Marico Q4 Results: Net profit surges 8% YoY to ₹343 crore; final dividend of ₹7 per share announced

Revenue from operations for the quarter under review came in at ₹2,730 crore, up 19.84% against ₹2,278 crore registered in the corresponding quarter of the previous fiscal.

The company also said that its board has recommended a final dividend for the financial year 2024-25 of ₹7 per equity share of ₹1 each, subject to approval of shareholders at the ensuing 37th annual general meeting (AGM).

The record date for reckoning the list of shareholders entitled to receive the final dividend shall be Friday, August 1, 2025. The said dividend, if approved by shareholders, will be paid on or before Sunday, September 7, 2025.

Together with the interim dividend of ₹3.50 per equity share declared on January 31, 2025, the total dividend for the financial year ended March 31, 2025, amounts to ₹10.50 per equity share of ₹1 each, the company added.

Key details

India's business saw a volume growth of 7%. Its international business in constant currency terms grew 16%.

The company's EBITDA, or earnings before interest, taxes, depreciation, and amortisation, grew 4% YoY to ₹458 crore, while EBITDA margin slipped 260 bps YoY to 16.8%.

Management commentary

During Q4, consumer sentiment remained stable amidst improving demand in rural and mixed trends among mass and premium urban segments. Both the Home and Personal Care (HPC) and Foods segments exhibited steady growth vis-à-vis the preceding quarter.

The company added that its gross margin contracted by nearly 300 bps YoY, primarily impacted by the rise in copra and vegetable oil prices, which was partly offset by pricing interventions in key portfolios. A&P spend was up 35% YoY in Q4 (up 18% in FY25), in line with the company's strategic intent to continually strengthen our franchises and accelerate diversification.

Consequently, EBITDA was up 4%, as EBITDA margin stood at 16.8%, down ~260 bps. PAT was up 8% YoY.

FY25 summary and outlook

In its earnings release, Marico said that in FY25, the FMCG sector witnessed steady demand trends, supported by gradual recovery in rural sentiment and stable urban consumption. The year was also marked by rising commodity prices, which drove pricing growth across categories.

The uptrend in rural growth was supported by a healthy monsoon season, higher MSPs and continued government spending. Urban consumption trends were a mixed bag, with healthy sentiment prevailing among upper-middle and affluent segments, while bouts of elevated retail and food inflation during the year weighed on mass urban consumption.

Alternate channels such as modern trade and e-commerce continued gaining traction, even as general trade remained under pressure.

In the given context, the India business delivered strong double-digit revenue growth in line with aspirations as the core portfolios posted a resilient and competitive performance amidst sharp input cost inflation, while the new businesses maintained their strong scale-up momentum.

What lies ahead?

Marico expects gradually improving growth trends in the core categories on the back of moderating trends in retail and food inflation, as well as a promise of a healthy monsoon season.

"This will be further aided by our ongoing initiatives to support select General Trade (GT) channel partners and transformative expansion in our direct reach footprint under Project SETU. We also continue to draw confidence from healthy off-takes, penetration, and market share gains in our key portfolios," the company added.

Marico added that it would continue its focus on driving differential growth in its urban-centric and premium portfolios through the organised retail and e-commerce channels. "Therefore, we expect to deliver consistent and competitive growth in the medium term through a much sharper and targeted portfolio and SKU strategy in each channel," it added.