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Patanjali Foods Cuts Ad Spend by 80% in Q1 FY26 Amid Profit Dip

Patanjali Foods Cuts Ad Spend by 80% in Q1 FY26 Amid Profit Dip

Patanjali Foods has significantly scaled back its advertising budget, spending just ₹64.47 crore in Q1 FY26, an 80.3% decline from the ₹325 crore spent in the previous quarter (Q4 FY25), according to its latest earnings report. Ad spends accounted for 0.72% of revenue, reflecting a strategic tightening amid a challenging quarter.

The Baba Ramdev-led FMCG firm reported a 31.3% drop in consolidated profit, which fell from ₹262.7 crore in Q1 FY25 to ₹180.3 crore in the same period this year. Despite the profit slide, revenue from operations rose to ₹8,899 crore in Q1 FY26, up from ₹7,177 crore last year. Total income reached ₹8,912.69 crore, a 23.75% year-on-year increase.

Company expenses surged 26.6% YoY to ₹8,664 crore, largely due to rising costs across categories. The edible oil segment remained the largest contributor, generating ₹6,685 crore in revenue – a 25.3% increase. The Home and Personal Care (HPC) segment made up 7.10% of total revenue, with EBITDA margins at 18.70%.

Internationally, Patanjali Foods earned ₹39.34 crore in export revenue, with demand in 16 countries for products like ghee, biscuits, juices, staples, and textured soya protein.

Meanwhile, the company has reappointed Baba Ramdev as Non-Executive Non-Independent Director, while onboarding Durga Shanker Mishra as an Independent Director and Baghrai Majhi as a LIC-nominated Non-Executive Director, both effective August 14, 2025.

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