Marico (MARICO) Q2 25/26 earnings summary

Executive summary

• Achieved 7% volume growth in Q2 FY26 despite GST-related trade disruptions, with India revenue growth at multi-quarter highs and international business maintaining robust momentum; India business revenues up 35% YoY and international up 19% in INR terms.

• Over 95% of the business gained or sustained market share, and 75%+ gained or sustained penetration on a MAT basis.

• Board approved unaudited standalone and consolidated results for the quarter and half year ended September 30, 2025, reviewed by statutory auditors with no material misstatements.

• Results include performance from subsidiaries across India, Bangladesh, UAE, Egypt, South Africa, Malaysia, Sri Lanka, Vietnam, and USA.

• Passed on GST rate reduction benefits to consumers, enhancing affordability and accessibility across 30% of India business.

Financial highlights

• Q2FY26 consolidated revenue from operations was ₹3,482 crore, up 31% year-over-year; H1FY26 revenue was ₹6,741 crore, up 27%.

• Q2FY26 consolidated EBITDA grew 7% year-over-year to ₹560 crore, with an EBITDA margin of 16.1% (down 350 bps YoY); recurring PAT rose 8% YoY to ₹420 crore.

• Net profit for Q2 FY26: ₹432 crore, compared to ₹433 crore in Q2 FY25; H1 FY26 net profit: ₹945 crore (vs. ₹907 crore YoY).

• Foods portfolio crossed INR 1,100 crore ARR; digital-first portfolio exited with over INR 1,000 crore ARR.

• Material costs increased 52% YoY in Q2FY26, impacting margins; material cost as a percentage of revenue rose to 57.4%.

Outlook and guidance

• Expect strong revenue growth in H2, with India volume growth to improve and robust double-digit constant currency growth in overseas business.

• Foods portfolio is on track to become ~8x FY20 scale by FY27, with a 25%+ CAGR expected; digital-first brands' exit ARR projected to be ~2.5x FY24 by FY27, with double-digit EBITDA margin targeted.

• Premium personal care and foods are expected to drive margin expansion and profitable growth.

• On track to reach INR 20,000 crore revenue by 2030; double-digit EBITDA growth targeted for H2, with margin improvement as input costs ease.

• Foods portfolio expected to return to higher growth by Q4 after a temporary focus on profitability and integration.