Jyothy Labs (532926) Q2 26/27 earnings summary

Executive summary

• Q2 FY27 revenue from operations rose 3.3% YoY to ₹760.04 crore; excluding Pril and Fa, value growth was 12.4% and volume growth 8.1%.

• Input-cost inflation compressed Q2 gross margin to 34.8% and operating EBITDA margin to 2.5%; PAT fell to ₹10.6 crore from ₹87.76 crore.

• H1 revenue was ₹1,533.44 crore; excluding Pril and Fa, value growth was 10.2% and volume growth 6.2%.

• Portfolio availability reached 4 million outlets, with direct reach of 1.4 million outlets.

Financial highlights

• Q2 operating EBITDA was ₹19.2 crore versus ₹118.3 crore YoY; PAT was ₹10.6 crore versus ₹87.76 crore.

• H1 operating EBITDA was ₹83.9 crore versus ₹242.4 crore; PAT was ₹58.24 crore versus ₹184.55 crore YoY.

• Q2 total income was ₹775.67 crore and PBT ₹16.38 crore versus ₹118.69 crore YoY; H1 total income was ₹1,566.72 crore and PBT ₹81.36 crore.

• Q2 A&P spend was ₹56.5 crore, 7.4% of revenue; H1 spend was ₹107.2 crore, 7.0% of revenue.

Outlook and guidance

• Priorities include profitable, volume-led growth through innovation, premiumisation, deeper penetration and selective pricing; no formal FY27 guidance was given.

• Q3 underlying growth is expected to remain healthy, led by Fabric Care and new products; the internal aspiration is double-digit growth.

• Margin recovery is expected to be gradual and dependent on commodity prices moderating; calibrated pricing, procurement excellence and value engineering are planned to manage volatility.

• Medium-term revenue ambition remains ₹5,000 crore; M&A will be evaluated for strategic fit and profitability, alongside NPDs and newer categories.