India's Godrej Consumer profit edges lower on Indonesia weakness, one-off charge

Godrej Consumer Products

23/01/2026 11:06

Jan 23 (Reuters) - India's Godrej Consumer Products GOCP.NS posted a marginal decline in quarterly profit on Friday, hurt by a one-time charge from new labour codes and weakness in its Indonesia business.

Consolidated net profit fell marginally to 4.979 billion rupees ($54.16 million) for the quarter ended December 31, from 4.983 billion rupees a year earlier. Without exceptional items and one-off charges, its net profit climbed 14%.

Revenue from sale of products rose nearly 9% to 40.79 billion rupees, led by growth in India and Africa even as the company's Indonesia business declined.

For further earnings highlights, click here. [FULL STORY]

KEY CONTEXT

Godrej Consumer is contending with intense competition as well as a broader economic slowdown in Indonesia, which in 2024-25 accounted for about 14% of its total revenue. It expects a meaningful recovery from fiscal 2027 onwards.

That comes in contrast to a nascent recovery in demand in India after sales took a hit in the second quarter, when customers deferred purchases following the announcement of consumption tax cuts.

India's new labour codes - the country's biggest overhaul of workers' laws in decades - have dragged the profit of large corporates, including those of Wipro WIPR.NS and Infosys INFY.NS.

PEER COMPARISON

Valuation (next 12 months)
Estimates (next 12 months)
Analysts' sentiment
RIC
PE
EV/EBITDA
Price/Sales
Revenue growth (%)
profit growth (%)
Mean rating*
# of analysts
Stock to price target**
Div yield (%)
Godrej Consumer Products Ltd
GOCP.NS
50.28
28.77
7.47
9.24
18.62
BUY
34
0.93
1.61
Hindustan Unilever Ltd
HLL.NS
48.58
33.59
8.19
7.49
9.22
BUY
21
0.87
1.80
Nestle India Ltd
NEST.NS
69.25
44.21
10.28
10.32
13.22
HOLD
35
1.02
1.01
Dabur India Ltd
DABU.NS
44.44
33.01
6.49
8.39
11.37
HOLD
37
0.98
1.52

* 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

OCTOBER-DECEMBER STOCK PERFORMANCE

-- All data from LSEG

($1 = 91.9310 Indian rupees)

Godrej consumer Q3 stock performance https://tmsnrt.rs/49A3nYy

 (Reporting by Komal Salecha in Bengaluru and Praveen Paramasivam in Chennai; Editing by Ronojoy Mazumdar)

 ((Komal@thomsonreuters.com;))