Business & Finance

Marico Q2 FY27 Revenue Up 13% to ₹3,897 Cr, PAT Climbs 31% to ₹510 Cr

By ET Retail

Marico reported a 13 per cent year‑on‑year rise in consolidated revenue from operations to ₹3,897 crore in Q2 FY27, driven by growth in its India and international businesses. EBITDA grew 27 per cent, while profit after tax (PAT) increased 31 per cent, giving the company its strongest profitability performance in 50 quarters.

The India business posted revenue growth of 10 per cent to ₹2,916 crore, supported by a 10 per cent rise in underlying volume. The company said that more than 95 per cent of its business gained or maintained market share and penetration on a moving annual total basis. Traditional and organised trade delivered double‑digit growth, while quick commerce accelerated.

Gross margin expanded by about 600 basis points year‑on‑year, helped by portfolio mix and softer copra prices. EBITDA margin improved by 200 basis points to 18.2 per cent.

Key brands saw strong performance: Parachute Rigids recorded 13 per cent volume growth – its highest in 22 quarters – and gained more than 570 basis points in market share to reach 60 per cent. Value‑Added Hair Oils registered 21 per cent value growth, marking its sixth consecutive quarter of strong performance. Saffola Edible Oils reported 6 per cent revenue growth, although volumes declined in the high‑single digits.

Marico’s foods portfolio grew 45 per cent, surpassing an annualised revenue run rate of ₹1,500 crore, while its premium personal care portfolio crossed an annualised revenue run rate of ₹500 crore.

The international business grew 13 per cent in constant currency terms and 23 per cent in rupee terms. Vietnam grew 22 per cent constant currency, MENA 15 per cent, South Africa 15 per cent, and the non‑Bangladesh, non‑CCG and exports business 17 per cent. Bangladesh grew 5 per cent constant currency amid persistent inflation and subdued consumer demand.

For FY27, Marico expects revenue growth in the teens and to cross ₹15,000 crore in annual revenue, with EBITDA growth in the mid‑twenties. It anticipates its India business to sustain double‑digit volume growth and international constant currency growth to accelerate in the second half. The company has launched Project SETU 2.0, focused on AI‑led capabilities and strengthening go‑to‑market operations for its foods and premium personal care businesses. Marico aims to increase the contribution of these portfolios to about 27 per cent of India revenue by the end of FY27 and 33 per cent by FY30.