This article first appeared on GuruFocus .
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Net Revenue:INR1,153 crore, growth of 21% for the full year.
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Gross Margin:16% for the full year; 63% for Q4, improved by 650 basis points year-on-year.
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EBITDA:INR224 crore for the full year at a margin of 19.5%; INR78 crore for Q4 on a stand-alone basis with a margin of 25%.
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Net Profit (PAT):INR190 crore for the full year at a margin of 16.5%; INR64.1 crore for Q4 on a stand-alone basis with a margin of 20.8%.
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Q4 Revenue:INR308 crore on a stand-alone basis, growth of 28% year-on-year; INR327 crore on a consolidated basis, growth of 32%.
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Advertising Spend:Increased by 34% in Q4 compared to the same period last year.
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Non-ADHO Portfolio Revenue:INR225 crore for FY26.
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Organized Trade Contribution:30% to overall sales.
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Release Date: April 17, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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Bajaj Consumer Care Ltd ( BOM:533229 ) reported a strong revenue growth of 21% for the full year, crossing the INR1,000 crore mark for the first time.
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The company achieved a significant improvement in gross margins, reaching 63% for the quarter and 60% for the full year, marking a 650 basis point increase from the previous year.
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EBITDA grew by 131% on a stand-alone basis and 135% on a consolidated basis, with margins improving to 25% and 23% respectively.
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The general trade channel showed strong recovery, with urban and rural channels performing well, particularly in retail and wholesale sub-channels.
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The company plans to grow its non-ADHO portfolio to INR500 crore over the next three years, indicating a strategic focus on diversification and growth.
Negative Points
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The international business faced challenges, with declines in key markets like Nepal and Bangladesh, although there was a breakeven in Bangladesh.
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Input costs have been volatile due to geopolitical tensions, affecting prices of LLP and packaging materials, which may necessitate pricing adjustments.
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The CSBCPC channel performance was muted, indicating potential areas of concern in channel-specific growth.
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Despite strong performance, the company faces hyperinflation challenges, impacting raw material costs and necessitating strategic pricing actions.
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The company is cautious about future margin sustainability due to ongoing cost inflation and market volatility.
Q & A Highlights
Q: How did Bajaj Consumer Care manage to deliver strong sales growth in Q4 despite the typically low seasonality in the hair oil segment? A: Naveen Pandey, Managing Director, explained that the growth was driven by a positive mix change and margin expansion rather than a significant increase in volume. The company improved its margins through strategic pricing and mix improvements, which led to revenue uplift and margin improvement.
Q: What impact does hyperinflation have on Bajaj Consumer Care's strategy, and how is the company managing cost pressures? A: Naveen Pandey stated that the entire cost base is under inflation, with some components experiencing 50-60% inflation. The company is managing this by holding good positions to cover costs and implementing pricing adjustments. They are also taking strategic actions to maintain margins within a desired range despite the volatile environment.
Q: How has the rural market performed compared to the urban market for Bajaj Consumer Care? A: Naveen Pandey noted that the urban market has outperformed the rural market on a full-year basis. The company's focus on brand building, advertising, and distribution has driven growth in both markets, but urban areas have shown stronger performance.
Q: Are there any one-off factors in this quarter's results, and are these numbers sustainable? A: Naveen Pandey confirmed that there are no one-off factors affecting the results, except for the acquisition of Vishal Personal Care, which is now included in the consolidated revenues. The numbers are sustainable, reflecting the company's strategic actions and market performance.
Q: What is the company's strategy for the non-ADHO portfolio, and what growth is expected in this segment? A: Naveen Pandey outlined the goal to grow the non-ADHO portfolio to INR500 crore over the next three years. This will involve scaling existing brands like Banjara's and introducing new products. The company aims for a double-digit revenue CAGR in this segment.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
