Did Amway India's Losses Widen to Rs 74.25 Crore in FY25?
Synopsis
Key Takeaways
- Amway India reported a loss of Rs 74.25 crore in FY25.
- Revenue from operations fell by 10.56%.
- Cost-cutting measures included a 40.6% reduction in advertising expenses.
- All major revenue segments experienced declines.
- Amway India is a subsidiary of Alticor Global Holdings Inc.
Mumbai, Jan 18 (NationPress) Amway India’s financial troubles deepened in FY25, reporting a total loss of Rs 74.25 crore for the fiscal year concluded on March 31, 2025. This marks an increase from a loss of Rs 53.38 crore in the prior fiscal year.
Revenue from operations experienced a decline of 10.56 percent, dropping to Rs 1,148.16 crore in FY25 from Rs 1,283.75 crore in FY24, according to financial data sourced from the business intelligence platform Tofler.
The company’s total income, inclusive of other income sources, fell by 9.2 percent, reaching Rs 1,174.85 crore during the year.
Despite the revenue downturn, Amway India successfully implemented cost-cutting measures. Its expenditure on advertising and sales promotions plummeted by 40.6 percent to Rs 36.20 crore in FY25.
Additionally, the royalty fees paid to its parent company in the United States were reduced by 15.7 percent, amounting to Rs 55.43 crore, down from Rs 65.74 crore in the previous fiscal year.
Payments to Amway India’s exclusive selling agents saw a slight reduction of 2.73 percent, totaling Rs 366.91 crore in FY25, compared to Rs 377.22 crore the year before.
Overall, the company’s total expenses decreased by 7.3 percent to Rs 1,249.10 crore during the fiscal year, as per the financial data.
Amway India operates as a wholly owned subsidiary of Alticor Global Holdings Inc, based in Ada, Michigan, and ranks among the largest direct selling companies globally. The Indian branch remains an unlisted entity.
In terms of segments, the company reported declines across all major categories. Revenue from its primary sector, nutrition and wellness, dropped by 10 percent, totaling Rs 703.58 crore in FY25.
The personal care segment, its second largest, encountered a steeper decline of 13.6 percent, with revenue recorded at Rs 189.22 crore, according to the financial data.
Revenue from home care products fell by 2.65 percent to Rs 120.29 crore, while the beauty segment experienced a 12 percent drop, reporting Rs 96.59 crore during the financial year.