Godrej Consumer Products Q1 results: Net profit rises 12% YoY; board declares dividend of ₹5 per share for FY27

The FMCG firm’s revenue from operations grew 18% to ₹4,225 crore in the June quarter, as against ₹3,571 crore registered in the year-ago period.

The Q1 consolidated sales surged 19% year-on-year on the back of underlying volume growth of 9%, while revenue and profit growth was broad-based across all businesses, the company said.

Its operating profit, also known as earnings before interest, taxes, depreciation, and amortisation (EBITDA), jumped 16% to ₹801 crore as compared to ₹693 crore in the corresponding quarter of the previous fiscal year.

The EBITDA margin, however, contracted marginally to 19% in the reporting quarter from 19.42% in Q1 FY26. The company, while updating its Q1 business updates last month, had said its margins will be lower due to exceptional cost pressures.

The company’s Indonesia sales grew 15% YoY, while sales across Africa, the USA, and the Middle East increased by 47% yearly for the quarter under review.

Along with the earnings, Godrej Consumer Products’ board of directors has also declared an interim dividend of ₹5 per equity share with a face value of ₹1 each for the financial year 2026-27.

“As intimated earlier, the record date for ascertaining the names of the shareholders who will be entitled to receive the said dividend shall be Thursday, August 13, 2026. The dividend will be paid on or before Saturday, September 5, 2026,” the company said in a regulatory filing.

Management commentary

Commenting on earnings, GCPL Managing Director and CEO Sudhir Sitapati said that Q1 FY27 has been a strong start to the year for the company.

“Net profit grew 11%, reflecting healthy underlying earnings quality, even as margins absorbed some near-term commodity pressure. This was on the back of an exceptional performance in Africa driven by a number of countries and categories performing and extremely strong FMCG expansion. India did well, and Indonesia came back to stable growth,” said Sitapati.

Sitapati further said the operating environment remained challenging for much of the quarter, with elevated input costs, particularly in the early phase. He added that geopolitical developments led to significant volatility in crude and other commodities.

Despite this backdrop, he noted that underlying volume-led momentum strengthened sequentially, reflecting the resilience of the company’s categories, the strength of its brands, and the quality of execution.

“With revenue growth tracking ahead of our original expectations and input costs beginning to ease, we enter the remainder of FY27 with increased confidence. We remain firmly on track to deliver our guidance for the full year with the confidence to the exceed the same in select areas,” Sitapati added.

Following the earnings, shares of Godrej Consumer Products were trading at ₹1,058.20 apiece on the National Stock Exchange, falling 1.77%.