Surging Revenues, Squeezed Profits: Jyothy Labs Steers Through Economic Crosswinds

On Monday, FMCG giant Jyothy Labs Ltd announced a 12.3% drop in net profit for the March quarter of FY26, standing at Rs 67.52 crore. The company, known for brands like Ujala and Pril, experienced a decrease from the Rs 77 crore net profit reported in the same period the previous year.

Despite the profit slide, Jyothy Labs showcased a 7.72% rise in revenue from operations, hitting Rs 717.41 crore, attributed to a robust 10.8% volume growth. However, the operating EBITDA margin was impacted by inflation in input costs, settling at 13.5%, and rising to Rs 637.7 crore in total expenses for the quarter.

Chairperson and Managing Director M R Jyothy expressed caution over input cost inflation linked to crude and geopolitical issues in West Asia, acknowledging ongoing pressure on margins. The company anticipates stable demand, contingent on macroeconomic factors, and has implemented pricing strategies to mitigate cost challenges.

(With inputs from agencies.)