Increased ad spends propel growth of Sony, Samsung, LG, Havells in FY24

New Delhi: Driven by booming business growth, leading electronic brands like Samsung, Sony, LG, and Havells significantly increased their advertising spend in FY2024. 

Collectively, these companies invested over Rs 4,742 crore in advertising and sales promotions during the year.

Samsung India's advertising promotional expenses stood at Rs 3,781.6 crore in FY2024, up 5.43%.

The consumer electronic maker’s net profit for FY24 increased twofold to Rs 8,188.7 crore, while its revenue from operations rose 3% to Rs 99,541.6 crore, according to financial data accessed through business intelligence platform Tofler.

It had reported a net profit of Rs 3,450.1 crore and its revenue from operations was at Rs 96,632.4 crore for the financial year that ended on March 31, 2023.

Sony India's 'advertising promotional expenses' were up 37.6% to Rs 179.02 crore in the financial year ended on March 31, 2024.

The consumer electronics maker’s profit edged up 22.18% to Rs 167 crore while revenue from operations increased 20.6% to Rs 7,663.74 crore, according to Tofler.

Sony India, a wholly owned subsidiary of Japan's tech major Sony Corporation, logged a profit of Rs 136.67 crore in 2022–23, while its revenue from operations stood at Rs 6,353.74 crore.

Havells India, a consumer electrical goods maker’s advertising and sales promotion expenses rose by 20.56% to Rs 527.36 crore in FY24, versus Rs 437.40 crore in FY23.

For the financial year ended on March 31, 2024, Havells India's net profit rose 18.57% to Rs 1,270.76 crore. The same stood at Rs 1,071.73 crore a year ago.

Total income in FY24 was Rs 18,838.97 crore, up 10.24% as against Rs 17,088.44 crore in FY23.

However, the appliance maker LG Electronics India reported that its advertisement expenditure dropped by 4.6% to Rs 254.8 crore in FY2024 while spending on sales promotion increased by 10.14% to Rs 686 crore.

Having said that, it reported a 12.35% rise in profit to Rs 1,511.1 crore for FY24, and its revenue from operations grew 7.48% to Rs 21,352 crore, according to financial data accessed by the business intelligence platform Tofler.

According to some media reports, its parent company and South Korea-based chaebol LG Electronics is gearing up for an Initial Public Offering (IPO) of its India business.