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Business Standard
3 days ago
- Business
- Business Standard
Godrej Consumer Q1 results: Net profit dips 4.7% to ₹452.45 crore
Godrej Consumer Products Ltd on Thursday reported a marginal decline in consolidated profit after tax to ₹452.45 crore in the first quarter ended June 30, 2025, impacted by higher raw material cost and challenges in the Indonesian business. The company had posted a consolidated profit after tax of ₹450.69 crore in the corresponding period last fiscal, Godrej Consumer Products Ltd (GCPL) said in a regulatory filing. Consolidated revenue from operations in the first quarter stood at ₹3,661.86 crore as against ₹3,331.58 crore in the year-ago period, it added. Total expenses were higher at ₹3,113.14 crore in the quarter as compared to ₹2,744.36 crore in the same period last fiscal. Cost of raw materials, including packing material consumed was higher at ₹1,480.31 crore as against ₹1,289.68 crore in the same period a year ago, the company said. For the quarter ended June 30, 2025, exceptional item in the consolidated financial results includes an amount of ₹19.54 crore related to litigation settlement in Indonesia, it added. The board has declared an interim dividend at the rate of ₹5 per share of the face value of ₹1 each, GCPL said. GCPL Managing Director and CEO, Sudhir Sitapati said Q1FY26 has been a good quarter, in particular on a standalone basis, excluding soaps, delivering an underlying volume growth around teens, led by robust broad-based performance. India has had a good quarter, delivering revenue growth of 8 per cent and volume growth of 5 per cent, he said, adding soaps volume growth was "impacted by volume-price rebalancing". "Our international business has been impacted due to macro headwinds and competitive pricing pressures in Indonesia which was compensated by strong performance in Africa," he noted. Sitapati further said,"Our Indonesia business has been impacted by macro headwinds and competitive pricing pressures. However, we expect this to be transitory in nature with the situation likely to improve in a few months.". In India, sales grew by 8 per cent to ₹2,307 crore, GCPL said, adding the home care segment grew by 16 per cent while personal care was up 1 per cent. The company further said Indonesia faced a difficult quarter. Macro headwinds and increased competitive intensity led to flat underlying volume growth (UVG). Sales de-grew by 4 per cent in constant currency and Indian rupee terms. On the other hand, in Africa, US, and Middle East organic sales grew 30 per cent in Indian rupee terms. On the outlook, Sitapati said,"...we expect performance to improve sequentially in FY26 with the second half performance expected to be better than the first half. Standalone EBITDA margin in H1FY26 is likely to be below our normative range but is expected to improve in the second half." While palm oil prices started moderating towards the end of June, benefits of this moderation will only be realized in H2FY26, he said. "We believe that we are on track to deliver mid-high-single digit UVG for our standalone business, high-single digit consolidated INR revenue growth and double-digit consolidated EBITDA growth for the full year," Sitapati said.


News18
3 days ago
- Business
- News18
Godrej Consumer Products Q1 net down 4.7 pc at Rs 452.45 cr
Agency: PTI Last Updated: New Delhi, Aug 7 (PTI) Godrej Consumer Products Ltd on Thursday reported a marginal decline in consolidated profit after tax to Rs 452.45 crore in the first quarter ended June 30, 2025, impacted by higher raw material cost and challenges in the Indonesian business. The company had posted a consolidated profit after tax of Rs 450.69 crore in the corresponding period last fiscal, Godrej Consumer Products Ltd (GCPL) said in a regulatory filing. Consolidated revenue from operations in the first quarter stood at Rs 3,661.86 crore as against Rs 3,331.58 crore in the year-ago period, it added. Total expenses were higher at Rs 3,113.14 crore in the quarter as compared to Rs 2,744.36 crore in the same period last fiscal. Cost of raw materials, including packing material consumed was higher at Rs 1,480.31 crore as against Rs 1,289.68 crore in the same period a year ago, the company said. For the quarter ended June 30, 2025, exceptional item in the consolidated financial results includes an amount of Rs 19.54 crore related to litigation settlement in Indonesia, it added. The board has declared an interim dividend at the rate of Rs 5 per share of the face value of Re 1 each, GCPL said. GCPL Managing Director and CEO, Sudhir Sitapati said Q1FY26 has been a good quarter, in particular on a standalone basis, excluding soaps, delivering an underlying volume growth around teens, led by robust broad-based performance. India has had a good quarter, delivering revenue growth of 8 per cent and volume growth of 5 per cent, he said, adding soaps volume growth was 'impacted by volume-price rebalancing". 