Marico's Q2 revenue rose 31%, profit slipped on narrower margins — resurfacing a mid-November report

Marico's Q2 results, first reported in mid-November 2025, showed revenue of Rs 3,482 crore, up 30.7% year-on-year, while net profit dipped 0.7% to Rs 420 crore. Higher copra costs and brand investment pulled EBITDA margin down to 16.1%. The company plans to expand direct distribution to 1.5 million outlets by FY27.

— FiledMon, 31 Aug, 2026, 19:18 IST·First seen Mon, 31 Aug, 2026, 19:17 IST·Source Financial Express · BrandWagon

What happened

Marico’s Q2 revenue rose 31% but profit slipped as copra costs and brand investments compressed margins. India revenue grew nearly 35%; the FMCG maker plans

Key facts

  • Q2 net profit down 0.7% YoY to Rs 420 crore
  • Revenue up 30.7% YoY to Rs 3,482 crore
  • EBITDA up 7.3% YoY to Rs 560 crore
  • EBITDA margin fell to 16.1% from 19.6%
  • India volume growth 7%
  • Domestic revenue up nearly 35% YoY to Rs 2,667 crore
  • India contributes 70-75% of revenue
  • Foods revenue up 12% YoY; Rs 1,100 crore annualised run rate
  • Digital-first portfolio crossed Rs 1,000 crore annualised run rate
  • International revenue up 19% to Rs 815 crore
  • Direct distribution to rise from 1 million outlets in FY24 to 1.5 million by FY27

Why this matters

Marico’s planned expansion to 1.5 million direct-distribution outlets creates potential partnership, capability and route-to-market opportunities, while its margin pressure may increase appetite for cost-efficiency solutions.

What to watch

  • Copra price trend and management commentary on the duration of inflation.
  • Sequential EBITDA-margin movement and guidance on the path back toward prior margin levels.
  • Volume growth versus price-led growth in core Parachute and Saffola franchises.
  • Advertising-and-promotion spending as a percentage of sales.
  • Progress toward 1.5 million direct outlets, including rural distribution productivity and working-capital impact.
  • Competitive price actions from other edible-oil, personal-care and health-food FMCG brands.
  • Implement selective price increases and grammage adjustments in coconut-oil-linked products.
  • Shift brand investment toward higher-margin premium, food and digital-first portfolios.
  • Accelerate direct-distribution rollout in underpenetrated rural and semi-urban markets, supported by distributor productivity tools.
  • Use promotions and pack-price architecture to defend household penetration if input-led price hikes intensify.
  • Pursue sourcing, hedging and procurement efficiencies to limit further copra-driven gross-margin erosion.