Godfrey Phillips India Q2 FY27 Results Analysis: PAT Falls 38%, Revenue Recovers Post Tax Reset (GODFRYPHLP)
Godfrey Phillips India Ltd's Q2 FY27 numbers came in soft, with revenue of Rs. 1,342.23 Cr (+4.13% YoY) and PAT growth of -37.74% YoY. Here's a quick read of what worked, what to watch, and what management said.
| Results date | November 05, 2026 |
|---|---|
| Revenue (Q2) | Rs. 1,342.23 Cr (+4.13% YoY) |
| PAT (Q2) | Rs. 189.90 Cr (-37.74% YoY) |
| EBITDA margin | 15.89% (-849 bps YoY) |
| EPS (Q2) | Rs. 12.18 (-37.73% YoY) |
Quarter Snapshot
Q2 FY27 net revenue of Rs.1,342.23 Cr grew 4.13% YoY and 11.34% QoQ — the first sequential increase since the February 2026 tax reset — with operating EBITDA up 17.52% QoQ and margin recovering 84 bps sequentially. However, PAT fell 37.74% YoY and EBITDA margin remains ~849 bps below year-ago levels as the excise revision absorbs 68.19% of revenue. Sequential pricing-led recovery and cost control are on track, but full-year margin repair remains the key watch item.
Key Investment Insights
Key Positives
- Net revenue (ex-excise) of Rs.1,342.23 Cr grew 4.13% YoY and 11.34% QoQ — first sequential increase since the February 2026 tax reset
- Operating EBITDA of Rs.213.23 Cr rose 17.52% QoQ, with margin on net revenue improving ~84 bps QoQ to 15.89%
- Cigarette segment result rose 29.17% QoQ to Rs.179.54 Cr, driving the entire sequential recovery
- H1 CFO of Rs.1,037.46 Cr was 2.67× H1 PAT; FCF of Rs.888.98 Cr covered the Rs.512.53 Cr dividend payout
- Borrowings reduced to Rs.36.20 Cr from Rs.94.72 Cr, with current investments of Rs.1,547.63 Cr providing a net-cash position
- Employee costs declined 28.32% YoY to Rs.78.94 Cr
- Interim dividend of Rs.10/share declared 05-Nov-2026 (~Rs.156.00 Cr)
Risk Factors
- PAT fell 37.74% YoY to Rs.189.90 Cr; EPS fell 37.73% YoY to Rs.12.18
- Operating EBITDA margin on net revenue of 15.89% remains ~849 bps below the year-ago 24.38%; EBITDA down 32.16% YoY
- Share of profit of associates fell 52.40% YoY to Rs.30.40 Cr
- Others segment slipped to a Rs.(4.11) Cr loss from a Rs.6.58 Cr profit in Q1 FY27
- Interim dividend cut to Rs.10/share from Rs.17 a year ago (−41.18% per share)
- OCI mark-to-market loss of Rs.60.56 Cr on equity instruments dragged total comprehensive income to Rs.137.36 Cr, Rs.52.54 Cr below PAT
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Disclaimer: This results analysis is published for educational and informational purposes only. It is not investment advice, not a recommendation to buy, sell or hold any security.