Gillette India Ltd (GILLETTE): Q2 FY27 results

Charts:

(1) 5 quarters revenue & PAT with EPS

(2) margins [1][3]

Quality of earnings

• Profit grew faster than sales. Revenue +4%, EBITDA +9%, PAT +11%. Margins improved YoY even though the company mentioned commodity headwinds (my view: price increases or cost savings may explain it).
• Sales growth is slow at 4% YoY. H1 revenue grew 7% to ₹1,629 cr; H1 PAT ₹319 cr vs ₹289 cr.
• Oral care: the power oral-care business (electric toothbrushes) grew double digits and launched Oral-B iO2 [1]. No segment numbers given.
• QoQ: margin was lower than Q1's 29.1%.

Margins (Chart 3)

EBITDA margin: 25.6% → 31.4% → 35.0% → 29.1% → 26.8% [1][3]. Below the H2 FY26 peak.

No dividend in coverage.

Positives

• EBITDA +9%, PAT +11%
• Margin up YoY

Concerns

• Revenue growth only 4%
• Margin down from Q1 and the FY26 peak

Things to track in Q3 FY27

1. Sales growth
2. EBITDA margin vs ~27%
3. Grooming vs oral care split
4. Commodity cost pressure

Not a buy/sell recommendation. I am not a SEBI-registered analyst. Facts are sourced; opinions are labelled.