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

Marico’s Q2 revenue grew 30.7% year-on-year to Rs 3,482 crore, while profit slipped 0.7% as copra costs and brand investment compressed margins. The FMCG major is scaling foods and digital-first brands while expanding direct distribution from 1 million to 1.5 million outlets by FY27.

— FiledThu, 10 Sept, 2026, 05:35 IST·First seen Thu, 10 Sept, 2026, 05:35 IST·Source Financial Express · BrandWagon

What happened

Marico posted 31% Q2 revenue growth despite a marginal profit decline and margin pressure from copra costs and brand investment. It plans aggressive foods and

Key facts

  • Q2 net profit: Rs 420 crore, down 0.7% YoY
  • Q2 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
  • India volume growth: 7%
  • Domestic revenue: Rs 2,667 crore, up nearly 35% YoY
  • Foods annualised revenue run rate: over Rs 1,100 crore
  • Digital-first portfolio revenue: over Rs 1,000 crore
  • Direct distribution outlets target: 1 million to 1.5 million

Why this matters

Marico’s scaling of foods, digital-first brands and direct distribution signals a portfolio-building strategy that could favor targeted acquisitions or partnerships in high-growth adjacent FMCG categories.

What to watch

  • Sequential movement in copra prices and management commentary on gross-margin recovery.
  • Direct outlet count, outlet productivity and the pace toward the 1.5 million FY27 target.
  • Volume growth versus price-led growth in the core coconut-oil portfolio.
  • Foods and premium/digital-first brand revenue growth, repeat purchase and profitability disclosures.
  • Advertising-and-promotion spending as a percentage of sales and its effect on EBITDA margin.
  • Rural demand, competitive pricing actions and retailer inventory levels.
  • Prioritize outlet additions in underpenetrated rural and semi-urban clusters where direct servicing can replace distributor dependence.
  • Use the enlarged direct network to bundle Parachute, Saffola and newer food/digital-first brands, raising outlet-level assortment and share of shelf.
  • Take selective price hikes or reduce promotions in copra-exposed categories while protecting entry-price packs to preserve volume growth.
  • Increase regional assortment, retailer incentives and digital ordering tools to improve productivity of newly direct-served outlets.
  • Rationalize smaller digital-first brands if repeat rates and contribution margins do not improve as offline distribution expands.