FMCG major Emami Ltd on Thursday reported an 11.72 per cent year-on-year (y-o-y) decline in its consolidated net profit to ₹143.17 crore for the fourth quarter last fiscal as revenue from operations witnessed a fall of around 4 per cent y-o-y.
The Kolkata-headquartered company had posted a net profit of ₹162.17 crore for the fourth quarter of FY25. The company’s revenue from operations fell as its domestic business was impacted by unfavourable seasonal conditions affecting the summer portfolio, while international business was hit by geopolitical disruptions in West Asia.
During Q4FY26, the international business declined by 5 per cent, primarily on account of the West Asia conflict which impacted shipping routes through the Strait of Hormuz, disrupted supply chains and increased freight costs, the company said in a statement.
“Despite input cost pressures during the quarter, the company improved its gross margins to 68.4 per cent, an expansion of 250 basis points, reflecting disciplined cost management, calibrated pricing actions and operational efficiencies,” it said, adding the company continued to invest in its brands and growth initiatives, with advertising and promotional spends increasing by 12 per cent during the quarter.
Excluding the summer portfolio, the domestic business delivered strong growth of 11 per cent, led by healthy performance across key brands and categories, demonstrating the strength of the underlying business and reaffirming that the impact on overall performance was primarily due to temporary seasonal disruptions during the quarter.
Resilient biz
Harsha V Agarwal, Vice-Chairman and Managing Director, Emami Ltd, said Q4 was impacted by temporary external headwinds, including unfavourable seasonal conditions affecting the summer portfolio and geopolitical disruptions.
“Despite these challenges, the resilience of our core domestic business remained evident, with the non-summer portfolio delivering healthy 11 per cent growth,” Agarwal added.
Mohan Goenka, Vice-Chairman and Whole-Time Director, Emami Ltd, said the quarter tested the resilience of the company’s operating model, and the business responded with disciplined execution. Despite a muted demand environment, it delivered a gross margin expansion of 250 basis points through strong cost management and operational efficiencies, while increasing investments behind brands by 12 per cent to support future growth.
“We are encouraged by the early trends in Q1FY27, particularly across the summer portfolio, supported by expanded distribution, focused media investments and stronger trade activation. We remain confident in the strength of our brands and our ability to deliver sustained profitable growth,” Goenka added.
During FY26, the board of directors declared interim dividends aggregating to ₹10 per share, amounting to a total payout of ₹436.5 crore and representing 51 per cent of adjusted profits.
Published on May 21, 2026