'Our international business has been impacted due to macro headwinds and competitive pricing pressures in Indonesia which was compensated by strong performance in Africa," he noted. Sitapati further said,"Our Indonesia business has been impacted by macro headwinds and competitive pricing pressures. However, we expect this to be transitory in nature with the situation likely to improve in a few months.". In India, sales grew by 8 per cent to Rs 2,307 crore, GCPL said, adding the home care segment grew by 16 per cent while personal care was up 1 per cent. The company further said Indonesia faced a difficult quarter. Macro headwinds and increased competitive intensity led to flat underlying volume growth (UVG). Sales de-grew by 4 per cent in constant currency and Indian rupee terms. On the other hand, in Africa, US, and Middle East organic sales grew 30 per cent in Indian rupee terms. On the outlook, Sitapati said,"…we expect performance to improve sequentially in FY26 with the second half performance expected to be better than the first half. Standalone EBITDA margin in H1FY26 is likely to be below our normative range but is expected to improve in the second half." While palm oil prices started moderating towards the end of June, benefits of this moderation will only be realized in H2FY26, he said. 'We believe that we are on track to deliver mid-high-single digit UVG for our standalone business, high-single digit consolidated INR revenue growth and double-digit consolidated EBITDA growth for the full year," Sitapati said. PTI RKL MR view comments First Published: August 07, 2025, 17:45 IST Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.


Time of India
21-07-2025
- Business
- Time of India
Godrej Consumer Products aims to scale liquid detergent brand Godrej Fab over 2-fold to hit Rs 500 cr revenue in FY26
FMCG firm Godrej Consumer Products Ltd (GCPL) is aiming to scale its liquid detergent business Godrej Fab over two-fold and hit an annual revenue of Rs 500 crore in FY26, said its Managing Director and CEO Sudhir Sitapati. Besides, it is also working to deepen its rural presence, premiumise portfolio in household insecticides and other segments, and to build out its new pet care business , said the latest annual report of the company. The Godrej Industries Group 's FMCG arm, which entered into the fast-growing liquid detergent segment almost a year ago, has "seen strong early success, and now the goal is to unlock the next level of growth", said Sitapati in the report. "Another key bet is scaling Godrej Fab - our liquid detergent - to Rs 500 crore. This will require sharper distribution, increased trials and more targeted communication," he said. In just over a year, Godrej Fab has hit Rs 250 crore in annualised revenue run-rate (ARR), which is a "big win" for GCPL, which entered into main wash detergents, with this brand. "This will likely be a multi-year growth engine and help us build leadership in a large, under-penetrated category," he said. According to Sitapati, FMCG, especially home and personal care (HPC), still has significant runway for volume-led growth. Despite recent macro headwinds, the long-term fundamentals remain strong. Terming FY25 as "a year of learning - and some unlearning", Sitapti said in India, GCPL delivered 5 per cent volume growth, which was below expectations, largely due to a sharper-than-anticipated consumption slowdown in the second half. While discussing GCPL's focus in FY26, he said it is betting on products that can drive scale, margin, and future readiness. "One of our top priorities is reshaping the deodorants category . We believe the current MRP and channel architecture in India is structurally broken. Our approach will be to rewire the price-pack-channel configuration, introduce more relevant innovation and invest in building brand equity instead of discount-driven sales," said Sitapati. Moreover, GCPL which nearly gets around 40 per cent of its revenue from foreign markets, has also plans to take Indian innovations to global markets. "Aer, Goodknight Liquid Vapourisers and our shampoo hair colour formats are scaling well internationally. We're now designing products with global scale in mind from the start - this unlocks synergies and improves return on innovation," he said. Over Godrej Ninja, through which GCPL recently entered into the pet food segment, Sitapati said it has plans to expand the business. "After launching in Tamil Nadu, the next phase will be about refining the model, expanding into new states, and shaping the category through purposeful brand building," he said. By combining expertise of its group firm Godrej Agrovet in animal nutrition with its marketing and innovation capabilities, GCPL aims to address the nutritional needs of Indian pets and establish a trusted brand in the pet care industry, he said. "This initiative aligns with our long-term vision to tap into high-growth, future-forward categories. GCPL remains the complete owner of the business and the brand," Sitapati added. Over its rural expansion , Sitapati said it is expanding Project Vistaar to over 6 lakh rural outlets. "This will deepen rural reach and help us build penetration in our core categories. This is not just a distribution push - it is an investment in long-term demand creation," he said. About Park Avenue and Kamasutra, a business which GCPL acquired two years before from Raymond Consumer Care, Sitapati said these "are categories of the future - deodorants, perfumes and sexual wellness". Fiscal year 2025 was GCPL's first full year of integration, and it made progress, but faced challenges also. "We entered the year with the ambition to grow this business by 20-25 per cent. We closed the year closer to 10 per cent. This shortfall was shaped by structural realities - these categories are still dominated by wholesale trade, deep discounting and fragmented channels," he said. GCPL has taken "decisive steps in the right direction" by rationalising the revenue base by 20 per cent from Rs 622 crore to Rs 500 crore, and significantly increased ATL (above the line marketing) spends from Rs 35 crore to over Rs 100 crore.
