Godfrey Phillips Q2 profit falls 37.73 per cent to Rs 189.90 crore
The cigarette maker reported a twofold increase in revenue to Rs 4,198.17 crore for the September quarter of FY27.
Godfrey Phillips India Ltd reported a 37.73 per cent decline in consolidated net profit to Rs 189.90 crore for the September quarter of FY27, according to a report by The Economic Times.
The company's net profit stood at Rs 304.99 crore during the same period last year. While profit declined, revenue from operations rose twofold to Rs 4,198.17 crore.
CEO Sharad Aggarwal stated that profitability declined by 41 per cent compared to the previous year due to a steep tax increase implemented in Q4 of FY26. He said the higher tax burden has impacted industry profitability and contributed to the growth of illicit trade.
Total expenses for the quarter rose twofold to Rs 4,027.39 crore. Total income, including other income, also doubled to Rs 4,241.81 crore.
In response to these developments, the company has adopted a calibrated pricing strategy to contain the impact on volumes. The flagship company of Modi Enterprises manufactures brands such as Four Square, Red and White, Cavanders, Tipper, and North Pole, and distributes Marlboro under a licence agreement with Philip Morris.
Shares of Godfrey Phillips India Ltd settled at Rs 1,800 apiece on Thursday, up 1.3 per cent from the previous close.