Future Consumer Ltd, incorporated in 1996, is a dynamic player in the fast-moving consumer goods (FMCG) sector, specializing in sourcing, manufacturing, branding, marketing, and distributing a wide array of food and processed food products. With a robust portfolio that caters to diverse consumer needs, Future Consumer Ltd has established itself as a prominent name in the industry.
In this article, we will delve into every aspect of the company, exploring its history, business model, product range, market presence, and future prospects. Join us as we uncover what makes Future Consumer Ltd a significant force in the FMCG landscape.
Future Consumer Ltd: A Comprehensive Overview
Future Consumer Ltd (FCL), a key entity of the Future Group, operates as a diversified food company with extensive involvement in branding, marketing, sourcing, manufacturing, and distribution. FCL’s product portfolio spans basic foods, ready-to-eat meals, snacks, beverages, dairy products, personal hygiene, and home care items.
Notable brands under the Future Group umbrella include Premium Harvest, Golden Harvest, Ektaa, Cleanmate, Caremate, Tasty Treat, Fresh & Pure, and Voom, along with non-Future Group brands like Sunkist and Sach. The company’s revenue for FY23 predominantly came from the sale of consumer products (94%), with leasing income and franchise fees contributing 4% and 2% respectively. Despite a diverse product range, FCL has faced recurring losses, resulting in a significant erosion of its net worth. Joint ventures, such as Hain Future Natural Products Pvt. Ltd and the now-terminated Fonterra Future Dairy Private Limited, have also reported losses, further impacting the company’s financial health.
Future Consumer Ltd Q4 Results Summary (Mar 2024) – Comparative Performance
- Sales: Experienced a slight decrease to ₹94 crores from ₹98 crores in Dec 2023.
- Expenses: Increased marginally to ₹103 crores, up from ₹102 crores in the previous quarter.
- Operating Profit: Declined to -₹9 crores, compared to -₹4 crores in Dec 2023.
- Operating Profit Margin (OPM): Decreased to -10%, down from -4% in the last quarter.
- Other Income: Showed significant improvement at ₹13 crores, compared to ₹4 crores in Dec 2023.
- Interest: Rose to ₹20 crores, up from ₹14 crores in the previous quarter.
- Depreciation: Maintained stability at ₹4 crores, consistent with the previous quarter.
- Profit Before Tax (PBT): Deteriorated to -₹21 crores, compared to -₹17 crores in Dec 2023.
- Tax: Recorded a slight increase with an effective tax rate of 1%.
- Net Profit: Decreased to -₹21 crores from -₹17 crores in the previous quarter.
- Earnings Per Share (EPS): Declined to -₹0.12, down from -₹0.09 in Dec 2023.
Below are the trading platforms that you can use to purchase Future Consumer shares:
➤ Zerodha
➤ Upstox
➤ Groww
➤ AngelOne
➤ ICICIDirect
| When | Maximum Price | Minimum Price |
| June 2024 | 1.23 | 1.07 |
| July 2024 | 1.22 | 1.06 |
| August 2024 | 1.27 | 1.10 |
| September 2024 | 1.32 | 1.15 |
| October 2024 | 1.29 | 1.12 |
| November 2024 | 1.33 | 1.16 |
| December 2024 | 1.36 | 1.19 |
Future Consumer Ltd’s share price target for 2024 shows a fluctuating trend with projected highs and lows across different months. As of June 2024, the share price ranged between ₹1.07 and ₹1.23, gradually increasing to reach between ₹1.36 and ₹1.19 by December 2024. The current market capitalization stands at ₹228 crore, with the stock trading at ₹1.14 as of June 10th, 2024.
