Marico Limited provided a transcript of its February 13, 2026, conference call detailing recent strategic investments aimed at transforming the company into a digital-first consumer powerhouse. Management outlined a vision resting on five pillars, focusing on evidence-based acquisitions to capture growth in digital foods and premium personal care. The goal is to achieve structural diversification, with new businesses targeted to contribute 33% of Indian revenues by FY30, while digital brands globally aim for INR 4,000 crores in top line by the same year.
Marico’s Inflection Point: Digital-First Powerhouse Ambition
Marico Limited held a conference call on February 13, 2026, to discuss recent strategic investments in India and Vietnam, positioning the company as a “scaled, profitable, digital-first consumer powerhouse.” CEO Saugata Gupta stated the transformation is anchored by five strategic pillars: evidence-based acquisitions, profitable scale-up, synergy acceleration, prudent capital allocation, and a repeatable playbook.
The strategy focuses on building a portfolio across three strategic domains: digital foods, digital personal care, and global digital brands.
Digital Food Portfolio Expansion
In the foods segment, new acquisitions fill white spaces and leverage Marico’s existing strengths. Key brands mentioned include:
- Saffola: Mainstream health and wellness.
- True Elements: Clean label and modern breakfast/snacking.
- 4700BC: Premium snacking, immediately entering the INR 24,000 crore Western snacking market. It is already the number two player in popcorn with INR 140 crores ARR.
- Cosmix: Functional nutrition, specializing in vegan/vegetarian protein, with a high-teen EBITDA margin on an INR 100 crores ARR base.
Management targeted foods revenue to reach 9x of FY20 levels next year and 15x by FY30.
Premium Personal Care & International Growth
The personal care portfolio emphasizes thoughtful premiumization:
- Beardo: Leads male grooming.
- Plix: Scaling plant-based personal care, which has grown 6x in just two years and is tracking toward double-digit margins in 12 to 15 months.
- Kaya & Just Herbs: Dermatologist-backed solutions and Ayurveda-inspired beauty, respectively.
Internationally, the playbook is being replicated in high-growth markets like Vietnam, where the acquired business, Candid, is scaling rapidly in science-based skin care, achieving mid-20s EBITDA. Management aims to build leadership in digital beauty and grooming across markets like the UAE and KSA.
2030 Outlook and Profitability Targets
Looking ahead, the outlook is ambitious yet disciplined:
- Targeting 3x to 3.5x revenue growth in digital acquisitions by FY30.
- Digital-first PPC annual run rate expected to be 5x of FY24 levels.
- EBITDA margin for the new digital portfolio is expected to be in the teens by FY30.
- All digital brands globally are expected to collectively achieve a top line of at least INR 4,000 crores in FY30.
Q&A Insights on Synergies and Scale-Up
During the Q&A session, management addressed several key areas:
Acquisition Framework
The acquisition approach prioritizes brands with proven product-market fit, high growth headroom, healthy unit economics, and founders willing to partner. The focus is on securing assets at attractive valuations, avoiding FOMO-led premiums. The acquisitions are expected to unlock significant operational synergies across GTM, CRM, supply chain, and media buying.
Profitability Trajectory
Group CFO Pawan Agrawal noted that while Cosmix is currently an EBITDA bleed, they target it becoming EBITDA positive within the next 12 to 18 months, aiming for mid-to-high single-digit EBITDA within the next three years. For the existing digital-first PPC business, the commitment remains moving to double-digit operating margin by FY27 and towards the teens by FY30. Core food business margins (like Saffola) are expected to maintain or improve, with blended food margins potentially higher than the target for digital-first PPC by FY30.
Organic vs. Inorganic Growth
Management clarified that acquisitions are accelerators, not an escape button for organic growth. While Marico maintains reasonable organic volume growth, diversification is necessary to achieve the ambition of doubling the business in five years (13% to 14% CAGR). Furthermore, the digital business model is deemed difficult to build organically, necessitating inorganic acceleration.
Management Bandwidth
The integration process involves a centralized capability team that implants people one year prior to takeover to ensure the founders’ DNA is retained while enforcing Marico’s governance standards. Categories like compliance and capital allocation are non-negotiable, but the core operating model runs as “Marico 2.0 Engine 2”.
Source: BSE
