Marico Posts Positive Q4FY25 Growth: PAT increases 8%, Declares ₹ 7 Final Dividend

FMCG major Marico has reported a robust performance for the fourth quarter of the financial year 2025, with profit after tax (PAT) and revenue showing year-on-year increases. The company, known for brands like Parachute and Saffola, also announced a final dividend for its shareholders. Marico shares closed at ₹ 698.50, down by 1.68%.

Revenue Growth Accelerates in Q4 FY25

Marico's consolidated PAT for the quarter stood at ₹343 crore, an 8% jump compared to ₹318 crore in the corresponding period of the previous financial year. The company's revenue from operations saw a substantial 20% rise, reaching ₹2,730 crore in Q4 FY25, up from ₹ 2,278 crore in Q4 FY24. 

Strategic Pricing Helps Offset Cost Headwinds

Earnings Before Interest, Taxes, Depreciation and Amortisation (EBITDA) for the reported quarter was ₹458 crore, a 4% increase from ₹ 442 crore in the year-ago period. However, the company's EBITDA margin saw a contraction, coming in at 16.8%. This was a decrease of 260 basis points from the 19.4% reported in Q4 FY24. The gross margin contraction of 300 bps YoY was primarily driven by a rise in copra and vegetable oil prices. This impact was partially mitigated by strategic pricing interventions in key product categories. Advertising & promotional (A&P) spends were also notably higher, increasing 35% YoY in Q4, aligning with the company's strategy to strengthen franchises and accelerate diversification.

Final Dividend of ₹7.00 per Share Proposed

Following an interim dividend of ₹3.50 per equity share paid in February, Marico's board has recommended a final dividend of ₹7.00 per equity share for FY25. This recommendation is subject to shareholder approval at the forthcoming 37th Annual General Meeting. With a face value of ₹1 per share, the final dividend translates to a 700% payout. Combined with the interim dividend, the total dividend for the financial year ended March 31, 2025, amounts to ₹ 10.50 per equity share. The company has set the record date for the final dividend as Friday, August 1, 2025. If approved by shareholders, the dividend is scheduled to be paid on or before Sunday, September 7, 2025.

Full-Year PAT Up 8% to ₹1,593 Crore

For the entire financial year FY25, Marico's bottom line (PAT) grew by 8% to ₹1,593 crore, up from ₹1,470 crore in FY24. The company's topline for the full year also increased, rising 12% to ₹ 10,831 crore compared to ₹ 9,653 crore in FY24.

Macroeconomic Tailwinds Support Positive Outlook

Marico's regulatory filing noted that moderating retail and food inflation is a positive sign for overall consumption in FY26. Furthermore, government initiatives, an increase in Minimum Support Prices (MSPs), and favourable monsoon forecasts are expected to contribute to the ongoing recovery in rural markets.

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