Godrej Consumer Products (GODREJCP) Q1 25/26 earnings summary

Executive summary

• Standalone business delivered mid-teen underlying volume growth, with broad-based performance except for soaps, which were impacted by price rebalancing and poor seasonality in North India.

• Consolidated revenue grew between 8% and 10% year-over-year, driven by strong underlying volume growth and double-digit gains in Africa, USA & Middle East, and Latin America.

• EBITDA growth was reported at 10% year-over-year, but margins remain pressured by cost headwinds and declined 3% on a consolidated basis in some reports.

• Board approved unaudited financial results for the quarter ended June 30, 2025, with an interim dividend of Rs. 5 per share declared.

Financial highlights

• Consolidated revenue from operations for Q1 FY26 was Rs. 3,661.86 crore, up from Rs. 3,331.58 crore year-over-year.

• Net profit after tax for the quarter stood at Rs. 452.45 crore, with adjusted net profit at Rs. 472 crore.

• EBITDA margin for Q1 FY26 was 19.2% consolidated and 21.6% standalone.

• Africa, USA & Middle East net sales grew 30% year-over-year; Latin America and Others grew 18%.

• India revenue up 8% year-over-year; volume growth at 5%.

Outlook and guidance

• Margin pressure in Personal Care expected to persist into Q2, with normalization anticipated in H2 FY26 as commodity prices moderate.

• Full-year guidance: mid to high single-digit EVG for standalone, high single-digit consolidated INR revenue growth, and double-digit consolidated EBITDA growth.

• Palm oil price moderation benefits expected in H2 FY26.

• Board declared an interim dividend, indicating confidence in ongoing cash flows and business performance.