Resurfacing Marico's mid-November Q2 report: revenue up 31% as margin pressure trimmed profit
In results reported around Nov 14, 2025, Marico's Q2 revenue rose 30.7% to Rs 3,482 crore, led by nearly 35% growth in India. Net profit slipped 0.7% to Rs 420 crore as higher copra costs and brand investments cut EBITDA margin to 16.1%. The FMCG major plans to expand direct distribution to 1.5 million outlets by FY27.
What happened
Marico posted 31% Q2 revenue growth but a marginal profit decline as copra costs and brand investment compressed margins. India revenue rose nearly 35%, while
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 volumes: up 7% YoY
- India revenue: Rs 2,667 crore, up nearly 35% YoY
- India contribution: 70-75% of overall revenue
- Foods growth: 12% YoY; over Rs 1,100 crore annualised run rate
- Digital-first portfolio: over Rs 1,000 crore
- International revenue: Rs 815 crore, up 19% YoY
- Direct distribution outlets planned: 1 million in FY24 to 1.5 million by FY27
Why this matters
The plan to reach 1.5 million direct outlets by FY27 strengthens Marico’s route-to-market moat and creates a larger platform for category expansion, premiumisation and bolt-on brands.
What to watch
- Copra price trend and management commentary on input-cost inflation and hedging.
- India volume growth versus price-led growth in the next two quarters.
- EBITDA-margin trajectory relative to the 16.1% Q2 level.
- Number of direct outlets added, distribution-expansion cost and sales per outlet.
- Rural demand, competitive promotional intensity and market-share movement in Parachute and Saffola categories.
- Contribution and profitability of premium foods, personal care and international businesses.
- Prioritize price-pack architecture and selective price increases in coconut-oil categories to protect gross margin without materially hurting rural volumes.
- Use the direct-distribution expansion to improve availability in underpenetrated towns, collect outlet-level demand data and reduce dependence on wholesale channels.
- Concentrate brand spending behind higher-margin premium, foods and digital-first portfolios to reduce earnings reliance on copra-sensitive core categories.
- Seek supply-chain hedges, procurement contracts and inventory discipline to limit further copra-cost volatility.