Marico Q2 Results: Net profit marginally dips to ₹420 crore, revenue jumps 31% YoY

Its revenue from operations for Q2 FY26 stood at ₹3,482 crore, increasing 31% year-on-year (YoY) from ₹2,664 crore in the same period of the previous fiscal year.

“We witnessed steady demand trends in India during the quarter, except for the transitionary disruption in trade channels ahead of the implementation of new GST rates in the month of September. The India business revenues stood at ₹2,667 crores, up 35% YoY, aided by price hikes in core portfolios in response to sharp inflation in key input costs,” the company said in a statement.

On an operational level, Marico’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) grew 7.3% to ₹560 crore in Q2 FY26 as against ₹522 crore in Q2 FY25.

The FMCG firm’s EBITDA margin also contracted to 16.08% for the reporting quarter in contrast to 19.59% YoY. Marico said gross margin contracted by ~810 bps YoY, on a particularly high base, as sharp inflation in key commodities also exerted incremental pressure in this quarter.

“Despite these headwinds, we continued to invest meaningfully to strengthen the long-term equity of our franchises and accelerate portfolio diversification, with A&P spends rising 19% YoY,” it said.

Marico said that offtake growth remained strong, with over 95% of its portfolio gaining or maintaining market share and more than 75% sustaining or improving penetration on a MAT basis. The company added that its international business continued its robust growth trajectory, delivering 20% constant-currency growth and underscoring its strong fundamentals and long-term potential.

For half a year (H1 FY26), Marico’s net profit rose 4% to ₹924 crore as compared to ₹887 crore on a YoY basis. Its revenue from operations for H1 FY26 stood at ₹6,741 crore as against ₹5,307 crore in H1 FY25, rising 27%.

Commenting on the earnings, Saugata Gupta, MD and CEO, said, “Our performance in the first half of the year reflects the institutionalised resilience of our operating model amidst tough inflationary conditions. We have sustained healthy volume-led growth in the India business, coupled with market share and penetration gains across key portfolios. The core franchises have been stable despite steep input cost headwinds, while the new businesses continue to advance towards strategic aspirations.”

Updates from international business

Bangladesh delivered strong performance with 22% CCG, maintaining its robust growth momentum and reinforcing a healthy medium-term outlook. Vietnam grew 6% in CCG, showing early signs of a gradual recovery. MENA posted 27% CCG, driven by solid growth across both the Gulf region and Egypt.

South Africa reported 1% CCG, with the company expecting a recovery in the second half. Meanwhile, NCD and exports registered impressive growth of 53%.

“The international business has delivered stellar growth, reinforcing the breadth and balance of our portfolio. We expect to maintain healthy volume and revenue growth momentum in the quarters ahead, with profit growth gaining traction as margin pressures gradually abate,” Gupta further said.

Outlook

Marico said it expects a steady growth trajectory in its core categories, even as near-term input cost pressures persist. This outlook, it noted, will be supported by ongoing initiatives to strengthen select general trade partners and the continued expansion of its direct reach under Project SETU. The company also drew confidence from healthy offtakes, rising penetration, and market share gains across key portfolios.

Looking ahead, Marico plans to drive differential growth in its urban-focused and premium portfolios through organised retail and e-commerce channels. With a more focused, channel-specific portfolio and SKU strategy, the company expects to deliver consistent and competitive growth over the medium term.

Following the earnings, shares of Marico were trading at ₹717.15 apiece on NSE, falling 0.67%.