of Harsh Shah from InCred. Please go ahead.

Harsh Shah — InCred — Analyst

Yeah. Hi, thanks for taking my question. Within the Fabric Care segment, what would be mid priced brands like Mr. White & Morelight now as compared to pre-COVID levels, sir?

Sanjay Agarwal — Chief Financial Officer

Sorry. But could you just repeat your question.

Harsh Shah — InCred — Analyst

Yeah. So within the Fabric Care segment, what would be the contribution or let’s say salience of mid priced brands like Mr. White & Morelight now compared to pre-COVID level?

Sanjay Agarwal — Chief Financial Officer

So I don’t want to say pre-COVID level, but both of them have been growing well. So both Morelight and Mr. White were there as part of our portfolio earlier also. And as we speak now, yes, they are growing on a lower base at a faster growth. So higher double digit is what we are seeing both in Morelight and Mr. White.

Harsh Shah — InCred — Analyst

Okay. And are we focusing these brands in any particular market or particular geography?

Sanjay Agarwal — Chief Financial Officer

No, it’s more on a pan-India distributed brands.

Harsh Shah — InCred — Analyst

Okay. Thank you.

Sanjay Agarwal — Chief Financial Officer

Thank you, sir.

Operator

Thank you. [Operator Instructions] We have the next question from the line of Naysar Parikh from Native Capital. Please go ahead.

Naysar Parikh — Native Capital — Analyst

Yeah. Thanks for the follow up. Last time you had given the numbers, I think North and West was around 40% of revenues, which for the industry would be upwards of 50%. So I just wanted to understand what is the growth for the North and West region? Is it higher than the — for the company overall, is that doing better? And secondly, what are we doing to kind of bulk-up distribution there so that we can grow faster where we are underrepresented?

Sanjay Agarwal — Chief Financial Officer

We have seen a good growth across India, whether it is South and North or West. There are certain pockets of strength what we have in South in some brands and in some brands we are strong in North and West as well. So it will depend on the strategy for that particular brand. And as you know, we have four categories and within that also, multiple brands in which we are operating. So it depends on each year to year, where the focus of the marketing and the management team have.

So what both North and West, yes, it gives us a lot more opportunity for us. And as time passes by our distribution become much stronger across India, and these markets as well. We’ll see a growth in across India so it’s nothing specific that we’ll only focus on North and West. We have some pockets of strength in East, some brands and some very strong brands are there in South. And we just — I mean rather than losing them we’ll rather capitalize on our strength there.

Naysar Parikh — Native Capital — Analyst

But just on the distribution side because obviously West now the big markets and some of your competition obviously very big there in terms of either the team strength or something. So you can give any numbers or metrics? Are we doing anything different? Are we trying to ensure that the market share that we have is obviously much lower than the market share we have in South and East? So how do we kind of increase our market share in those regions?

M R Jyothy — Managing Director

So we’ve been consistently investing on our brands. And again, it’s hard work, it’s distribution that finally will also help. So both brand building and distribution will go hand-in-hand and that’s the strategy — common strategy. But yes, it’s pretty — lot of hard work and that will keep continuing. And from where we were to where we are now, we’ve been growing in all these geographies.

Naysar Parikh — Native Capital — Analyst

Okay. Got it. Thank you so much and all the best.

M R Jyothy — Managing Director

Thank you.

Operator

Thank you. [Operator Instructions] We have the next question from the line of Karan Bhuwania from ICICI Securities. Please go ahead, sir.

Karan Bhuwania — ICICI Securities — Analyst

Good evening, sir. So in HI category, can you highlight what is the salience of liquid [Indecipherable]. We have been focusing on the Maxo liquid vaporiser for some time now. So what has been the trajectory and improvement in the mix? And what is the path to profitability in that particular segment if you can [Indecipherable].

Sanjay Agarwal — Chief Financial Officer

Yeah. Karan, so I hope that we have spoken in the past about some of the seasonal issues, we have seen in North and East, which are our core market. And so, things are improving and therefore, going forward this quarter is going to be important season for us. And what we are also seeing some illegal incense sticks impact on the coil sector — coil category. So going forward, yes, as you said, our focus is more to — on the liquid side of it, which is around 35% of our portfolio. So we would rather focus on expanding that.

