Colgate Palmolive (India) Limited Earnings Summary — Q1 FY2027
Colgate-Palmolive (India) Delivers Robust 12% Topline Growth with Strong Premiumization Momentum
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue grew 7.3% sequentially in Q4 FY2026.
- Revenue of ₹1,595 Cr is 9.1% higher year-on-year.
- Revenue has compounded at 6.1% annualised over the last 10 quarters.
- Net profit of ₹353 Cr is 0.5% below the same quarter last year.
- Profit growth is trailing revenue growth this quarter.
- Net profit has compounded at 3.1% annualised across the period.
- Operating margin stands at 31.9% in Q4 FY2026.
- Operating margin compressed by 211 bps year-on-year.
- Over the last two years operating margin has contracted by 378 bps.
- PBT margin is 29.7%.
- Expenses grew 12.6% against revenue growth of 9.1%.
- Operating profit of ₹510 Cr is 2.3% higher year-on-year.
- Operating leverage has been under pressure recently.
- 3 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 63/100 (Healthy) on the latest 10 quarters.
- Business momentum is broadly stable quarter to quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 | Q3 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Stable | 1,595 | 1,486 | 1,520 | 1,434 | 1,463 | 1,462 | 1,619 | 1,497 | 1,490 | 1,396 |
| Expenses | Stable | 1,086 | 1,044 | 1,054 | 981 | 965 | 1,007 | 1,122 | 988 | 958 | 927 |
| Operating Profit | Stable | 510 | 442 | 465 | 453 | 498 | 454 | 497 | 508 | 532 | 468 |
| Operating Margin | Stable | 31.9% | 29.7% | 30.6% | 31.6% | 34.0% | 31.1% | 30.7% | 34.0% | 35.7% | 33.6% |
| Other Income | Volatile | 0 | 31 | 15 | 18 | 19 | 20 | 76 | 23 | 23 | 18 |
| Interest | Softening | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 2 |
| Depreciation | Stable | 35 | 36 | 37 | 38 | 38 | 41 | 42 | 42 | 42 | 41 |
| Profit Before Tax | Stable | 474 | 436 | 442 | 432 | 478 | 433 | 530 | 489 | 511 | 443 |
| Tax | Stable | 121 | 112 | 115 | 111 | 123 | 110 | 135 | 125 | 132 | 113 |
| Net Profit | Stable | 353 | 324 | 328 | 321 | 355 | 323 | 395 | 364 | 380 | 330 |
| Net Margin | Stable | 22.1% | 21.8% | 21.6% | 22.4% | 24.3% | 22.1% | 24.4% | 24.3% | 25.5% | 23.6% |
Key Takeaways
- Reported a 12% year-on-year growth in Net Sales, reaching ₹1,591 Crore for the quarter ended June 30, 2026.
- Achieved robust high-single digit volume growth in the toothpaste portfolio, led by premium segment performance.
- Gross margins improved by 110 basis points YoY to 69.7%, aided by 'Funding the Growth' cost-saving initiatives.
- Advertising expenditure increased significantly to ₹251.86 Crore (up 33.7% YoY) to support brand building and premiumization.
- Net profit grew by 11% YoY when excluding exceptional items related to organizational restructuring costs and GST changes.
- Exceptional items for the quarter included ₹3.34 Crore primarily for severance and organizational changes.
Management Guidance
Management expects sustainable growth fueled by science-backed products and continued heavy investment in advertising. They remain focused on managing margin profiles through cost savings despite geopolitical uncertainties and commodity price volatility.
Sentiment Shift
Stable
The company continues its momentum of double-digit domestic growth and margin expansion, effectively pivoting toward premium categories.
Outlook
Focus remains on accelerating the core portfolio while driving premiumization in toothbrushes and expanding the sensorial personal care portfolio under the Palmolive brand.
From the Annual Report (Key Quotes)
“Our toothpaste portfolio achieved robust, high-single digit volume growth, driven by stellar performance in Premium toothpaste.”
“We continue to maintain a healthy margin profile led by consistent cost savings from our Funding the Growth initiatives and strict financial discipline.”
“We leveraged these strong margins to increase our focused investments in brand building and category premiumisation.”
Official Quarterly Documents
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This summary is AI-generated from Colgate Palmolive (India) Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.