Companies operating in India’s Consumer Goods sector reported substantial growth in the quarter that ended December 31st, fueled by the stabilization of GST reforms and a strong Diwali holiday shopping season. Major Indian players such as Dabur, Marico, and Godrej Consumer Products (GCPL) report that the previous disruptions caused by inventory liquidations have passed, giving way to a “volume-led” recovery. (In India they use the term FMCG – Fast Moving Consumer Goods as a synonym for CPG – Consumer Packaged Goods)
The industry is pivoting from “slow consumption” to “sustained recovery,” with many firms expecting profits to outpace revenue growth due to more efficient operations and lower overhead.
Chief executives of American companies such as AO Smith, Apple, Colgate-Palmolive, Mondelez, and Honeywell, in recent earnings calls confirmed faster business growth in their India business in the December quarter.
While urban markets are steady, rural demand continues to lead the charge. This growth is bolstered by lower raw material costs, easing inflation, and the rapid expansion of e-commerce and hyper-local delivery services. On the retail side, giants such as Trent, Titan, and D-Mart also posted double-digit revenue jumps, signaling a broad-based improvement in consumer sentiment and profit margins across the industry.
Key Performance Highlights:
| Company | Key Metric (Q3 FY26) | Growth Driver |
| Dabur | Mid-single digit revenue growth | Hair and Oral care categories |
| Marico | High-20s revenue growth | Easing inflation and MSP hikes |
| GCPL | Double-digit EBITDA growth | Improved affordability and GST cuts |
| Trent | 17% standalone revenue increase | Strong Westside and Zudio performance |
| Titan | 40% standalone revenue growth | Surging gold prices and jewelry demand |
