Emami’s e-commerce business grew in the first quarter of FY27, with rapid commerce accounting for 35% of total e-commerce revenues, according to the company’s unaudited financial statements for the quarter ended June 30, 2026.
The company’s organised channels increased by 19% on a like-for-like basis and now account for 32% of its domestic business. Modern trade and e-commerce also grew strongly throughout the quarter.
Its channel transformation is allowing it to grow across changing consumer purchasing occasions, with e-commerce and rapid commerce becoming more key components of its distribution mix.
On a consolidated basis, revenue from operations increased by 15% to Rs 1,039 crore in Q1 FY27. Domestic business expanded by 20%, while like-to-like growth was 12%, with volume growth of 8% after accounting for Axiom Ayurveda and IncNut Digital’s prior year results.
The Strategic Investments portfolio remained a major growth driver, accounting for 61% like-for-like growth and about 18% of domestic revenue.
Hair & Scalp Care rose by 11%, Skin Care by 3%, and Health Care by 2% in the period.
International Business fell 12% during the quarter, mostly owing to disruptions caused by the West Asia war, which hampered the company’s capacity to fulfill orders.
Higher input costs, fueled by rising crude oil prices and inflation in packaging materials and other important inputs, continued to exert pressure on profitability. Gross margins fell by 360 basis points, to 65.8%.
Despite margin pressure, EBITDA improved by 6% to Rs 226 crore, while Profit Before Tax increased by 4% to Rs 195 crore, aided by cost control and operational improvements.
Q2FY27 is expected to benefit from strong demand across its portfolio and ongoing momentum in its Strategic Investments businesses. Commodity inflation and geopolitical upheavals remain important indicators.
Harsha V Agarwal, Vice Chairman and Managing Director of Emami Limited, commented on the report, said, “We delivered another quarter of strong performance despite a challenging operating environment marked by geopolitical disruptions, elevated inflationary pressures and an uneven summer season across markets. Our Domestic Business grew 20%, driving overall revenue growth of 15%, reflecting the strength of our brands and execution capabilities. We are particularly encouraged by the growing contribution of our Strategic Investments portfolio, which now accounts for nearly 18% of our domestic business, reinforcing our strategy of building multiple growth engines alongside our trusted core brands. As we invest for the future, digital and AI are increasingly becoming core enablers of our growth strategy. By embedding these capabilities across our value chain, we are strengthening execution, improving agility and building a future-ready organisation that is well positioned to deliver sustained, profitable growth.”
Mohan Goenka, Vice Chairman and Whole-Time Director of Emami Limited, stated, “The quarter challenged the robustness of our operating model as rising input prices continued to put pressure on profits. Despite this, our focus on disciplined execution, cost optimization and operational agility enabled us to generate EBITDA growth of 6% to Rs 226 crore and PBT increase of 4% to Rs 195 crore. We have made consistent progress on our channel reform objective, with organised channels expanding by 19% and accounting for 32% of our domestic business. As input cost constraints continue to ease and our innovation pipeline gathers speed, we are well positioned to increase profitability while sustaining growth across our businesses.”