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Business Standard
20-07-2025
- Business
- Business Standard
GCPL aims to scale Godrej Fab over 2-fold to hit ₹500 cr revenue in FY26
FMCG firm Godrej Consumer Products Ltd (GCPL) is aiming to scale its liquid detergent business Godrej Fab over two-fold and hit an annual revenue of ₹500 crore in FY26, said its Managing Director and CEO Sudhir Sitapati. Besides, it is also working to deepen its rural presence, premiumise portfolio in household insecticides and other segments, and to build out its new pet care business, said the latest annual report of the company. The Godrej Industries Group's FMCG arm, which entered into the fast-growing liquid detergent segment almost a year ago, has "seen strong early success, and now the goal is to unlock the next level of growth", said Sitapati in the report. "Another key bet is scaling Godrej Fab our liquid detergent to ₹500 crore. This will require sharper distribution, increased trials and more targeted communication," he said. In just over a year, Godrej Fab has hit ₹250 crore in annualised revenue run-rate (ARR), which is a "big win" for GCPL, which entered into main wash detergents, with this brand. "This will likely be a multi-year growth engine and help us build leadership in a large, under-penetrated category," he said. According to Sitapati, FMCG, especially home and personal care (HPC), still has significant runway for volume-led growth. Despite recent macro headwinds, the long-term fundamentals remain strong. Terming FY25 as "a year of learning and some unlearning", Sitapti said in India, GCPL delivered 5 per cent volume growth, which was below expectations, largely due to a sharper-than-anticipated consumption slowdown in the second half. While discussing GCPL's focus in FY26, he said it is betting on products that can drive scale, margin, and future readiness. "One of our top priorities is reshaping the deodorants category. We believe the current MRP and channel architecture in India is structurally broken. Our approach will be to rewire the price-pack-channel configuration, introduce more relevant innovation and invest in building brand equity instead of discount-driven sales," said Sitapati. Moreover, GCPL which nearly gets around 40 per cent of its revenue from foreign markets, has also plans to take Indian innovations to global markets. "Aer, Goodknight Liquid Vapourisers and our shampoo hair colour formats are scaling well internationally. We're now designing products with global scale in mind from the start this unlocks synergies and improves return on innovation," he said. Over Godrej Ninja, through which GCPL recently entered into the pet food segment, Sitapati said it has plans to expand the business. "After launching in Tamil Nadu, the next phase will be about refining the model, expanding into new states, and shaping the category through purposeful brand building," he said. By combining expertise of its group firm Godrej Agrovet in animal nutrition with its marketing and innovation capabilities, GCPL aims to address the nutritional needs of Indian pets and establish a trusted brand in the pet care industry, he said. "This initiative aligns with our long-term vision to tap into high-growth, future-forward categories. GCPL remains the complete owner of the business and the brand," Sitapati added. Over its rural expansion, Sitapati said it is expanding Project Vistaar to over 6 lakh rural outlets. "This will deepen rural reach and help us build penetration in our core categories. This is not just a distribution push it is an investment in long-term demand creation," he said. About Park Avenue and Kamasutra, a business which GCPL acquired two years before from Raymond Consumer Care, Sitapati said these "are categories of the future deodorants, perfumes and sexual wellness". Fiscal year 2025 was GCPL's first full year of integration, and it made progress, but faced challenges also. "We entered the year with the ambition to grow this business by 20-25 per cent. We closed the year closer to 10 per cent. This shortfall was shaped by structural realities these categories are still dominated by wholesale trade, deep discounting and fragmented channels," he said. GCPL has taken "decisive steps in the right direction" by rationalising the revenue base by 20 per cent from ₹622 crore to ₹500 crore, and significantly increased ATL (above the line marketing) spends from ₹35 crore to over ₹100 crore.


