Marico’s Q2 revenue rose 31%, resurfacing a November report on margin pressure trimming profit
Resurfacing figures first reported in mid-November 2025: Marico’s Q2 revenue grew 30.7% YoY to Rs 3,482 crore, led by nearly 35% domestic growth and 7% India volume growth. Net profit slipped 0.7% to Rs 420 crore as higher copra costs and brand investments pushed EBITDA margin down to 16.1% from 19.6%.
What happened
Marico reported Q2 revenue growth of 30.7% but a marginal profit decline as copra costs and brand investments compressed margins. India revenue rose nearly 35%;
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
- India volume growth: 7%
- Domestic revenue: Rs 2,667 crore, up nearly 35% YoY
- India share of revenue: around 70-75%
- Foods growth: 12% YoY; over Rs 1,100 crore annualised run rate
- Premium personal-care portfolio: over Rs 1,000 crore
- International revenue: Rs 815 crore, up 19%; 20% constant-currency growth
- Direct distribution target: 1 million outlets in FY24 to 1.5 million by FY27
Why this matters
Marico’s strong domestic momentum and willingness to invest behind brands reinforce the value of bolt-on categories or capabilities that improve premium mix, input-cost resilience and scalable distribution.
What to watch
- Copra price direction and management commentary on the duration of inflation.
- Sequential EBITDA-margin movement versus the 16.1% Q2 level.
- Domestic volume growth after further price actions, especially in Parachute and value packs.
- Market-share changes in coconut oil and other core domestic franchises.
- Rural demand, distributor inventory levels and competitive promotional intensity.
- Contribution and profitability trajectory of foods, premium personal care and digital-first brands.
- Implement calibrated price increases and pack-size or grammage adjustments in copra-exposed portfolios.
- Increase promotional and media spending behind higher-margin premium personal-care, foods and digital-first brands to improve mix.
- Use procurement hedges, inventory planning and alternate sourcing to limit further copra-cost volatility.
- Prioritise rural distribution and affordable packs to protect volume growth if consumer price sensitivity rises.
- Provide investors with a clearer margin-recovery timeline and category-level commentary on pricing versus volume growth.