The stock’s price-to-earnings ratio, book value at ₹-1.53, and a dividend yield of 0.00% reflect the company’s financial metrics. Future Consumer Ltd’s performance metrics like Return on Capital Employed (ROCE) at -10.5% highlight ongoing challenges in profitability, amidst varying investor sentiment and market dynamics.
| When | Maximum Price | Minimum Price |
| January 2025 | 1.39 | 1.07 |
| February 2025 | 1.43 | 1.10 |
| March 2025 | 1.48 | 1.14 |
| April 2025 | 1.45 | 1.12 |
| May 2025 | 1.41 | 1.09 |
| June 2025 | 1.48 | 1.13 |
| July 2025 | 1.45 | 1.11 |
| August 2025 | 1.49 | 1.15 |
| September 2025 | 1.54 | 1.19 |
| October 2025 | 1.58 | 1.22 |
| November 2025 | 1.62 | 1.25 |
| December 2025 | 1.66 | 1.28 |
Future Consumer Ltd’s projected share price targets for 2025 indicate a potential upward trajectory with fluctuations throughout the year. Starting from January with a range of ₹1.07 to ₹1.39, the prices are expected to rise steadily, reaching between ₹1.66 and ₹1.28 by December 2025. This forecast suggests varying investor sentiments and market dynamics influencing the stock’s performance over the year.
Additionally, in a strategic move, on August 29th, 2023, Future Consumer Ltd approved the slump sale of its wholly owned subsidiary, Nilgiri Dairy Farm Private Limited, to AVA Cholayil Healthcare Private Limited for ₹67 crore, highlighting the company’s strategic restructuring efforts amidst evolving market conditions.
| When | Maximum Price | Minimum Price |
| January 2026 | 1.71 | 1.32 |
| February 2026 | 1.76 | 1.35 |
| March 2026 | 1.83 | 1.40 |
| April 2026 | 1.79 | 1.38 |
| May 2026 | 1.74 | 1.34 |
| June 2026 | 1.82 | 1.40 |
| July 2026 | 1.78 | 1.37 |
| August 2026 | 1.84 | 1.41 |
| September 2026 | 1.90 | 1.46 |
| October 2026 | 1.95 | 1.50 |
| November 2026 | 2.00 | 1.54 |
| December 2026 | 2.05 | 1.58 |
Future Consumer Ltd’s share price targets for 2026 illustrate a promising outlook with anticipated highs and lows throughout the year. Starting from January with a range of ₹1.32 to ₹1.71, the prices are projected to ascend steadily, reaching between ₹2.05 and ₹1.58 by December 2026. This forecast indicates potential market optimism and recovery in investor confidence over the period.
However, the company faces challenges stemming from the closure of Future Retail stores in FY23, which significantly impacted operations. The admission of Future Retail into the Insolvency and Bankruptcy Code (IBC) process further exacerbated issues, including jeopardizing receivables amounting to ₹378.19 crore, underscoring ongoing risks and uncertainties for Future Consumer Ltd.
| When | Maximum Price | Minimum Price |
| January 2027 | 2.09 | 1.61 |
| February 2027 | 2.14 | 1.65 |
| March 2027 | 2.23 | 1.71 |
| April 2027 | 2.18 | 1.68 |
| May 2027 | 2.12 | 1.63 |
| June 2027 | 2.21 | 1.70 |
| July 2027 | 2.17 | 1.67 |
| August 2027 | 2.24 | 1.72 |
| September 2027 | 2.32 | 1.78 |
| October 2027 | 2.38 | 1.83 |
| November 2027 | 2.44 | 1.87 |
| December 2027 | 2.50 | 1.92 |
Future Consumer Ltd’s share price targets for 2027 depict a positive trajectory with expected fluctuations throughout the year. Starting in January with a range of ₹1.61 to ₹2.09, the prices are forecasted to increase steadily, reaching between ₹2.50 and ₹1.92 by December 2027. This optimistic projection reflects potential market confidence and recovery for the company.
