India's Colgate-Palmolive quarterly profit dips on rising competition, tepid urban demand

Colgate-Palmolive (India)

22/07/2025 09:03

July 22 (Reuters) - Colgate Palmolive India COLG.NS reported a decline in first-quarter profit on Tuesday, as feeble urban demand and intensified competition in its core oral care business weighed on sales.

The toothpaste maker's net profit fell 12% to 3.21 billion rupees ($37.20 million) in the quarter ended June 30.

Revenue from operations for the toothpaste-to-shower gels maker dropped 4.4% to 14.21 billion rupees.

For further results highlights, click here.

KEY CONTEXT

The local arm of Colgate-Palmolive CL.N, known for its eponymous range of Colgate toothpastes, has said in a prior call with analysts that weak urban demand was causing consumers to use staples such as toothpaste for longer, impacting overall volumes.

The company's results in the current reporting quarter reflect subdued urban demand and elevated competition with local players, it said in a statement.

Colgate has been sharpening its focus on differentiated offerings that promise higher quality oral benefits to tackle these challenges, leading with a more premium portfolio.

Colgate-Palmolive India's peers are yet to report quarterly results.

PEER COMPARISON

Valuation (next 12 months)
Estimates (next 12 months)
Analysts' sentiment
RIC
PE
EV/EBITDA
Price/Sales
Revenue growth (%)
Profit growth (%)
Mean rating*
No. of analysts
Stock to price target**
Div yield (%)
Colgate-Palmolive (India)
COLG.NS
41.97
29.70
NULL
7.02
5.49
Hold
30
0.92
2.13
Godrej Consumer Products
GOCP.NS
51.46
35.82
8.00
9.46
21.30
Buy
34
0.92
1.60
Hindustan Unilever
HLL.NS
52.37
36.60
8.84
5.37
6.25
Buy
19
0.99
1.73
Dabur India
DABU.NS
45.94
34.72
6.80
7.88
10.20
Hold
39
1.01
1.53

* The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell

** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT

APRIL-JUNE STOCK PERFORMANCE

-- All data from LSEG

-- $1 = 86.2960 Indian rupees

APRIL-JUNE STOCK PERFORMANCE https://tmsnrt.rs/4m98Lp8

 (Reporting by Manvi Pant and Ananta Agarwal in Bengaluru; Editing by Ronojoy Mazumdar)

 ((Manvi.Pant@thomsonreuters.com; +918447554364;))