In addition, consumer confidence improved due to post-trade stabilization in urban and rural areas. However, continuing the previous trend, rural demand also continued to outperform urban demand this quarter, according to FMCG companies such as Dabur, Marico and Godrej Consumer Products Ltd (GCPL).The FMCG sector, which has been witnessing sluggish consumption, now expects a sustainable recovery in demand and improvement in sales trajectory in the coming quarters.
Furthermore, in terms of channels, organized commerce maintained its strong growth momentum, with e-commerce, including hyperlocal delivery platforms, seeing strong double-digit growth.
“Within the Indian sector, we expect the Home and Personal Care business to grow at double digits on the back of strong growth in the Hair Oils and Oral Care category. Key brands, which are likely to deliver healthy volume-driven growth, are Dabur Amla franchise, Dabur Almond, Dabur Anmol, Dabur Red Toothpaste and Meswak,” Dabur said in its updates.
The majority of the portfolio continued to outpace category growth and is expected to gain market share over the course of the quarter. “Overall, we expect consolidated revenue to grow in the mid-single digits, with operating profit and profit after tax growing faster than revenue,” Dabur said.
Similarly, GCPL also said demand conditions in the domestic market gradually strengthened during the quarter.
“We remain confident of a gradual improvement in consumption in the coming quarters, supported by falling inflation and improving affordability, following lower GST rates,” the FMCG arm of Godrej Industries Group (GIG) said.
It also expects “near double-digit revenue growth in terms of rupees and double-digit EBITDA growth” at the consolidated level, aided by domestic and improving trends in its international operations.
Similarly, Marico, which owns several FMCG brands including Saffola, Parachute, Hair & Care, Nihar and Livon, also expects consolidated sales to rise in the high 20s for the third quarter, with improvement in margins.
Marico said it witnessed a “stable demand trend” during the December quarter and remains “optimistic” about a gradual improvement in consumption in the coming quarters.
This is supported by easing inflation, lower GST rates boosting affordability, MSP increases and a healthy crop sowing season, Marico said in its December quarter updates to the stock exchanges.
“During the quarter, underlying volume growth in the Indian operations remained high in the mid-single digits, while improving slightly on a sequential basis.
“Consolidated year-on-year revenue growth was in the high twenties, poised to deliver on our full-year ambition,” Marico said.
Similarly, retailers like Trent, Titan and D-Mart reported standalone growth in their updates.
Tata group company Trent, which operates brands like Westside and Zudio, reported 17 per cent growth in standalone sales to Rs 5,220 crore in the third quarter of FY26.
Avenue Supermarts Ltd, which owns and operates the D-Mart retail chain, reported an 18.27 per cent increase in consolidated net profit at Rs 855.78 crore and operating revenue rose 13.32 per cent to Rs 18,100.88 crore for the December quarter of FY26.
Titan Co Ltd, the country’s largest branded jewelery and watchmaker, on Tuesday reported 40 per cent growth in its standalone sales in the December quarter of FY26, mainly driven by rising gold prices.
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