Why FMCG firms see a dull Q4

The March quarter (Q4FY25) is unlikely to bring great excitement for Indian fast-moving consumer goods (FMCG) companies, although some should fare better than the others.

- Manvi Agarwal

Take Marico Ltd for instance. In its business update last week, it said Q4 year-on-year (y-o-y) consolidated revenue rise was in the high teens, aided by steady growth trends across key segments and pricing tweaks in the domestic business. Growth stood at 15% in Q3. Marico said it expects to maintain double-digit revenue growth in FY26. The stock is flattish since its update.

In contrast, Dabur India Ltd's update was disappointing. It said it expected growth in the India FMCG business to drop to mid-single digits, hurt by delayed and truncated winters and tepid urban demand. It also said it expected Q4 consolidated revenue to be flattish. In response, Dabur's shares are down 10%.

Godrej Consumer Products Ltd (GCPL) said it expected high-single digit sales growth in rupee terms at a consolidated (organic) level, with a mid-single-digit volume growth.