Marico reported a 23% YoY jump in its consolidated revenue from operations to Rs 3,259 crore, as compared to a revenue of Rs 2,643 crore in the year-ago quarter. The company had posted a net profit attributable of Rs 464 crore for the March-June period a year ago.
On the operating front, earnings before interest, taxes, depreciation and amortisation (EBITDA) rose 5% to Rs 655 crore, but EBITDA margin narrowed to 20.1% from 23.7% a year earlier, reflecting the impact of elevated raw material prices.
Marico noted that “Consolidated and India revenue growth, as well as underlying volume growth in the India business, stood at multi-quarter highs.”
The India business contributed Rs 2,495 crore in revenue, rising 27% over the same period last year, “aided by price hikes in core portfolios in response to sharp inflation in input costs.” International markets also held firm, with Marico stating that “the International business maintained its robust double-digit constant currency growth momentum,” and that it remained “resilient amidst high input costs and currency headwinds in select markets.”
The company’s shares rose as much as 2.9% intraday to Rs 731 on the BSE following the earnings announcement.
Marico’s outlook
Looking ahead, Marico said it expects “a gradual uptick in overall demand patterns in the quarters ahead, aided by a combination of easing inflation levels, favorable monsoon season and continued policy support.” The company said that amidst this backdrop, “we expect a steady growth trajectory in our core categories, despite input cost headwinds in the near term.”
The company said it expects to sustain positive volume and revenue growth through FY26 while delivering “resilient profit growth amidst heightened input cost pressures.” The FMCG major anticipates the “impact of these unprecedented margin headwinds to peak out in the first half of this year and ease gradually thereafter.”
Marico reaffirmed its strategic targets, stating that it expects “the India revenue share of the Foods and Premium Personal Care portfolios to expand to ~25% by FY27,” and aims to “maintain the pace of scale up and achieve double-digit EBITDA margin in this portfolio in FY27.”
The company also aims to “maintain double-digit constant currency growth momentum in the International business over the medium term.”
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