EPL (500135) Q3 25/26 earnings summary

Executive summary

• Revenue grew 13.3% year-over-year to INR 11,488 million, with EBITDA up 12% and margin at 20.1%.

• ROCE improved to 18.7%, up over 180 basis points year-over-year.

• Beauty and cosmetics segment delivered 26%+ year-over-year growth, now 53% of the portfolio.

• Double-digit growth achieved in three of four regions; Americas and EAP led with 19% and 18% growth, respectively.

• Net profit after tax for the quarter was Rs. 831 million, compared to Rs. 941 million in the same quarter last year.

Financial highlights

• Consolidated revenue up 13.3% year-over-year to INR 11,488 million; EBITDA up 12% to INR 2,308 million, margin at 20.1%.

• Adjusted PAT grew 11% year-over-year, while reported PAT was flat due to exceptional items.

• Net debt to EBITDA ratio at 0.65, improved from 0.72 year-over-year.

• Capex for YTDFY26 was INR 3,272 million, up from INR 2,306 million YTDFY25.

• Operating margin for the nine months was 20.47%, compared to 19.50% in the prior year period.

Outlook and guidance

• Sustained double-digit revenue growth expected, with EBITDA growth to outpace revenue.

• Focus on accelerating beauty and cosmetics, scaling in emerging markets, sustainability, and margin expansion.

• Aiming to increase ROCE from 18% to over 25% by FY29 through margin improvement and capital efficiency.

• Confident in returning Europe to mid-teen margins in coming quarters.

• The company continues to monitor the implementation of new labour codes and will adjust for any further regulatory changes as needed.