Marico’s India volumes grew 10%, faster than Hindustan Unilever’s 7%, and profit rose almost a third as margins recovered. Lower copra costs did much of the work. Marico expects strong growth in the second half.
Marico, the maker of Parachute coconut oil and Saffola edible oils, reported consolidated net profit of ₹550 crore for the September quarter, up 31% from ₹420 crore a year earlier. Revenue from operations rose 13% to ₹3,897 crore. EBITDA rose 27% to ₹709 crore, and the EBITDA margin expanded about 200 basis points to 18.2%.
For the first half, profit rose 28% to ₹1,180 crore and revenue rose 18% to ₹7,854 crore.
Volume growth
The main figure is Marico’s 10% underlying volume growth in India, meaning it sold 10% more products than a year earlier. Hindustan Unilever reported 7% volume growth last week, its best in more than four years. Marico’s 10% is faster.
That says something useful about consumer demand. Marico sells mostly everyday products, such as hair oil, edible oil and personal care, many in small, affordable pack sizes. Like HUL’s soaps and detergents, these are purchases households keep making even when budgets are tight. The volume growth suggests mass-market consumption of essentials is holding up well, despite inflation and high fuel prices.
Lower copra costs
The margin recovery comes mostly from copra, the dried coconut that is Parachute’s main raw material. A year ago, copra prices were very high, which compressed Marico’s EBITDA margin by about 350 basis points to 16.1%. Copra has since fallen from its peak, so Marico is paying less for its main input while keeping prices largely the same.
That makes Marico unusual this season. Most consumer companies, including HUL, Asian Paints and Tata Consumer, are dealing with higher input costs from the oil shock. Marico’s largest input is agricultural, not oil-based, so it is less exposed to the Gulf crisis.
Brand spending
Marico increased advertising and promotion spending by 44%. It is putting part of the copra savings into marketing, particularly for its newer, faster-growing brands in foods and premium personal care.
The company has been building a digital-first portfolio through acquisitions, including Plix (plant-based nutrition), Skinetiq (skincare), Beardo (men’s grooming) and Just Herbs (Ayurvedic beauty). It is now integrating Just Herbs and Beardo to simplify operations. The acquisitions are meant to reduce reliance on Parachute and Saffola, but integrating them carries risk, and investors will watch whether they become profitable.
Guidance
Marico reaffirmed its FY27 targets: revenue growth in the teens, revenue comfortably above ₹15,000 crore, and EBITDA growth in the mid-twenties percent. With first-half profit up 28%, it is on track.
The international business, mostly Bangladesh, Vietnam, the Middle East and South Africa, grew 13% in constant currency.
What to watch
The main risk is copra. If coconut prices rise again, the margin gains could reverse. The second risk is execution on Marico’s new brands. For now, Marico is benefiting from cheaper raw materials and steady demand for everyday products.
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