However, amidst these developments, Future Consumer Ltd underwent a change in auditors, with M/s. S R B C & CO LLP resigning as Statutory Auditors on August 14th, 2023. They were succeeded by M/s. Borkar and Muzumdar, marking a significant corporate governance change aimed at strengthening audit oversight and compliance.
| When | Maximum Price | Minimum Price |
| January 2028 | 2.55 | 1.96 |
| February 2028 | 2.61 | 2.01 |
| March 2028 | 2.71 | 2.09 |
| April 2028 | 2.66 | 2.05 |
| May 2028 | 2.58 | 1.99 |
| June 2028 | 2.70 | 2.08 |
| July 2028 | 2.65 | 2.04 |
| August 2028 | 2.73 | 2.10 |
| September 2028 | 2.82 | 2.17 |
| October 2028 | 2.90 | 2.23 |
| November 2028 | 2.97 | 2.28 |
| December 2028 | 3.04 | 2.34 |
- January 2028: ₹1.96 (Minimum)
- December 2028: ₹3.04 (Maximum)
| When | Maximum Price | Minimum Price |
| January 2029 | 3.10 | 2.39 |
| February 2029 | 3.18 | 2.45 |
| March 2029 | 3.31 | 2.55 |
| April 2029 | 3.24 | 2.50 |
| May 2029 | 3.15 | 2.42 |
| June 2029 | 3.29 | 2.53 |
| July 2029 | 3.23 | 2.48 |
| August 2029 | 3.33 | 2.56 |
| September 2029 | 3.44 | 2.65 |
| October 2029 | 3.53 | 2.72 |
| November 2029 | 3.62 | 2.79 |
| December 2029 | 3.71 | 2.85 |
- January 2029: ₹2.39(Minimum)
- December 2029: ₹3.71 (Maximum)
| When | Maximum Price | Minimum Price |
| January 2030 | 3.79 | 2.91 |
| February 2030 | 3.88 | 2.99 |
| March 2030 | 4.03 | 3.10 |
| April 2030 | 3.95 | 3.04 |
| May 2030 | 3.84 | 2.95 |
| June 2030 | 4.01 | 3.09 |
| July 2030 | 3.93 | 3.03 |
| August 2030 | 4.06 | 3.12 |
| September 2030 | 4.20 | 3.23 |
| October 2030 | 4.31 | 3.31 |
| November 2030 | 4.41 | 3.40 |
| December 2030 | 4.52 | 3.48 |
- January 2030: ₹2.91 (Minimum)
- December 2030: ₹4.52 (Maximum)
Financial Condition of Future Consumer: Last 5 Years
| Financials | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|---|---|
| Sales (Rs. Crores) | 3,809 | 4,040 | 1,492 | 1,749 | 459 | 393 |
| Expenses (Rs. Crores) | 3,809 | 4,040 | 1,492 | 1,749 | 459 | 393 |
| Operating Profit (Rs. Crores) | 72 | 0 | -308 | -280 | -78 | -23 |
| Other Income (Rs. Crores) | 31 | -61 | -24 | -55 | -165 | -34 |
| Interest (Rs. Crores) | 73 | 87 | 72 | 63 | 53 | 61 |
| Depreciation (Rs. Crores) | 53 | 70 | 58 | 52 | 32 | 18 |
| Profit Before Tax (Rs. Crores) | -24 | -218 | -462 | -450 | -329 | -136 |
| Net Profit (Rs. Crores) | -7 | -217 | -483 | -450 | -335 | -135 |
| EPS (Rs.) | -0.03 | -1.12 | -2.43 | -2.25 | -1.68 | -0.69 |
- Over the past five years, Future Consumer Ltd has navigated through significant financial challenges.
- Sales declined sharply from ₹3,809 crores in 2019 to ₹393 crores in 2024, reflecting a compound sales growth rate of -38%.
- Operating profit fluctuated, turning negative to -₹23 crores in 2024, influenced by high expenses and shrinking revenue.
- Other income remained inconsistent, impacting overall profitability.
- Despite efforts to control costs, interest payments and depreciation remained stable.
- Profit before tax and net profit were negative, with losses narrowing marginally in 2024.
- Compounded profit growth over three years showed a 22% improvement, suggesting initial signs of recovery.
- Stock price demonstrated negative CAGR over multiple periods: -50% over 5 years and -52% over 3 years.
