After subdued 2-4% volume growth in FY23-early FY24, Marico's domestic volumes have inflected sharply to 7-9% in FY26. This marks the company's strongest performance in several quarters, signaling clear recovery momentum despite margin pressure from commodity costs.
Marico Limited is a leading Indian FMCG company with a portfolio spanning hair care, edible oils, and health foods. Key brands include Parachute (coconut oil), Saffola (edible oils), and Boroplus (moisturizers). The company operates across India with significant regional presence and urban-rural distribution networks.
After subdued 2-4% volume growth in FY23-early FY24, Marico's domestic volumes have inflected sharply to 7-9% in FY26. This marks the company's strongest performance in several quarters, reflecting improved consumer demand, price realization, and portfolio expansion despite commodity headwinds.
Sharp recovery from 2-4% range. Management cites improved pricing power, sustained demand in core categories, and category premiumization driving this acceleration.
Volume gains offset by raw material inflation, particularly coconut (copra) costs. Gross margins at 16-quarter lows despite volume traction reflecting input cost pressure.
Management guiding meaningful raw material softening from March onward with double-digit EBITDA growth expected in 2H FY26, supported by cost normalization.
Management guidance signals confidence in sustaining momentum. With commodity headwinds expected to ease into FY27 and volume trajectory firmly positive at 7-9%, Marico is positioned for margin recovery even as growth sustains. The hair care and edible oils segments remain core growth drivers.
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