GCPL expects gradual improvement in consumption as demand strengthens in Dec quarter

New Delhi: Godrej Consumer Products (GCPL) said demand conditions in India strengthened progressively during the quarter ended December 2025 and expressed confidence about a gradual recovery in consumption over the coming quarters.

In a quarterly update, the company said easing inflation and improving affordability, following lower GST rates, were expected to support consumption trends.

“...demand conditions in India strengthened progressively during the quarter. We remain confident of a gradual improvement in consumption over the coming quarters, supported by falling inflation and improving affordability following lower GST rates,” GCPL said in a regulatory filing.

The company added that its standalone business was positioned to report double-digit revenue growth for the quarter, supported by near double-digit underlying volume growth on a favourable base.

“Our standalone business is well-positioned to deliver double-digit revenue growth for the quarter, underpinned by close to double-digit underlying volume growth (UVG), albeit on a supportive comparator,” it said.

GCPL attributed the performance primarily to its home care segment, noting continued momentum and sustained consumer demand.

Personal care was expected to record mid-single-digit value growth, driven by a recovery in the soaps category. The company said the improvement reflected both stronger category fundamentals and sharper execution.

“Most importantly, we expect standalone EBITDA margins to revert to the normative range for the business, aided by favourable input costs, disciplined cost management, calibrated pricing actions, and improved operating leverage, reinforcing our commitment to delivering profitable, quality growth,” the company said.

On international operations, GCPL noted that competitive pricing pressures persisted in Indonesia during the quarter, although early signs of stabilisation were visible.

“We do see early signs of stabilization and expect an improvement in both revenue and profitability from FY27 onwards,” it added.

The GAUM cluster, covering Godrej Africa, USA and the Middle East, continued to deliver steady performance on both revenue and profitability, with the company reiterating its expectation of double-digit growth for the financial year.

At a consolidated level, GCPL said it expected close to double-digit revenue growth in rupee terms and double-digit growth in EBITDA, reflecting improving trends across domestic and international businesses.