GODFRYPHLP
Mid CapGodfrey Phillips India Limited
Consumer
One of India's leading FMCG companies and the flagship of the KK Modi Group, Godfrey Phillips India has diversified interests in Tobacco & Confectionary. It holds strong credit ratings (CRISIL A1+, AA+/Stable) and operates ISO-certified manufacturing facilities. The company employs ~1,100 people and leverages a vast distribution network of 1100+ distributors and 9000+ field force.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Strong fundamentals, management trust is supportive, but price trend argues for patience. Suitable for staggered entry or watchlist confirmation rather than aggressive buying.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 31 Mar 2026
Excellent · 80/100Rev +14% YoY · PAT +86% YoY · margin expansion · operating leverage
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹1,787 Cr | +13.6% | -2.3% |
| EBITDA | ₹553 Cr | +105.6% | +45.5% |
| Operating margin | 31.0% | +1400 bps | +1000 bps |
| PAT | ₹521 Cr | +86.1% | +51.9% |
| PAT margin | 29.2% | +1136 bps | +1041 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Where growth can come from, and what can break the case
Godfrey Phillips India reported consolidated Gross Sales Value of Rs. 18,379 Crores for FY26, up 27% YoY, and Net Profit of Rs. 1,525 Crores, up 32% YoY. Domestic cigarette sales volume grew 20% in FY26. Q4 FY26 Gross Sales Value increased 39.9% YoY and Net Profit 77.1% YoY.
While FY26 saw robust growth in sales and profit, the steep increase in Q4 FY26 taxation poses a significant challenge for the upcoming year. Management plans balanced price increases and operational efficiencies to mitigate impact, but execution risk remains high in a price-sensitive market.
Net Sales by Product Portfolio (FY26)
Latest issuer-disclosed distribution across 3 reported categories.
Domestic Cigarette Volume Growth
Robust domestic cigarette sales volume growth of 20% in FY26.
New Market Expansion & Differentiated Offerings
Initiatives to expand into new markets with differentiated offerings are progressing well.
Unmanufactured Tobacco Exports
Dedicated to accelerating growth in this segment by leveraging crop development expertise and customer relationships.
Ferrero Food Products Distribution
Partnership witnessed strong momentum, delivering more than 2X revenue growth from Rs 22 crore in FY25 to Rs 51 crore in FY26.
Strong Distribution Infrastructure
Leverage distribution infrastructure to drive throughput and profitability, prioritizing asset utilization.
Partnership with Philip Morris International
Strengthen partnership with Philip Morris International in the manufacture and distribution of Marlboro brand cigarettes in India.
ESG & Sustainability Progress
CSR initiatives contributing to ESG goals and high ESG ratings, enhancing stakeholder trust.
Steep Increase in Taxation
Steep increase in taxation in Q4 FY26 will make the next year challenging.
Taxation Impact on Demand
Steep increase in taxation in Q4 FY26 could moderate demand, requiring balanced price increases to manage consumer impact.
Operational Efficiency
Need to enhance operational efficiency to drive profitability amidst challenges from increased taxation.
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
The presentation provides both annual (FY26 vs FY25) and quarterly (Q4 FY26 vs Q4 FY25 and Q3 FY26) financial results and volumes. Annual comparison shows overall business trajectory, while quarterly data highlights recent momentum and the impact of Q4 tax changes.
Domestic Cigarette Volume Growth
Robust domestic cigarette sales volume growth of 20% in FY26 compared to previous year.
Gross Profit Margin (FY26)
15.5% of Gross Sales Value for FY26.
Direct Outlet Coverage Growth
Direct coverage grew by 21% in FY26, reflecting the effectiveness of focused market strategy.
Unmanufactured Tobacco Exports
Reached Rs 1,945 Crores in FY26, contributing 21% of net sales revenue.
Mitigating Tax Impact
Confidently responding through balanced price increase to ensure consumer impact is phased and not in one go.
Brand & Portfolio Enhancement
Working on brand strengthening, portfolio enhancement, innovations, superior market execution and operational efficiencies.
Focus on International Business
Build on export markets to enhance sale of unmanufactured tobacco.
Distribution Infrastructure Utilization
Leverage distribution infrastructure to drive throughput and profitability, prioritizing asset utilization.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Domestic Cigarette Volume Growth | 20% (FY26) | Impact of price increases and tax changes on future volume trends. |
| Gross Profit Margin | 15.5% (FY26) | Ability to protect margins through pricing and mix optimization amidst tax increases. |
| Unmanufactured Tobacco Exports | Rs 1,945 Cr (FY26) | Continued acceleration of growth in this segment. |
| Ferrero Distribution Revenue | Rs 51 Cr (FY26) | Sustained momentum and growth in this partnership. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
42NeutralSMA20 -2.1% / mo · near 52W low
Technical chart
GODFRYPHLPweekly · 6M-20.6%Technical trend read
NeutralTrend is undirectional — long-term trend unclear. RSI 45.
- RSI(14) at 45 — sideways, no extreme reading.
- MACD below signal, histogram expanding negatively — bearish momentum building.
- 23% off 52W high · 24% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation, score drivers, trust methodology, financials, and peers
Use these sections after reviewing the decision summary, latest result, thesis, management accountability, and technical timing above.
Fundamental score breakdown
DEEP VALUEWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Piotroski is strong at 8/9.
- Fair-value margin of safety is positive at 70.3%.
- Quality contributes 19/20 to the score.
Main drags
- Valuation is weaker at 16/30; verify the latest quarterly trend.
- Cash flow is weaker at 6/10; verify the latest quarterly trend.
- Growth is weaker at 23/25; verify the latest quarterly trend.
Consumer valuation: PE/PEG and brand-quality premium
Consumer franchises can deserve higher multiples, but only when growth quality supports them.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +1 points.
Factor attribution
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
High Trust: Claim history is still being built. It ranks around the 100th percentile of the scored universe and 100th percentile within Consumer. No major sub-score weakness stands out.
High Trust Lite: Promoter holding is 72.6%.
Management behaviour ranks as unusually reliable. Still verify valuation and cycle risk.
overall median 67 · Consumer: 100th pctile, median 67 · Mid: 99th pctile, median 76
66 documents indexed, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
High Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter holding is 72.6%.
- ▸Promoter pledge is zero.
- ▸FCF yield is positive at 1.6%.
- ▸12 years of positive FCF.
Trust risks
- ▸No major Trust Lite risk flags.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Intrinsic value
Fundamentals
Valuation
- P/E
- 22.30
- P/B
- 5.49
- EV/EBITDA
- 20.11
- Market Cap
- 34071.00Cr
Profitability
- ROE
- 26.60%
- ROCE
- 32.80%
- ROA
- 18.36%
- Dividend Y
- 1.45%
Growth (CAGR)
- Revenue 5Y
- 20.00%
- EPS 5Y
- 38.00%
- Revenue 3Y
- 22.00%
- EPS 3Y
- 37.00%
Balance Sheet
- Debt/Equity
- 0.04
- Interest Coverage
- 132.08×
- Altman Z
- 8.71
- Book Value
- 398.00
Cash Flow
- FCF Yield
- 1.60%
- FCF Positive Y
- 12/5
- OCF
- 518.00 Cr
- EPS TTM
- 97.84
Shareholding
- Promoter Hold
- 72.58%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 17%
Financial History
Updated 9/6/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable peers in Consumer — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.