Source: Company website | Photo Credit: BL companies
Target: ₹270
CMP: ₹249.85
Jyothy Labs delivered a steady Q3FY26 performance, with revenues rising 5 per cent to ₹740 crore, underpinned by healthy volume growth of 7.2 per cent. Rural demand remained firm, while urban consumption showed early signs of recovery, aiding a gradual improvement in overall volume momentum. Across segments, Fabric Care, Personal Care, and Household Insecticides delivered a robust growth of 9.2 per cent, 10.9 per cent and 12.6 per cent, respectively. In contrast, the Dishwash segment saw volume expansion but muted price performance, reflecting the impact of price cuts and grammage-led offers.
The company’s gross margin declined 326 bps to 46.5 per cent, impacted by lowering of prices, higher consumer offers and inflationary price trend in select commodities.
It is sharpening its focus on volume-led expansion, with a clear objective of returning to a double-digit growth trajectory over the near term and remains cautiously optimistic about a sustained recovery in consumption. Strategic priorities include driving a richer product mix through premiumisation, accelerating the scale-up of new launches to cushion margins, and maintaining disciplined investments in brand building and innovation. With consumption trends stabilizing and the macro environment remaining supportive, the management remains confident of entering FY27 with strong momentum and double-digit volume growth.
We have cut our EPS FY26/FY27 estimates and maintain our Hold rating on the stock and revise our TP to ₹270/share.
Published on February 10, 2026