Time of India
20-07-2025
- Business
- Time of India
Godrej Consumer Products aims to scale liquid detergent brand Godrej Fab over 2-fold to hit Rs 500 cr revenue in FY26
Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel FMCG firm Godrej Consumer Products Ltd (GCPL) is aiming to scale its liquid detergent business Godrej Fab over two-fold and hit an annual revenue of Rs 500 crore in FY26, said its Managing Director and CEO Sudhir it is also working to deepen its rural presence, premiumise portfolio in household insecticides and other segments, and to build out its new pet care business, said the latest annual report of the Godrej Industries Group 's FMCG arm, which entered into the fast-growing liquid detergent segment almost a year ago, has "seen strong early success, and now the goal is to unlock the next level of growth", said Sitapati in the report."Another key bet is scaling Godrej Fab - our liquid detergent - to Rs 500 crore. This will require sharper distribution, increased trials and more targeted communication," he just over a year, Godrej Fab has hit Rs 250 crore in annualised revenue run-rate (ARR), which is a "big win" for GCPL, which entered into main wash detergents, with this brand."This will likely be a multi-year growth engine and help us build leadership in a large, under-penetrated category," he to Sitapati, FMCG, especially home and personal care (HPC), still has significant runway for volume-led growth. Despite recent macro headwinds, the long-term fundamentals remain FY25 as "a year of learning - and some unlearning", Sitapti said in India, GCPL delivered 5 per cent volume growth, which was below expectations, largely due to a sharper-than-anticipated consumption slowdown in the second discussing GCPL's focus in FY26, he said it is betting on products that can drive scale, margin, and future readiness."One of our top priorities is reshaping the deodorants category . We believe the current MRP and channel architecture in India is structurally broken. Our approach will be to rewire the price-pack-channel configuration, introduce more relevant innovation and invest in building brand equity instead of discount-driven sales," said GCPL which nearly gets around 40 per cent of its revenue from foreign markets, has also plans to take Indian innovations to global markets."Aer, Goodknight Liquid Vapourisers and our shampoo hair colour formats are scaling well internationally. We're now designing products with global scale in mind from the start - this unlocks synergies and improves return on innovation," he Godrej Ninja, through which GCPL recently entered into the pet food segment, Sitapati said it has plans to expand the business."After launching in Tamil Nadu, the next phase will be about refining the model, expanding into new states, and shaping the category through purposeful brand building," he combining expertise of its group firm Godrej Agrovet in animal nutrition with its marketing and innovation capabilities, GCPL aims to address the nutritional needs of Indian pets and establish a trusted brand in the pet care industry, he said."This initiative aligns with our long-term vision to tap into high-growth, future-forward categories. GCPL remains the complete owner of the business and the brand," Sitapati its rural expansion , Sitapati said it is expanding Project Vistaar to over 6 lakh rural outlets."This will deepen rural reach and help us build penetration in our core categories. This is not just a distribution push - it is an investment in long-term demand creation," he Park Avenue and Kamasutra, a business which GCPL acquired two years before from Raymond Consumer Care, Sitapati said these "are categories of the future - deodorants, perfumes and sexual wellness".Fiscal year 2025 was GCPL's first full year of integration, and it made progress, but faced challenges also."We entered the year with the ambition to grow this business by 20-25 per cent. We closed the year closer to 10 per cent. This shortfall was shaped by structural realities - these categories are still dominated by wholesale trade, deep discounting and fragmented channels," he has taken "decisive steps in the right direction" by rationalising the revenue base by 20 per cent from Rs 622 crore to Rs 500 crore, and significantly increased ATL (above the line marketing) spends from Rs 35 crore to over Rs 100 crore.