Marico revenue rises 31% as it targets 1.5 million direct outlets by FY27

Marico reported Q2 revenue of Rs 3,482 crore, up 30.7% year on year, while net profit slipped 0.7% as copra costs and brand investment compressed margins. The FMCG major plans to expand direct distribution from 1 million outlets in FY24 to 1.5 million by FY27.

— FiledFri, 28 Aug, 2026, 11:37 IST·First seen Fri, 28 Aug, 2026, 11:36 IST·Source Financial Express · BrandWagon

What happened

Marico reported Q2 revenue growth of 31% but marginally lower profit as copra costs and brand investment compressed margins. It plans foods and premium

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% YoY
  • India volume growth 7%
  • India revenue Rs 2,667 crore, up nearly 35% YoY
  • India contributes 70-75% of overall revenue
  • Foods revenue up 12% YoY; Rs 1,100 crore annualised run rate
  • Digital-first portfolio crossed Rs 1,000 crore
  • International revenue Rs 815 crore, up 19% YoY
  • Direct distribution to expand from 1 million outlets in FY24 to 1.5 million by FY27

Why this matters

The planned addition of 500,000 direct outlets creates opportunities for distribution partnerships, route-to-market technology and targeted portfolio deals that can improve outlet productivity.

What to watch

  • Quarterly direct outlet additions and whether the company stays on track toward 1.5 million outlets by FY27.
  • Volume growth versus price-led growth in domestic FMCG sales.
  • Copra price trend, inventory costs and gross-margin movement.
  • Advertising, sales-promotion and distribution-expense growth relative to revenue.
  • Rural demand recovery, distributor inventory levels and outlet productivity.
  • Management commentary on price hikes, market-share gains and FY27 profitability targets.
  • Prioritize direct-distribution expansion in underpenetrated rural, semi-urban and high-growth urban clusters.
  • Increase outlet-level assortment, visibility and replenishment for Parachute, Saffola, hair care and foods portfolios.
  • Use selective price hikes, pack-price architecture and grammage actions to protect margins against copra inflation.
  • Shift more trade spending toward data-led outlet productivity rather than broad-based incentives.
  • Accelerate premium and value-added product launches to improve mix and reduce reliance on commodity-sensitive categories.