- Return on equity metrics highlighted ongoing challenges in delivering sustainable shareholder returns amid competitive pressures in the consumer goods sector.
FAQs
What is the current market capitalization of Future Consumer Ltd?
Future Consumer Ltd’s current market capitalization stands at ₹228 crore.
As of June 10th, 2024, Future Consumer Ltd’s share price is ₹1.14.
Future Consumer Ltd’s projected share price targets for 2024 range from ₹1.07 to ₹1.36.
Future Consumer Ltd’s expected share price targets for 2025 range from ₹1.07 to ₹1.66.
Future Consumer Ltd’s forecasted share price targets for 2030 range from ₹2.91 to ₹4.52.
Does Future Consumer Ltd distribute dividends?
No, Future Consumer Ltd does not distribute dividends, as indicated by its 0.00% dividend yield.
What is the compounded sales growth rate for Future Consumer Ltd over the last decade?
Future Consumer Ltd has experienced a compounded sales growth rate of -8% over the last decade.
What is the compounded profit growth rate for Future Consumer Ltd over the last 3 years?
Over the last 3 years, Future Consumer Ltd has shown a compounded profit growth rate of 22%.
What has been the recent impact on Future Consumer Ltd’s net worth?
Future Consumer Ltd’s net worth has seen substantial erosion due to persistent losses and challenging financial conditions.
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Conclusion: Future Consumer Ltd’s Financial Challenges and Strategic Outlook
In conclusion, Future Consumer Ltd, a prominent player in the FMCG sector, has encountered substantial financial challenges over the past five years, including a stark decline in sales by a compounded annual rate of -37.5%. Despite its diverse product portfolio and established market presence, the company has struggled with persistent operational losses, leading to significant erosion of its net worth. Unfortunately, Future Consumer Ltd exhibits a low interest coverage ratio and has seen a decrease in promoter holding by 11.0% over the last three years, indicating potential issues with stakeholder confidence and strategic direction. Additionally, the presence of contingent liabilities amounting to ₹213 crore adds to its financial risks.
Looking forward, the company’s performance metrics and stock price targets for 2024-2030 reflect fluctuating investor sentiments amidst ongoing market dynamics. Strategic initiatives aimed at improving operational efficiencies and revenue generation will be crucial for Future Consumer Ltd to navigate these challenges successfully and regain stability in the competitive FMCG landscape.
What did we learn?
- 1 Future Consumer Ltd: A Comprehensive Overview
- 2 Future Consumer Ltd Q4 Results Summary (Mar 2024) – Comparative Performance
- 3 How to Purchase Future Consumer Shares in India?
- 4 Future Consumer Share Price Target 2024 – 2030
- 4.1 Future Consumer Share Price Target 2024
- 4.2 Future Consumer Share Price Target 2025
- 4.3 Future Consumer Share Price Target 2026
- 4.4 Future Consumer Share Price Target 2027
- 4.5 Future Consumer Share Price Target 2028
- 4.6 Future Consumer Share Price Target 2029
- 4.7 Future Consumer Share Price Target 2030
- 5 Financial Condition of Future Consumer: Last 5 Years
- 6 FAQs
- 6.1 What is the current market capitalization of Future Consumer Ltd?
- 6.2 What is the current share price of Future Consumer Ltd?
- 6.3 What are the projected share price targets for Future Consumer Ltd in 2024?
- 6.4 What are the expected share price targets for Future Consumer Ltd in 2025?
- 6.5 What are the forecasted share price targets for Future Consumer Ltd in 2030?
- 6.6 Does Future Consumer Ltd distribute dividends?
- 6.7 What is the compounded sales growth rate for Future Consumer Ltd over the last decade?
- 6.8 What is the compounded profit growth rate for Future Consumer Ltd over the last 3 years?
- 6.9 What has been the recent impact on Future Consumer Ltd’s net worth?
- 7 Conclusion: Future Consumer Ltd’s Financial Challenges and Strategic Outlook
