Eureka Forbes' profit grew by 17.8% in the second quarter, revenue increased by 11.5%

Godrej Consumer Products Ltd reported a consolidated net profit growth of 13.84% year-on-year, reaching 522.92 crore rupees for the September quarter of fiscal year 27. This growth was driven by increased sales volumes.

In the reporting quarter, total operating revenue increased by 19%, amounting to 4,413.09 crore rupees, compared to 3,708.19 crore rupees in the same period last fiscal year. The company noted that consolidated sales grew by 19% year-over-year in Q2 FY27, supported by an underlying volume growth of 8%.

The FMCG giant also reported a 12% year-on-year increase in EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization). Total expenses for GCPL in Q2 FY27 stood at 3,758.26 crore rupees, which is 20.6% higher than the previous year.

Management Commentary

Managing Director and CEO Aasif Malbari commented on the results, stating that the company demonstrated strong sales volume growth across the country, including India, Indonesia, and Africa, despite moderate monsoon conditions in India, supported by positive factors in Indonesia.

He added that this was the second consecutive quarter where GCPL showed high percentage revenue growth, accompanied by high single-digit sales volume growth and double-digit profit growth.

Market Dynamics

GCPL's revenue in the Indian market, where brands such as Good Knight, Cinthol, and HIT are used, increased by 12.81% to 2,654.07 crore rupees. Based only on domestic business, which mainly includes internal operations, GCPL's underlying sales volume grew by 7%.

Malbari noted that this occurred despite the assumed impact of a 150 basis point trade inventory correction in the quarter. He emphasized that while this had a modest short-term impact on growth, maintaining healthy inventory levels in channels is crucial for operational excellence and keeping the sales team focused solely on shipments.

In the home care segment, a value increase of 19% was achieved, driven by strong performance in air fresheners and liquid home care products. The personal hygiene segment saw an 8% value increase. Soap remained stable despite significant price hikes and reductions in weight, although with a favorable comparative indicator.

GCPL's revenue in the second-largest market, Indonesia, reached 538.29 crore rupees, a 20.1% increase in the September quarter. The company's operations in this country are on track for recovery in terms of volume and profit growth, according to the plan.

The company reported strong UVG growth of 8% and a 20% sales increase in Indonesia, driven by broad growth across all categories. EBITDA growth was 12% even with increases in LPG prices.

GCPL's revenue in the African market (including Strength of Nature) grew by 47% to 1,070.54 crore rupees in the September quarter. In this region, the FMCG division of Godrej Industries Group (GIG) reported the seventh consecutive quarter of revenue growth and the eleventh consecutive quarter of net profit growth, with sales growth in constant currency (USG) at 40%, or 23% in constant currency.

Results were broad across all product categories and geographical regions; the hair care and Aer portfolios continue to expand in the markets. The company also began testing Goodknight incense in Nigeria, receiving positive initial consumer feedback.

GCPL's revenue from another segment, which includes income from Latin America and other markets, increased by 40.35% to 284.11 crore rupees in Q2 FY27. Shares of Godrej Consumer Products Ltd closed at 834 rupees per share on Thursday, showing a rise of 1.77% on the BSE.

Eternal, the parent company of Zomato and Blinkit, reported significant growth in net profit during the second quarter of fiscal year 2027. The company's profit increased by 92.3% compared to the same period last year, while revenue grew by 78% year-over-year. Nevertheless, the results were below analysts' forecasts, who expected a net profit of 250 crore rupees.

Eternal's net profit for the second quarter of fiscal year 2027 amounted to 125 crore rupees, which is higher than the 65 crore rupees recorded in the same period a year earlier. Revenue reached 24,138 crore rupees compared to 13,590 crore rupees in the corresponding quarter of the previous fiscal year.

The quick commerce segment, Blinkit, remained a key source of income, generating revenue of 19,152 crore rupees in the second quarter of fiscal year 2027. According to Eternal's data, Blinkit's average order value (NOV) grew by 79.3% year-over-year. The platform added 308 new stores, bringing the total number of stores to 2,751.

