Marico profit jumps 31%, flags rising input costs amid West Asia woes

Consolidated revenue rose 13% to ₹3,897 crore.

The company said it is closely watching the impact of elevated crude prices on demand, particularly in parts of rural India that have received deficient rainfall.

"Geopolitical developments in West Asia led to higher energy prices, and renewed concerns around supply chain and inflation," managing director and chief executive Saugata Gupta told investors on Monday. "Consumer inflation increased, led by food, edible oil, and fuel."

While copra prices have softened from the multi-year highs seen last year, food-linked derivatives and vegetable oils have risen further. Marico said it would use the pricing power of its brands and cost management to cushion the impact. "We are well equipped to manage these pressures," he added.

The company is also factoring in prevailing crude prices in its outlook but is not assuming a sharp increase over the next six months.

"We are mindful of two things. In India, we are mindful of the demand situation. If certain states have had deficient rainfall more than others, if crude continues to be at high level, whether there will be more inflation. In international markets, the same thing, along with supply chain complexities," said Gupta.

Consolidated revenue rose 13% to ₹3,897 crore, led by 10% volume growth in India and 13% constant-currency growth in international markets.

Ebitda increased 27% to ₹709 crore and net profit rose 31% to ₹550 crore, while gross margin expanded about 600 basis points. The company raised its FY27 EBITDA growth expectation to the mid-20% range from around 20% earlier. It expects annual revenue to comfortably exceed ₹15,000 crore.

The company had earlier set a target of reaching ₹20,000 crore in revenue by FY30, but now aspires to achieve the milestone by FY29.