Financial Overview Q2 FY2027

Consolidated Performance:

  • Sales grew by 19% year-on-year
  • Underlying volume growth of 8%
  • EBITDA grew by 12% year-on-year (including forex)
  • Net profit grew by 14% year-on-year to ₹523 crore

Segment Performance:

  • Standalone India business sales grew by 13% with underlying volume growth of 7%
  • Indonesia sales grew by 20% year-on-year
  • Africa, USA, and Middle East sales grew 40% year-on-year

Management Commentary

Aasif Malbari, Managing Director and CEO, commented on the Q2 FY27 performance:

Overall Performance:

  • Second consecutive quarter of high teens revenue growth with high-single-digit underlying volume growth and double-digit profit growth
  • Consolidated revenues grew 19% YoY (15% in constant currency terms)
  • Estimated ~150 basis points impact from trade inventory correction in the quarter

Standalone Business Performance:

Home Care (19% growth):

  • Household Insecticides gained market share across formats despite weak monsoon
  • Electrics portfolio delivered sequentially improving performance supported by new "6-minute" campaign
  • Incense sticks continued to scale strongly, becoming the largest branded stick in the category
  • Air Freshener sustained strong double-digit growth and category leadership
  • Aer Spray 99 grew significantly ahead of peers and gained share
  • Godrej Fab continued double-digit growth trajectory and strengthened market position
  • Godrej Spic scaled nationally in Q1 with positive consumer feedback and healthy repeats
  • New launches: Godrej Rizz (liquid dishwash) in select West and South India markets, Godrej Zap (stain removers) online

Personal Care (8% growth):

  • Soaps remained stable despite significant price increases and grammage reductions
  • Premium liquid formats performing well: Cinthol Bodywash scaling sequentially, Muuchstac face wash progressing as planned
  • Hair Colours maintained growth momentum and gained market share
  • Perfumes & Deodorants delivered double-digit growth with strong volume growth in deodorants

International Performance:

Indonesia:

  • Sales grew 20% with underlying volume growth of 8%
  • EBITDA grew 12% despite LPG prices doubling
  • Benefited from EL-Nino tailwind leading to increased mosquito infestation
  • Stella LV relaunch witnessed robust consumer traction and sell-outs

Africa, USA and Middle East (GAUM):

  • Sales grew 40% in INR terms (23% in constant-currency terms)
  • Underlying volume growth of 16%
  • EBITDA grew 43%
  • Seventh consecutive quarter of double-digit top-line growth
  • Eleventh consecutive quarter of double-digit bottom-line growth
  • Growth broad-based across categories and geographies
  • Goodknight Incense Sticks piloted in Nigeria with strong early consumer feedback

Cost Environment and Strategy:

  • Significant input cost inflation across crude-linked derivatives, palm oils and other commodity inputs
  • One of the highest inflationary impacts in recent years
  • High-single-digit inflationary impact on India and Indonesia portfolio
  • Stringent pricing actions combined with large cost saving program
  • Media & trade investment optimization while keeping share of voice range bound
  • Increased salience of digital investments with higher ROI
  • Continued calibrated pricing actions in soaps and liquid detergents

Guidance and Outlook:

  • Maintained FY27 guidance: high-single-digit underlying volume growth in Standalone business
  • Double-digit revenue and EBITDA growth at consolidated level
  • Revenue running ahead of plan through first half
  • Confidence to exceed guidance in select areas
  • Focus on delivering double-digit underlying volume growth and profit growth

Business Update - Standalone India

Financial Highlights:

  • Q2 FY 2027 sales: ₹2,631 crore (13% growth)
  • Underlying volume growth: 7%
  • Q2 FY 2027 EBITDA: ₹553 crore (8% growth)

About the Company

Godrej Consumer Products serves 1.4 billion consumers globally and ranks among the largest:

  • Household Insecticide players in emerging markets (leader in India, #2 in Indonesia)
  • Hair Care players for women of African descent
  • Hair Colour players in India and Sub-Saharan Africa
  • #2 in Soaps in India
  • #1 in Air Fresheners and Wet Tissues in Indonesia