GCPL trims ad spend 6% on-year to Rs 341.37 crore in December quarter

New Delhi: Godrej Consumer Products (GCPL) cut its advertisement and publicity spending during the December quarter even as it reported strong revenue and profit growth, pointing to tighter cost control and improved efficiency in brand investments.

On a consolidated basis, GCPL spent Rs. 341.37 crore on advertisement and publicity in the quarter ended December 31, 2025, compared with Rs. 364.37 crore in the same quarter last year, a decline of about 6% on a yearly basis. Advertising expenditure also fell on a sequential basis from Rs. 375.74 crore in the September quarter, translating into a reduction of around 9% on-quarter.

The moderation in advertising spend came alongside healthy growth in key operating metrics. Consolidated revenue from operations rose to Rs. 4,099.12 crore, compared with Rs. 3,768.43 crore in the December quarter last year, an increase of about 9% year-on-year. On an on-quarter basis, revenue rose from Rs. 3,825.09 crore in the preceding quarter.

Consolidated EBITDA, including foreign exchange impact, increased 16% from the year-ago period, with margins improving to 21.6%, up from 20.1% in the same quarter last year. The company said margin expansion was supported by operating leverage, disciplined cost management and calibrated pricing actions.

Net profit, excluding exceptional items and one-offs, rose 14% compared with the December quarter last year.

Category-wise, GCPL reported strong performance across several core segments. In Home Care, revenue grew 12% from the year-ago period, led by continued momentum in Air Fresheners and Fabric Care, both of which gained market share. Household Insecticides were impacted by severe winter conditions, though the company said it continued to strengthen its position through product-led gains, including electrics and incense sticks.

The Personal Care segment recorded 7% growth compared with the year-ago quarter, supported by a recovery in soaps and steady performance in hair colour. “Personal Care witnessed a meaningful recovery, with soaps demonstrating a positive trajectory supported by improving affordability following the GST reduction and stable commodity prices,” Sitapati said. He added that hair colour continued to gain market share across crème and shampoo formats.

Internationally, Africa, USA and Middle East delivered strong growth, with sales rising 19% from the same quarter last year, led by Hair Fashion and Air Fresheners. “Our GAUM businesses delivered outstanding results, with sales growth of 19% in INR terms,” Sitapati said, adding that the Aer Pocket launch had resonated strongly with consumers across markets.

Indonesia remained a challenging market, with revenue declining 3% from the year-ago period due to competitive pricing pressure. However, Sitapati said early signs of stabilisation were visible. “While pricing pressures persist, we are encouraged by early signs of stabilisation. Profitability improved by close to 100 basis points over the same period last year,” he said.

Looking ahead, Sitapati said the company remained confident of sustaining growth. “As our execution momentum builds, our unwavering focus on category development, cost discipline and operational excellence continues to translate into improving performance,” he said.