Marico's Q2 revenue rose 31% as margins tightened; resurfacing its target of 1.5m direct outlets by FY27

Resurfacing a report from mid-November 2025: Marico posted Q2 revenue of Rs 3,482 crore, up 30.7% year on year, while net profit slipped 0.7% to Rs 420 crore amid higher copra costs, GST-transition disruption and brand investment. The FMCG major is expanding channel-specific assortments, foods and premium digital-first brands.

— FiledWed, 23 Sept, 2026, 18:03 IST·First seen Wed, 23 Sept, 2026, 18:02 IST·Source Financial Express (via Wayback)

What happened

Marico reported Q2 revenue growth of 31% but a marginal profit decline as copra costs, GST transition issues and brand investment compressed margins. It plans

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% YoY
  • 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 annualised revenue run rate: over Rs 1,000 crore
  • Direct distribution target: 1 million outlets in FY24 to 1.5 million by FY27

Why this matters

Marico’s push into foods, premium digital-first brands and wider direct distribution signals potential partnership or acquisition opportunities in scalable niche brands, new categories and route-to-market capabilities.

What to watch

  • Copra price trajectory and the timing/extent of retail price increases in Parachute and related portfolios.
  • Quarterly volume growth versus value growth, indicating whether revenue momentum is inflation-led or demand-led.
  • Gross-margin and EBITDA-margin movement after GST-transition effects normalize.
  • Direct outlet additions, outlet productivity and rural distribution penetration versus the 1.5 million FY27 target.
  • Foods and premium portfolio growth, repeat rates and contribution to overall mix.
  • Competitive promotional intensity in hair oils, edible oils and value-added personal care.
  • Increase direct-distribution coverage toward the FY27 target, prioritizing underpenetrated rural and semi-urban markets.
  • Expand channel-specific assortments and price-pack architecture to protect volumes while passing through commodity inflation selectively.
  • Accelerate premium digital-first brands and foods, seeking a higher-margin mix to offset pressure in core edible oils.
  • Sustain brand investment despite near-term profit pressure to defend market share during category disruption.