Marico Q1 FY27 update: revenue seen up early 20s

Why Marico is in focus on July 2

Marico shares are expected to be on investors’ radar after the FMCG company said its consolidated revenue for the quarter ended June 30, 2026 (Q1 FY27) is expected to rise in the early twenties. The company attributed the expected growth to a robust, broad-based performance across its core, digital, and international businesses. It also flagged operating profit growth expectations, linking them to business momentum and easing copra prices. The update matters because Marico’s recent results have already shown strong top-line growth, while margins have been sensitive to raw material inflation. With copra central to key categories, any softening can change near-term profitability trends. Investors typically track these business updates closely because they shape expectations before detailed quarterly results are released.

What the company said about Q1 FY27 demand and growth

Marico said its India business further accelerated its growth trajectory in the quarter. It reported double-digit underlying volume growth in India and said the business reached a multi-quarter high. The company also indicated that performance was broad-based, spanning core portfolios as well as digital and international operations. While Marico did not provide an absolute revenue number for Q1 FY27 in the update, it guided to consolidated revenue growth in the early twenties. The statement also linked operating profit growth to business growth and an easing trend in copra prices. This combination implies that management is highlighting both demand strength and the cost line, which has been a key topic for the stock.

Operating profit cues: copra as a key variable

Marico expects strong operating profit growth, supported by robust business growth and a softening in copra prices. Copra is a major raw material input for parts of Marico’s portfolio, and inflation in copra has been cited by brokerages as a near-term margin headwind in earlier periods. The company’s latest commentary signals that the cost environment may be less adverse than before, at least on this input. That said, earlier commentary from the broader coverage also referenced input cost pressures and margin tightening in some quarters. For investors, the key takeaway is that Marico is pointing to a more supportive input cost setup alongside continued revenue momentum.

Recap of Q1 FY26: revenue growth, margin pressure

In the June 2025 quarter (Q1 FY26), Marico reported a 23% year-on-year jump in consolidated revenue from operations to ₹3,259 crore from ₹2,643 crore. Consolidated net profit attributable to owners rose to ₹504 crore from ₹464 crore, a year-on-year increase of 9%. EBITDA rose 5% to ₹655 crore, but EBITDA margin narrowed to 20.1% from 23.7% a year earlier, reflecting elevated raw material prices. The company also said consolidated and India revenue growth and underlying India volume growth were at multi-quarter highs in that quarter. India business revenue was ₹2,495 crore, up 27% year-on-year, aided by price hikes in core portfolios in response to sharp input-cost inflation.

Fourth quarter numbers cited by Reuters

A Reuters report dated May 5 said Marico projected annual revenue to exceed expectations, citing consistent volume growth and a premiumisation focus. The report also flagged the risk of price increases and narrowing profit margins due to escalating input costs, linked to tensions in the Middle East. For the fourth quarter mentioned in that report, Marico’s revenue rose 22% to ₹3,333 crore, while profit increased 14% to ₹391 crore, above an estimate of ₹385 crore. The same Reuters coverage noted the stock rose 2.9% after earlier losses, following commentary around achieving EBITDA in the teens percentage range for fiscal 2027, subject to stable macro conditions.

Brand and geography drivers highlighted in the broader coverage

The broader set of updates referenced traction across core brands and newer portfolios. Coverage around Q1 FY26 described revenue growth driven by brands like Saffola, and also pointed to strength in the international business including MENA and Bangladesh. It also referenced digital-first brands such as Beardo and expectations around improving profitability for the digital portfolio by FY26. These details provide context for why the Q1 FY27 trading update emphasised performance across core, digital, and international businesses, rather than any single category. The key continuity is that growth drivers appear diversified across portfolios and geographies, based on the information provided.

Stock reaction and what brokerages are flagging

Marico shares rose as much as 2.9% intraday to ₹731 on the BSE after an earnings announcement cited in the provided text. Brokerage commentary in the material remained largely positive, while acknowledging margin pressure from raw material inflation and advertising costs. HDFC Securities suggested adding the stock with a target of ₹785. Motilal Oswal maintained a ‘Buy’ with a target price of ₹825, while Avendus maintained a ‘Buy’ and raised its target to ₹832 from ₹810. Another set of targets in the text referenced ‘Buy’ ratings with target prices in the ₹810 to ₹820 range, and JM Financial raised its target to ₹800 from ₹765 while maintaining a ‘buy’ rating.

Key numbers at a glance

Brokerage targets and ratings mentioned

What to track next

Marico’s Q1 FY27 statement puts the spotlight on two moving parts: revenue growth in the early twenties and the potential for operating profit strength as copra prices soften. Recent quarters in the provided material show a pattern of strong topline growth alongside margin compression when inputs rise, so any easing in key raw materials becomes central to the near-term narrative. The company has also pointed to multi-quarter highs in India volume growth in prior disclosures and referenced demand conditions improving with easing inflation and a favourable monsoon backdrop. Investors will likely watch for detailed Q1 FY27 results for confirmation of category performance, margins, and the extent to which softer copra feeds into EBITDA. Any further commentary on pricing actions and input-cost trends will remain important because earlier notes also highlighted the risk of margin pressure when costs rise.