Colgate-Palmolive (India) Limited saw its operations impacted in Q2 FY ’26 after the federal government cut GST on oral care items from 18% to 5%, a relocation the business states improved customer cost savings however triggered short-lived interruptions at suppliers and sellers.
Net sales for the quarter were Rs 1,507 crore, down 6.3% year-on-year however up 6.1% sequentially from Rs 1,421 crore in Q1 FY’26. Net revenue after tax stood at Rs 328 crore, compared to Rs 395 crore a year earlier. Changed for a one-time tax refund interest, revenues decreased 7.2%.
“During the quarter, GST rates on our whole oral care portfolio were minimized from 18% to 5%. We invite this relocation by the federal government as this is a prompt action in enhancing customer self-confidence while identifying oral health as a growing top priority,” stated Prabha Narasimhan, Managing Director & & CEO.
She included, “Our 2nd quarter efficiency likewise shows the temporal interruption at suppliers and sellers throughout channels triggered by GST rate modification. Our very first half efficiency cycles a high base of double digit net sales development in the base duration and we anticipate a steady healing in efficiency in the 2nd half.”
In spite of the disturbance, Colgate preserved margin strength through its Funding The Growth program and continued buying premium items, led by Colgate Visible White Purple tooth paste.
The business likewise introduced Palmolive’s Moments body wash variety with natural extracts and trademarked scents, and presented the “CAVITY-PROOF” project under Colgate Strong Teeth, showcasing its 24-hour anti-cavity Arginine + Calcium Boost innovation for kids.
The board stated a very first interim dividend of Rs. 24 per share.
The GST cut momentarily rattled circulation, however customers gain from lower rates. Colgate anticipates the marketplace to stabilise in the coming months while remaining concentrated on long-lasting development.