Patanjali Foods boosts brand spending as FMCG revenue rises 35.39 per cent

MUMBAI: Patanjali Foods is putting more bite into its FMCG growth strategy. The company is stepping up brand building, targeted advertising and portfolio expansion after its FMCG business posted a 35.39 per cent year-on-year rise in revenue to Rs 2,937.75 crore in Q1 FY27.

The FMCG segment contributed 25.65 per cent of consolidated revenue and 29.56 per cent of consolidated EBITDA, generating Rs 189.52 crore in EBITDA at a 6.45 per cent margin.

At the company level, revenue from operations climbed 29.33 per cent year on year to Rs 11,337.45 crore, marking its fourth consecutive highest-ever quarterly revenue, according to CEO Sanjeev Asthana.

Patanjali Foods said sustained brand building and focused distribution expansion, particularly in Edible Oils and Biscuits, supported the quarter’s performance. The company is expanding its portfolio across categories, price points and consumer segments through brands including Patanjali, Ruchi Gold, Nutrela, Dant Kanti, Mahakosh and Sunrich.

Advertising and sales promotion spending accounted for around 1 per cent of revenue from operations during the quarter. Rather than simply increasing the outlay, the company said it is taking a targeted approach to improve the effectiveness and measurability of its investments.

The portfolio also gained several new products during the quarter, including Rose Kanti Soap, Dant Kanti Sensitive Toothpaste, Super Dishwash Liquid, Sweet Lemon Pickle, Almond Cookies and Chyawanprash Cookies.

The biscuits business delivered a record Rs 560.14 crore in revenue, up 27.33 per cent year on year and 17.21 per cent sequentially.

Within the category, Doodh, which Patanjali Foods describes as a Rs 1,300 crore brand, generated approximately Rs 400 crore in quarterly revenue. Value-added biscuits also continued to gain traction, giving the company another growth avenue beyond its traditional staples and personal-care businesses.

Nutrela recorded Rs 159.55 crore in revenue during Q1, with EBITDA margins of more than 18 per cent.

Sales of textured soya products grew 14.31 per cent year on year and 49.97 per cent sequentially. The company supported the brand with marketing and on-ground activations around International Yoga Day, a Dhurandhar collaboration for Cow Ghee promotion and Operation Thunder.

More than 30 vans were deployed across West Bengal, Bihar, Uttar Pradesh, Maharashtra, Punjab, Haryana and Jharkhand as part of efforts to widen Nutrela’s reach.

Patanjali is also broadening its consumer portfolio beyond its core categories. Its beverage business generated Rs 37.99 crore in Q1, with summer launches including Mango Chutney, Mango Panna Juice and Orange Juice.

Ghee contributed Rs 219.09 crore, while honey, dry fruits, spices and condiments, herbal products and other food categories together generated Rs 202.94 crore.

In Home and Personal Care, revenue reached Rs 629.16 crore. Dental Care led at Rs 325.42 crore, followed by Skin Care at Rs 164.82 crore, Home Care at Rs 82.98 crore and Hair Care and Other Products at Rs 55.95 crore.

Skin Care was the fastest-growing of these categories, increasing 21.81 per cent year on year.

Alongside brand investments, Patanjali Foods is expanding its physical distribution network. Asthana said integrated sourcing, operational efficiencies, cost management, manufacturing and supply-chain investments, combined with improved execution, supported the company’s performance.

The company is also continuing farmer-awareness seminars and dedicated outreach under its oil-palm expansion programme. As of 30 June 2026, 1,15,861 hectares were under cultivation.

With FMCG revenue growing more than a third in the quarter, Patanjali Foods is now leaning on a combination of brand investment, new products, wider distribution and sharper category execution to turn its latest growth spurt into a broader consumer push.