GCPL Q3 ad spends stands at Rs 364 cr, 6% jump YoY

Godrej Consumer Products Limited (GCPL) said in its Q3 financial results that Q3 FY 2025 consolidated net profit has declined by 14% year-on-year (without exceptional items and one-offs) due to temporary headwinds.

The FMCG major has posted advertising spends of Rs 364.4 crore for Q3, 6% YoY increase from Rs 343.3 crore recorded in the same period last year, as per media reports.

While the company’s consolidated organic sales have grown by 6% year-on-year, Q3 consolidated EBITDA margin stands at 20.2%.

For India, Q3 FY 2025 sales grew by 4% and volumes were flat and EBITDA declined by 21%.

While the Home Care segment grew 4%, Personal Care saw a 2% increase.

Commenting on the business performance of Q3 FY 2025, Sudhir Sitapati, Managing Director and CEO, GCPL, said: “Demand conditions in India have witnessed temporary headwinds over the past few months, led by a slowdown in urban consumption. Surge in palm oil prices by more than 40% along with weak seasonality in Household Insecticides has led to a flat underlying volume growth and mid-single digit underlying sales growth for our Standalone business. The surge in palm oil costs is negatively impacting our EBITDA margin.

“Our reported Standalone EBITDA margin at 22.6% is lower than our normative margin. Our categories of Air Fresheners, Laundry Liquids, etc. have continued to deliver strong double-digit underlying volume growth. In Household Insecticides, Goodknight Agarbatti has outperformed and gained significant market share in the Incense Sticks category. Premium formats in Household Insecticides were impacted due to Urban slowdown and category seasonality, however we have started to gain market share within premium formats, which suggests that the RNF molecule is working amongst consumers.”