Bajaj Consumer Care Q2FY27 profit jumps 66% on coconut oil demand

Bajaj Consumer Care reported a 65.9% year-on-year rise in consolidated net profit to Rs 70.15 crore for the September quarter of FY27. Operating income grew 25.4% YoY to Rs 332.8 crore. The company's EBITDA stood at ₹83.3 crore.

Revenue and margin expansion drivers

Domestic business revenue grew over 30% in Q2FY27. The company's Almond Drops Hair Oil (ADHO) domestic business also delivered revenue growth of more than 30%. Bajaj Consumer Care said: "The coconut portfolio remained the key growth engine, supported by healthy consumer and trade traction." Volume growth in this segment was significantly ahead of revenue growth due to deflation in coconut prices. Price Point Packs continued to outperform the overall portfolio and remained a key growth driver.

Channel and market performance

General Trade delivered mid-twenties YoY growth in Q2FY27, with first-half growth remaining in the high twenties. Organised Trade grew ahead of General Trade. Rural markets edged ahead of urban markets during the quarter, though both segments recorded robust and closely matched growth. E-commerce and Modern Trade reported broad-based growth across customers and sub-channels. Quick commerce remained the fastest-growing channel within that segment.

Product innovation and international expansion

The company's growth portfolio sustained strong momentum and scaled meaningfully while improving profitability. Bajaj Consumer Care stated that the tweak in the portfolio continues with revamp of a few selected brands and introduction of certain new products being piloted in select markets and channels. The company introduced a new integrated campaign with revised positioning towards the end of the quarter.

International business continued to report strong growth, expanding significantly ahead of the overall rate. The Rest of the World (RoW) business sustained its turnaround. Nepal, GCC, and Africa markets delivered very strong growth.

Bangladesh resilience and cost pressures

Bangladesh maintained growth in the teens despite a challenging operating environment. The company noted raised raw material prices, with light liquid paraffin (LLP) prices continuing to be high due to the ongoing West Asia conflict. Higher global freight costs also contributed. Refined mustard oil (RMO) prices were high due to Middle East conflict disrupting oilseed supply chains. Copra prices rose in Q2 FY27 in anticipation of El Niño impact in Q3.

The company continues to revamp select brands and pilot new products in select markets and channels as part of its ongoing portfolio tweak.