FMCG Sector

Hindustan Unilever Ltd. (HUL), India’s largest fast-moving consumer goods (FMCG) company, is preparing for a volume-driven recovery in the second half of FY25 as price growth moderates amid easing inflation. With consumer demand stabilizing and rural markets showing early signs of revival, HUL’s strategy now centers on driving sales through volume expansion, innovation, and premiumization. The company expects steady growth across home care, personal care, and food categories, supported by improved affordability and a softening cost environment.

Colgate-Palmolive India Ltd. reported a 17% year-on-year decline in its net profit for the second quarter, reflecting the impact of higher raw material expenses and intensified market competition. While revenue witnessed moderate growth, margins came under pressure due to elevated input costs and a shift in consumer demand dynamics. The company continues to focus on innovation, premiumization, and rural market expansion to sustain long-term growth.

Marico Ltd., a leading FMCG player, reported robust volume growth in Q2, navigating the challenges posed by Goods and Services Tax (GST) disruptions. While the transitional tax adjustments affected supply chains and pricing dynamics, the company sustained momentum through strategic distribution management and product mix optimization. Analysts highlight that Marico’s resilience underscores strong brand equity, operational efficiency, and market adaptability. The performance reflects continued consumer demand for essential FMCG products, even amidst regulatory and logistical hurdles.

Consumer goods major Marico Ltd reported steady volume growth in Q2, demonstrating resilience despite disruptions caused by Goods and Services Tax (GST) adjustments. The company maintained strong demand for its flagship brands in personal care, health, and wellness segments, reflecting effective marketing strategies and supply chain management.

Unilever India has appointed Srinivas Phatak as its new Chief Financial Officer (CFO), marking a strategic leadership move within the multinational consumer goods company. Phatak brings extensive experience in financial management, corporate strategy, and operational leadership, which is expected to strengthen Unilever India’s focus on sustainable growth and profitability. The appointment comes at a time when consumer goods companies are navigating inflationary pressures, evolving market dynamics, and digital transformation.

Ongoing civil unrest in Nepal has disrupted supply chains and production schedules for major FMCG companies, including Dabur and Britannia, affecting domestic and export operations. The unrest has led to logistical bottlenecks, temporary factory shutdowns, and delayed shipments, highlighting vulnerabilities in cross-border supply networks. Analysts note that the situation underscores the sensitivity of consumer goods companies to geopolitical instability in neighboring markets.

Patanjali Foods Limited has implemented a 2:1 bonus share issue, granting shareholders two additional shares for every one held. The record date for this corporate action was set for September 11, 2025. Consequently, the company's stock price adjusted accordingly, reflecting the increased number of shares in circulation. This move aims to enhance liquidity and broaden retail investor participation in the company's equity.

Reliance Industries Limited (RIL) is accelerating its entry into India’s fast-moving consumer goods (FMCG) market, positioning itself as a formidable challenger to established players. Through its retail arm, Reliance Retail Ventures, the conglomerate is scaling up distribution, introducing private-label products, and acquiring regional brands to build a comprehensive consumer portfolio. The strategy underscores RIL’s ambition to tap into India’s Rs. 5 trillion FMCG sector, where rising disposable incomes and urban-rural demand shifts are reshaping consumption patterns.

Marico, a leading player in India’s FMCG sector, is witnessing robust growth in its food business, signaling potential to surpass its traditional edible oil segment in the near term. The company’s diversification into value-added foods, fortified products, and health-focused offerings aligns with shifting consumer preferences toward convenience and wellness. Analysts highlight Marico’s strategic investments in product innovation, marketing, and distribution as key drivers of this transition.

LT Foods Ltd reported a steady 8.5% year-on-year increase in net profit for the first quarter of FY26, with earnings rising to Rs. 168.5 crore from Rs. 155.4 crore in the same quarter last year. The company’s top-line growth was driven by a robust performance in its branded rice and organic foods segment, along with a continued focus on international markets. Operational efficiencies and disciplined cost management supported margins, even as input costs remained volatile.