Emami Q1 Net Profit Falls 15% to ₹138.94 Crore on Higher Input Costs

Emami reported a 15% year-on-year decline in consolidated net profit to ₹138.94 crore for Q1FY27, down from ₹164.26 crore a year earlier, as higher input costs stemming from the West Asia conflict squeezed margins. Revenue from operations rose 15% to ₹1,039.21 crore, with domestic business up 20% but international business down 12% due to regional disruptions. Gross margins contracted 360 basis points to 65.8%, while EBITDA grew 6% to ₹226 crore and PBT rose 4% to ₹195 crore.

Total expenses climbed 18% to ₹813.03 crore, with material costs up over 30%. Vice-Chairman Harsha V Agarwal cited geopolitical disruptions and inflationary pressures, while Mohan Goenka highlighted disciplined execution and cost optimisation. The company remains optimistic about Q2FY27, expecting healthy demand trends.

On profitability, the quarter witnessed one of the sharpest inflationary environments seen by the sector in recent years. Input costs increased, driven by higher crude oil prices and inflation across packaging materials and several other key inputs. As a result, gross margins contracted 360 basis points to 65.8 per cent, the company said.