Godfrey Phillips India (500163) Q2 25/26 earnings summary

Executive summary

• Consolidated gross sales value reached Rs. 8,068 crore in H1 FY26, up 23% year-over-year, with net profit from continuing operations at Rs. 661 crore, up 22% year-over-year.

• Unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2025, were approved and reviewed by the Board and Audit Committee.

• Interim dividend of Rs. 17 per share declared for FY26, following a bonus equity share issue in a 2:1 ratio.

• Domestic cigarette sales volume grew 25% year-over-year in H1 FY26.

• Certified as a 'Great Place to Work' for the seventh consecutive year.

Financial highlights

• Gross profit for H1 FY26 was Rs. 1,227 crore, with a gross profit margin of 15.2%.

• Net profit after tax for H1 FY26 was Rs. 661 crore, up 38.7% year-over-year.

• EBITDA for H1 FY26 stood at Rs. 651 crore, up 19% year-over-year.

• Standalone total income for H1 FY26: Rs. 369,957 lakhs; consolidated total income: Rs. 355,935 lakhs.

• EPS (standalone, continuing operations, Q2): Rs. 19.52; (consolidated): Rs. 19.56.

Outlook and guidance

• Focus on expanding into new cigarette markets and strengthening international business.

• Initiatives underway to recover unmanufactured tobacco export shortfall in H2 FY26.

• Operations at the tobacco processing plant in Andhra Pradesh resumed after a fire; insurance coverage expected to offset inventory losses.

• Retail business (24Seven) discontinued and classified as discontinued operations.

• Continued partnership with Philip Morris International for Marlboro brand in India.