And the good thing is, as we speak our market shares are holding up. So we will wait for this quarter, how the season behaves. And we are hopeful that we will see a turnaround in this category as well.

Karan Bhuwania — ICICI Securities — Analyst

Thank you for the answer. Secondly, you have been highlighting that LUPs have been selling good in rural. So have we now focused more on LUPs? Have we launched any bridge pack to cater to the global consumers and anything specifically you’re doing in rural markets to drive faster growth?

M R Jyothy — Managing Director

Yeah. So LUPs have been growing for us in double digit. And so if you see, with the current situation that’s where it is. That makes sense for consumers, especially in the rural. So both are INR5 and INR10 packs have been doing well. We’ve also introduced like you said the bridge back at INR20 since many of the other MRPs have gone up, the INR20 pack has also come in, in most segments. And we are seeing pretty much good impact there as well.

Karan Bhuwania — ICICI Securities — Analyst

Will you be able to share what is the contribution of LUPs now to your portfolio?

Sanjay Agarwal — Chief Financial Officer

See for the company overall, these INR5, INR10, and the LUPs account from around 30%, 35% of our total business.

Karan Bhuwania — ICICI Securities — Analyst

Okay. Thank you, sir.

Sanjay Agarwal — Chief Financial Officer

Thank you, sir.

Operator

Thank you. We have the next question from the line of Manoj Menon from ICICI Securities. Please go ahead, sir.

Manoj Menon — ICICI Securities — Analyst

Hi, team. Two quick ones. One on the insecticides category. While I read the seasonality comment but as we look at the longer-term trajectory for you and as well as for the other player. Is it fair to say that, is it just not the seasonality, there something else is also playing out? Because as I recall during COVID times there was this regaining of share from incense sticks. And post that, we have not really heard about what’s really happening in incense sticks, et cetera. Is there something underlying which is actually playing out apart from just the seasonality at a category level? And being the one of the large players, definitely one of the parts of India, it definitely have sort of a tailwind stroke headwind for you, right?

M R Jyothy — Managing Director

See during COVID, like you said, yes, we did see good growth happened in this category. It was also the impact of COVID. I would say people wanted to avoid going to hospitals or things like that. But that kind of thing we did see [Indecipherable] I mean, the use of hand washes, sanitizers, all of these healthcare segments did grow well. And the incense sticks and all those illegal manufacturers definitely going out there and keeping their brands, obviously didn’t impact us more then.

Now that things have cleared and all have come back, yes, that’s one category the illegal incense sticks has been growing. So, yeah, one is that. And then the seasonal impact that has actually impacted. Both of these have impacted the entire category.

Manoj Menon — ICICI Securities — Analyst

Understood. Secondly, top-down when I look at the next, let’s say, three, five, seven years for Jyothy Labs, if you could call-out, let’s say, what could be those three or four incremental drivers? For example, when I look at it today it’s probably less appreciated that dishwash for example is the largest category for you, which was the result of let’s say, a lot of painstaking effort you have done much earlier.

Secondly, currently, the mid segment detergent, basically extending the brand to other markets, et cetera. So if you could talk about things like let’s say liquid detergent? What are you finding in terms of consumer behavior and more importantly acceptance of your brands which is a premiumization driver for you?

Secondly, with some more granular color in terms of the ramp-up plans for Crisp & Shine or any other things which are the three, four things which could potentially be those big drivers of incremental growth for you? Thank you.

M R Jyothy — Managing Director

Yeah. So far us our post wash — so if you see fabric care, our post wash, our detergents and the newly launched liquid detergents, all of them have been doing well. Crisp & Shine, it’s a category where it requires lot of education. So we will be going each — one-by-one each market. It won’t be an all-India thing all of a sudden. There are these post wash using markets, especially in that category and we would want to go and invest behind and educate consumers on that.

But we’ve seen good growth post-COVID, that was one which had got impacted both the post washers had got impacted and now they are coming back and have almost come back. So we are seeing good — we’ll be seeing good growth happened there. In the liquid detergents, yes, we see that shift happening from — I mean with the consumers, the categories are growing in very high double digits. So — and obviously, when a trusted brand launches and obviously the mix is working for us, the price, the quality of the offering is also working for us. So that also coupled with the category growing that is going to give us that kind of growth in the coming future.

