Marico Ltd - Quarterly Update: Q3 FY26

This update seeks to provide an overall summary of the operating performance and demand trends witnessed during the quarter ended 31st December, 2025. A detailed Information Update will follow this once the Board approves the financial results for Q3 FY26.

The sector witnessed steady demand trends during the quarter. We remain optimistic about a gradual improvement in consumption in the quarters ahead, supported by easing inflation, lower GST rates driving affordability, MSP hikes, and a healthy crop sowing season.

During the quarter, underlying volume growth in the India business remained in high single digits, while marking a slight improvement on a sequential basis. Parachute continued to demonstrate stellar resilience amid elevated input cost and pricing conditions. The brand recorded a marginal volume decline but was in positive territory after normalising for ml-age reductions in lieu of price increases. Saffola Oils had a muted quarter, while prior pricing actions anniversarized in this quarter. Value Added Hair Oils grew in the twenties, reinforcing sustained traction in the franchise. We expect to maintain the double-digit growth momentum in this franchise over the near and medium term, supported by the strategic focus in the mid and premium segments of the portfolio, enhanced direct reach driven by Project SETU and the recent GST rate rationalization. Foods had a benign quarter and is expected to revert to accelerated growth over the next 2 quarters, while Premium Personal Care (incl. digital-first brands) continued to scale ahead of aspirations.

The International business maintained its robust momentum with constant currency growth in the early twenties, as Bangladesh led from the front, while Vietnam and South Africa bounced back to double-digit growth on the back of targeted initiatives.

Consolidated revenue growth on a year-on-year basis stood in the high twenties, poised to achieve our full year aspiration.

Among key inputs, copra prices have corrected ~30% from the highs and are expected to exhibit a downward bias in the months ahead, followed by the flush season. Vegetable oil prices remained at elevated levels, while crude oil derivatives were benign. Owing to the above, we expect an uptick in gross margin on a sequential basis, after bottoming out in the preceding quarter. We anticipate further gross margin improvement in the coming quarters, driven by the lagged pass-through of lower copra costs. We sustained brand-building investments to continually strengthen the long-term equity of our franchises and drive accelerated portfolio diversification. In the given context, we expect operating profit growth to touch double digits on a year-on-year basis.

The Company maintains its aspiration of delivering sustainable and profitable volume-led growth over the medium term, enabled by the strengthening brand equity of its core franchises and scale up of new engines of growth across markets.

Shares of Marico Limited was last trading in BSE at Rs. 757.60 as compared to the previous close of Rs. 760.55. The total number of shares traded during the day was 26669 in over 2861 trades.

The stock hit an intraday high of Rs. 765.00 and intraday low of 751.10. The net turnover during the day was Rs. 20202018.00.

Source : Equity Bulls

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Marico INE196A01026 PersonalProducts Q3FY26 QuarterlyUpdate