FMCG Firms Upbeat On FY27 Demand Outlook, Marico Sees 20%+ Growth As Easing Input Costs May Lift Margins
· Free Press Journal
Mumbai: Leading FMCG companies are confident about business growth in FY27 as consumer demand stays healthy across India and overseas markets. Companies said spending remains steady due to stable economic activity and improving rural demand.
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Firms such as Dabur India, Godrej Consumer Products and Marico reported strong performance in the June quarter and expect growth to continue in the coming months.
Rural markets continue to perform better than urban markets, while online shopping, e-commerce and quick commerce channels are also helping sales growth.
Marico Sees Q1 FY27 Revenue Growth In Early 20s, Strong India And Global Business Drive MomentumRevenue growth guidance
Marico expects consolidated revenue growth in the early twenties during the June quarter. Godrej Consumer Products expects high-teen growth, while Dabur India has guided for double-digit growth in both revenue and profit after tax.
These numbers indicate strong business momentum despite market challenges.
Companies said better product mix, strong brand demand and improving distribution are supporting sales across categories.
Margin recovery ahead
FMCG companies also expect margins to improve as commodity prices begin to soften. Input costs stayed high for most of the April–June quarter but started easing toward the end.
GCPL said it expects margins to recover gradually through price adjustments, cost-saving measures and better media spending.
FMCG Companies Prepare For Fresh Price Hikes Across Daily Essentials, Rising Crude & Packaging Costs Set To Hit ConsumersLower raw material costs could provide relief in the coming quarters and improve profitability.
Risks remain
Despite positive demand trends, companies remain cautious about inflation and weather-related risks.
El Nino conditions could affect monsoon patterns, agricultural output and rural consumption. Companies are also watching global geopolitical developments, especially in West Asia.
However, FMCG firms believe strong brand presence, diversified sourcing and steady demand will help them manage these challenges and maintain profitable growth in FY27.