And in the detergent as powders, we have brands at every segment, the premium, the mid segment and the mass segment. And in times like these, the lower-end also has grown. So if you see for us, all of these trends have been firing this year. In fact, last few quarters, it has been doing well. And all of these will be contributing to the overall growth.

Manoj Menon — ICICI Securities — Analyst

Thank you so much and good luck. Thank you.

M R Jyothy — Managing Director

Thank you.

Operator

[Operator Instructions] The next question is from the line of Shreyansh Jain [phonetic] Swan Investments. Please go ahead.

Shreyansh Jain — Swan Investments — Analyst

Hello. Thanks for the opportunity. Just wanted to understand, sir, if I look at your gross margins Q-o-Q, we’ve seen quite a lot of improvement there. I’m looking at the standalone numbers. So just wanted to understand in spite of revenue de-grew Q-o-Q we are seeing strong improvement in gross margins. And you also mentioned that LUPs are selling more. So, just wanted to understand, is it only because of RM? Or do you think a product mix change has also led to this improvement in gross margin?

Sanjay Agarwal — Chief Financial Officer

So Shreyansh, sir, it’s primarily because of the softening of the raw materials which aids us in the gross margin. And in the past, as we know the margin decline had happened primarily because of the raw material prices going sharply up. So as things have moderating out, we’ve got that benefit in the gross margin levels. And the price increases which we had taken in the past is also helping us in that. So multiple factors which getting us back to our earlier gross margin level. So we are still mid part in that process. And hopefully, in future we should be back to our earlier margin profile of — EBITDA margin profile of 15%, 16%.

Shreyansh Jain — Swan Investments — Analyst

So, yeah, just wanted to check back on that. Ealier we used to do about 15%, 16% odd levels of EBITDA margins. So what do you think strategy-wise would you guys have to do to get back? Or do you think the current run rate and the way we’re doing our business and the things that we’re doing on the ground will help us to get to those margins eventually in a year or two? How do you guys look at this?

Sanjay Agarwal — Chief Financial Officer

Yeah. So if you see how sequentially things have been improving, so we hope that the same trajectory will continue and which would be a mix of softening of raw material prices, some of the price increases which we have taken. I think all of these things put together in times to come, we should be back to our earlier margin profile.

Shreyansh Jain — Swan Investments — Analyst

Okay. And sir, just fundamentally, wanted to understand what is actually happening in the Fabric Care segment? Because I think you’ve grown well, another competitor has done really well in this kind of the segment. So we’re seeing demand softness across the board, but this is one category where we are not seeing softness. So just fundamentally, wanted to understand, is there anything that’s happening underneath that we’re not being able to understand? What would you say?

M R Jyothy — Managing Director

Yeah. So we’ll speak about us. And the thing is, like I said in the earlier this thing also that for us the post — so fabric care is the post wash, the main wash and the newly launched liquid detergents. And we’ve seen — and the thing is we are there at each and every price point, that’s their price segment that’s there in the market. And all of them have been doing well also coupled with the distribution reach and all of that. So that’s about it. In that, we’ve been investing on these brands as well. And we have also gained market share. So, yeah. Yeah, that’s it.

Shreyansh Jain — Swan Investments — Analyst

Okay. And just last bit, just wanted to understand your market share numbers. When I look at Ujala Supreme market share numbers, we are 83.6 versus 84.1 in the March quarter. So anything to look into that 50 bps, we’ve lost market share here and in-home insecticides also I think we’ve lost about 50% — 50 bps of market share. So…

M R Jyothy — Managing Director

No. So, I would say that rather that we’ve been maintaining 50 bps here and there, it doesn’t make a huge this thing. In our category, we are by far the market leaders in the post wash segment. And yeah, there is no concern as such.

Shreyansh Jain — Swan Investments — Analyst

All right. All right. That helps. Thank you so much.

Operator

Thank you. Ladies and gentlemen, that was the last question for today. I would now like to hand the conference over to the management for closing comments.

Sanjay Agarwal — Chief Financial Officer

Yeah. Thank you, everyone. And we appreciate you all asking us questions and having a good discussion. We look forward for your comments and any questions you have, please reach out to us as well as to ISEC team. And look forward to meeting with all of you as and when any questions you have. And thank you, everyone.

Operator

[Operator Closing Remarks]