Marico Q2 revenue rose 31% as margin pressure trimmed profit, per resurfaced November report
Resurfacing Marico's Q2 results reported in mid-November 2025: revenue reached Rs 3,482 crore, while net profit slipped 0.7% amid higher copra costs and brand investment. The FMCG major is scaling foods and digital-first brands while targeting direct distribution across 1.5 million outlets by FY27.
What happened
Marico reported Q2 revenue growth of 30.7% but a marginal profit decline amid GST transition issues, high copra costs and brand investments. It plans food and
Key facts
- Q2 net profit Rs 420 crore, down 0.7% YoY
- Revenue Rs 3,482 crore, up 30.7% YoY
- EBITDA Rs 560 crore, up 7.3% YoY
- EBITDA margin 16.1%, versus 19.6% a year earlier
- Gross margin contracted 810 bps; EBITDA margin contracted 350 bps
- Advertising and promotion spending up 19% YoY
- India volume growth 7%; domestic revenue nearly Rs 2,667 crore, up nearly 35% YoY
- India contributes around 70-75% of revenue
- Foods grew 12% and crossed Rs 1,100 crore annualised revenue run rate
- Digital-first portfolio crossed Rs 1,000 crore annualised revenue run rate
- International revenue Rs 815 crore, up 19% YoY
- Direct distribution planned to rise from 1 million outlets in FY24 to 1.5 million by FY27
- Foods targeted to grow at over 25% CAGR over the next two years
- GST revision expected to benefit nearly 30% of India business
Why this matters
Marico’s expansion in foods and digital-first brands, alongside wider direct distribution, signals an active search for scalable adjacencies and consumer-led growth platforms.
What to watch
- Copra prices and management commentary on the timing and size of price interventions.
- Sequential gross-margin and EBITDA-margin movement versus revenue growth.
- Domestic volume growth in Parachute, Saffola and value-added personal-care franchises.
- Foods and digital-first brand growth, distribution expansion and contribution to sales mix.
- Progress toward 1.5 million direct outlets, including execution costs and sales productivity per outlet.
- Advertising-and-promotion spending as a percentage of sales and its effect on market share.
- Take calibrated price hikes or grammage adjustments in copra-linked coconut oil products while protecting entry-price packs.
- Prioritize advertising behind high-velocity foods, premium personal care and digital-first brands rather than broad-based spending.
- Accelerate direct-distribution expansion in underpenetrated towns and use distributor data to improve outlet-level assortment.
- Increase sourcing, hedging and inventory discipline for copra to reduce earnings volatility.
- Use e-commerce and quick-commerce channels to test new products and build higher-margin premium cohorts before wider rollout.