Marico Ltd Reports Q1 FY26 Performance: Volume Growth Improves, Gross Margin Under Pressure
Marico Ltd has reported an update on the operating performance and demand trends for the quarter ended June 30, 2025. The company has witnessed consistent demand patterns with improving trends in rural markets and steady urban sentiment. The India business has shown improvement in underlying volume growth, while brands like Parachute, Saffola Oils, and Value Added Hair Oils have posted growth. The International business has also delivered high-teen constant currency growth. However, gross margin is expected to be under incremental pressure due to sequential inflation in copra prices and the pricing-led high denominator effect. Despite the input cost push, Marico aims to maintain its aspiration of delivering sustainable and profitable volume-led growth over the medium term.
Key Highlights
- Underlying volume growth in the India business continues to improve sequentially.
- Parachute absorbs substantial price hikes with minimal impact on volumes.
- Saffola Oils posts high twenties revenue growth, backed by mid-single digit volume growth.
- International business delivers high-teen constant currency growth.
- Gross margin expected to be under incremental pressure due to input cost push.