Archive · 18 Nov 2025
Marico CEO Expects Urban Demand Boost from GST Cuts, Especially in Packaged Foods
Marico, an Indian FMCG company, thinks that the recent changes to the Goods and Services Tax (GST) will make more people in cities buy more packaged foods.
Their sales and profits went up this quarter, even though the cost of making their products got more expensive.
They also think that the demand for their products in cities and rural areas is about the same.
Marico Ltd expects urban demand, especially for packaged foods, to increase due to recent GST rate cuts
The company's Q2 net profit was ₹420 crore, down from ₹423 crore last year
Ebitda rose 7% YoY to ₹560 crore, but Ebitda margin contracted by 350 basis points due to higher input costs
Revenue from operations grew 31% YoY to ₹3,482 crore, with India business up 35%
GST rationalization led to price reductions in 30% of Marico's India portfolio
- Who
- Marico Ltd, an Indian FMCG company
- What
- Expects increased urban demand for packaged foods due to GST cuts
- When
- In the coming quarters
- Where
- In urban areas of India
- Why
- To boost demand and stabilize the company's outlook
Optimistic View
Cautious View
GST Impact
Optimistic View
GST cuts will boost urban demand, especially for packaged foods
Cautious View
GST transition disruptions may have temporarily affected demand
- Q2 Net Profit
- ₹420 crore
- YoY Ebitda Growth
- 7%
- YoY Revenue Growth
- 31%
- India Business Revenue Growth
- 35%
- Portfolio with GST-related Price Reductions
- 30%
