Godfrey Phillips Q2 profit down 37% to Rs 190 cr; revenue up twofold at Rs 4,198 cr

The company had logged a net profit of Rs 304.99 crore during the July-September period a year ago, according to a regulatory filing from Godfrey Phillips India, the flagship company of Modi Enterprises.

Revenue from operations was twofold at Rs 4,198.17 crore in September quarter FY27.

"Due to the steep tax increase implemented in Q4 of FY26, the profitability has declined by 41 per cent compared to the corresponding period last year," CEO Sharad Aggarwal said in the earnings statement.

Total expenses were up twofold at Rs 4,027.39 crore. Total income, which includes other income, too doubled to Rs 4,241.81 crore.

"The higher tax burden has not only impacted industry profitability but also contributed to the growth of illicit trade, which remains a significant concern for the legal cigarette industry," he said.

In response, Godfrey Phillips India has adopted a calibrated pricing strategy in order to contain the impact on volumes.

In the first half of FY27, total consolidated income was also up twofold to Rs 8,139.64 crore.

Godfrey Phillips India is the flagship company of Modi Enterprises. It makes popular cigarette brands like Four Square, Red and White, Cavanders, Tipper and North Pole.

It also manufactures and distributes the brand Marlboro under a licence agreement with Philip Morris.

Shares of Godfrey Phillips India Ltd on Thursday settled at Rs 1,800 apiece, up 1.3 per cent from the previous close.