Emami Q3 ad spends up 22% to Rs 191 crore

Emami Ltd has stepped up its advertising and sales promotion spends sharply in the third quarter ended December 31, 2025, with the FMCG major’s brand investments rising 22.2% quarter-on-quarter to Rs 191.11 crore, as per its unaudited consolidated financial results.

The company spent Rs 156.39 crore on advertising and sales promotion in the preceding quarter ended September 30, 2025. On a year-on-year basis, Emami’s ad spends increased 8.8% from Rs 175.73 crore in the corresponding quarter last year ended December 31, 2024.

For the nine months ended December 31, 2025, Emami’s advertising and sales promotion expenses stood at Rs 527.25 crore, up 4.4% from Rs 505.14 crore in the year-ago period, indicating a steady brand-building push through the fiscal even as the sharpest spike came in the peak-season third quarter.

The rise in advertising outlay came alongside a strong improvement in the company’s quarterly operating performance. 

Emami has reported revenue from operations of Rs 1,151.81 crore in Q3 FY26, compared to Rs 798.51 crore in Q2 FY26 and Rs 1,049.48 crore in Q3 FY25. 

Total income for the quarter rose to Rs 1,170.78 crore, up from Rs 819.88 crore in the previous quarter and Rs 1,064.41 crore in the year-ago quarter.

The company’s earnings before finance costs, depreciation and amortisation, share of profit or loss of associates, exceptional item and tax came in at Rs 403.17 crore in Q3 FY26, sharply higher than Rs 199.90 crore in Q2 FY26 and above Rs 353.62 crore in Q3 FY25. This translated into an operating margin of about 35% for the quarter, compared to around 25% in the previous quarter and nearly 34% in the year-ago quarter.

Profitability also strengthened during the period. Emami reported profit after tax of Rs 319.48 crore in Q3 FY26, more than doubling from Rs 148.35 crore in Q2 FY26, and rising 14.5% from Rs 278.98 crore in Q3 FY25. 

Profit before tax stood at Rs 345.05 crore in Q3 FY26 versus Rs 150.18 crore in the preceding quarter and Rs 301.35 crore in the same quarter last year.

Total expenses for the quarter increased to Rs 767.61 crore from Rs 619.98 crore in Q2 FY26 and Rs 710.79 crore in Q3 FY25, with advertising and sales promotion remaining one of the largest cost heads. 

During the quarter, Emami reported cost of materials consumed of Rs 211.15 crore, purchases of stock-in-trade of Rs 82.63 crore, employee benefits expense of Rs 121.46 crore, and other expenses of Rs 116.78 crore.

On a nine-month basis, Emami reported revenue from operations of Rs 2,854.41 crore for the period ended December 31, 2025, marginally higher than Rs 2,846.14 crore in the corresponding period last year. 

Total income stood at Rs 2,916.34 crore compared to Rs 2,893.09 crore a year ago. Profit after tax for the nine-month period came in at Rs 632.09 crore, slightly lower than Rs 640.57 crore in the year-ago period.

Harsha V Agarwal, Vice Chairman and Managing Director, Emami Limited said: "Q3FY26 delivered strong, broad-based performance, with sales growth of 11% driven by healthy volume expansion of 9%. Our strategic priorities around purposeful innovation, premiumization, and portfolio expansion continue to translate into tangible outcomes. EBITDA grew by 13%, with margins expanding 110 basis points to 33.4%, reflecting operational excellence and disciplined cost management. We remain focused on strengthening our core brands while selectively investing in new-age growth opportunities to build future scale."

Mohan Goenka, Vice Chairman and Whole-Time Director, Emami Limited said: "Despite short-term disruptions related to the GST 2.0 transition early in the quarter, our business delivered robust sales growth, reflecting the resilience of our brands and operating model. Growth was broad-based across all distribution channels, with quick commerce continuing to scale rapidly, doubling sales and now contributing 20% of our e-commerce business. The expansion of organized channels has strengthened our domestic revenue mix, with organized trade accounting for nearly 32% of domestic sales, up 280 bps in 9MFY26. Our international business grew 9% despite mixed global conditions. We remain focused on disciplined execution, capital efficiency, and delivering sustainable, profitable growth for our shareholders and stakeholders."