Blinkit's adjusted EBITDA improved for the sixth consecutive quarter, reaching 0.9% of NOV, equivalent to a profit of 184 crore rupees, whereas the loss a year earlier was 156 crore rupees. Eternal forecasts that Blinkit's store count will exceed 3,500 by March 2027 and potentially reach 5,000 by March 2028.

Albinder Singh Dhindsa, CEO of Eternal Group, noted that in the quick commerce business, not only the growth rate but also the quality of that growth is important. He emphasized that each store has limited capacity, and customers coming only for deep discounts use the same capacity as those ordering weekly from different categories. He added that attracting customers through price reductions might be faster, but such buyers often leave after the discounts end.

Regarding the food delivery business, Zomato demonstrated a 21.5% year-over-year increase in NOV, and the company stated that the acceleration of growth has continued for the fifth consecutive quarter. Eternal's founder, Dipinder Goyal, commented on the situation in the food delivery segment, expressing satisfaction with the current state of the business. However, he clarified that they try not to draw hasty conclusions based on a single quarter. His long-term expectation for food delivery has always been over 20% annual growth, and the last two quarters have brought the company back into this range. He also noted that this view has not changed either last year when growth slowed down or now when growth has resumed.

The consolidated net profit of Union Bank of India increased by 30.6% year-on-year, reaching 5,781 crore rupees in the quarter ending September 30, 2026. This figure was up from 4,425.95 crore rupees and was driven by an increase in net interest income and a sharp reduction in provisions.

Net interest income, calculated as interest earned minus interest paid, grew by 20.2% to 10,765.32 crore rupees, compared to 8,957.92 crore rupees. Meanwhile, interest income rose by 8.3% to 28,377.73 crore rupees, while interest expenses increased more slowly—by only 2.1%—to 17,612.41 crore rupees.

Sharp reduction in provisions by almost 50 percent

Operating profit before provisions and unexpected expenses rose by 19.1%, amounting to 8,150.96 crore rupees compared to 6,844.79 crore rupees. Provisions and unexpected expenses, excluding taxes, decreased by 49.6%, falling from 1,392.28 crore rupees to 702.19 crore rupees. However, provisions specifically set aside for non-performing assets increased by 15%, reaching 596.48 crore rupees.

Profit before tax increased by 36.6%, totaling 7,448.77 crore rupees. Tax expenses grew by 60.4% to 1,878.37 crore rupees. The bank's share of profit from affiliates increased by 45.6% to 210.60 crore rupees. Basic and diluted earnings per share rose to 7.57 rupees from 5.80 rupees.

Total income increased by 5.4% to 33,471.29 crore rupees, while other income decreased by 8.2% to 5,093.56 crore rupees. Total expenses, excluding provisions and unexpected expenses, rose by 1.6% to 25,320.33 crore rupees. Union Bank's operating margin improved to 24.35% from 21.55%, and net profit margin rose to 17.27% from 13.94%.

Credit growth outpaces deposit growth

Consolidated loans grew by 19.4% year-on-year to 1,136,280.44 crore rupees as of September 30, 2026, compared to 951,795.76 crore rupees. Deposits increased by 6.9%, reaching 1,322,309.68 crore rupees from 1,237,049.70 crore rupees. The consolidated capital adequacy ratio improved by 91 basis points, standing at 18.61% compared to 17.70%. The Tier 1 capital ratio increased by 171 basis points to 16.72%. Net capital grew by 14.6% to 134,105.53 crore rupees from 117,044.78 crore rupees.

Corporate banking results nearly doubled

Income from corporate and wholesale banking services increased by 11.3%, reaching 12,451.29 crore rupees. The result of this segment grew by 98.2%, amounting to 2,849.34 crore rupees. Retail banking income rose by 9.7% to 12,532.78 crore rupees, and the segment's result increased by 56.2% to 2,514.73 crore rupees. Income from the trading division decreased by 9.7% to 6,886.53 crore rupees, and the segment's result fell by 20.4% to 1,299.55 crore rupees.

For the first half of the fiscal year 27, consolidated net profit increased by 29%, reaching 11,422.52 crore rupees compared to 8,853.90 crore rupees.