Godrej Consumer Products Management Guidance Tracker

Management expects to pass on cost increases from naira devaluation (NGN 650 to 750) to consumers, keeping EBITDA plus Forex loss line intact.

Management reiterated ambition of high single-digit EBITDA margin for the Raymond portfolio on a full-year basis, with improvements from Q2 onwards.

EBITDA margin of 20% is expected to improve steadily through structural cost reduction actions, particularly from Indonesia and GAUM.

Management anticipates steady improvement in EBITDA margins through structural cost reduction actions.

Raymond acquisition EBITDA for FY25 is expected to be 15-20% below the original target of INR 160 crore, but significantly higher than the inherited INR 60 crore.

Management expects India standalone EBITDA margins to stay between 24% and 25% due to volatile palm oil prices, with no plans to cut media investments.

Africa EBITDA margins are expected to reach high teens, driven by supply chain efficiencies and stable macro conditions.

Management targets India EBITDA margins in the 24-26% range, expecting to reach this level in the next 6-8 months.

H1 FY26 standalone EBITDA margins will be below normative range, but expected to improve in H2 as palm oil benefits and cost savings kick in.

Management expects double-digit consolidated EBITDA growth for FY26.

Management expects India margins to return to normative levels (24-26%) in the second half of FY26, albeit at the lower end of the band.

India standalone and GAUM businesses are expected to deliver double-digit EBITDA growth for the full year.

Management expects India EBITDA margins to remain within the 24-26% range on an annual basis, with quarterly fluctuations.

Management expects EBITDA margin pressure in Q1 and Q2 FY27 due to crude oil at $100-110/bbl, but expects recovery within 3-4 months as pricing actions take effect.

Planned investment of INR 900 crore in organic manufacturing CapEx in India for volume growth and logistics, with ~INR 300 crore per year.

Management maintained guidance of flat net sales year-on-year for the Raymond portfolio, despite downstocking and returns in Q1.

Management expects to achieve the annual guidance for both organic and acquired businesses, with phasing more favorable to Q4 than Q3.

Management expects pricing to become positive sequentially from Q2, with full-year pricing growth of 2-3%.

The Raymond consumer portfolio EBITDA may be slightly below the promised 145-150 crore for the year due to distribution missteps in urban general trade.

Management expects Africa business to report positive organic revenue growth by Q4 FY25.

Management indicated need for one or two more rounds of pricing in soaps to restore normative margins.

Management expects high single-digit consolidated INR revenue growth for FY26.

Management reiterated confidence in achieving high single-digit revenue growth at consolidated level for the full year.

Management reiterated guidance for GAUM to achieve double-digit revenue and profit growth for the full year.

Price increases of 5% in soaps, 6-7% in detergents, and 4-5% in household insecticide were implemented in April to offset input cost inflation.

Reorganizing East African hair fashion to an asset-light royalty model will eliminate ~INR 500 crore revenue but add ~INR 50 crore profit in FY25.

Godrej Pet Care is expected to become cash positive after five years, with manufacturing commencing in H2 FY26.

Board approved INR 5 per share dividend; management targets average payout ratio of about 50% of annual profit after tax.

Rightful volume growth in household insecticide is about 1.2x GDP, implying 8-9% volume growth.

Air freshener category should grow in high teens to early 20s for some years to come.

Management aims for low double-digit volume growth in India for the full year, implying acceleration from 8% in Q1.

Management targets high single-digit volume growth for household insecticides, driven by RNF molecule rollout and distribution expansion.

Management expects volume and value growth to improve sequentially in Q4 FY25, with a return to H1-like levels by Q1 FY26.

Underlying volume growth for standalone business expected to be mid-to-high single digit for the full year.

Management expects India standalone business to achieve high single-digit underlying volume growth for the full year, driven by recovery in soaps and continued momentum in non-soap categories.

Management expects sequential gains in India volume growth driven by compounding effect of fast-growing categories like hair care, laundry liquid, and incense sticks.

Management expects Indonesia business to recover meaningfully from FY27 as market conditions normalize.

Indonesia expected to deliver mid-single digit volume growth and high single digit value growth going forward as pricing pressure abates.

Africa, US, and Middle East business expected to deliver double-digit revenue and profit growth over the medium term, driven by FMCG investments.