Reckitt’s base effect GST boost in India to unwind in Q4, says CEO
Benchmarks Nifty22,698.85-50.91FEATURED FUNDS★★★★★Motilal Oswal Midcap Fund Direct-Growth5Y Return18.23 % Invest NowFEATURED FUNDS★★★★★UTI Aggressive Hybrid Fund Regular Plan-Growth5Y Return8.47 % Invest NowEnter search…
Reckitt's India operations showed strong growth momentum in the July-September quarter compared to the previous year. The prior year was affected by GST-related stock depletion, leading to a more favorable comparison now. Specifically, the company reported double-digit growth for brands like Dettol, Durex and Harpic. Reckitt is also focusing on enhancing execution through AI-enabled sales transformation in India.
New Delhi: British consumer healthcare company Reckitt’s India operations reported “strong growth momentum” in the July-September quarter, compared with a year earlier when stock depletions following GST rate revisions hit performance, chief executive Kris Licht said. The base-effect benefit is expected to dissipate now, he said.“The prior-year period was impacted by GST-related stock depletion, creating a favourable lap which is expected to unwind in Q4,” Licht said, at the company’s post-earnings investor call on Tuesday.
Last year in September, India slashed goods and services tax on most packaged consumer goods, including soaps, snacks, noodles and toothpaste, to 5% from 12% or 18%. While the GST reduction led to lower prices for consumers, the new tax regime caused significant trade and operational disruptions as companies had to replace existing stocks with packs with the lower price tags, resulting in temporary sales moderation.
Reckitt said emerging markets delivered 8% like-for-like net revenue growth in the third quarter ended September, and that growth was balanced between volume, price and mix, with India growing in double digits. As a practice, the company doesn’t mention standalone India numbers. It called out double-digit growth for its germ protection brand Dettol, Durex condoms and disinfectant cleaner Harpic in India, along with Brazil and South Africa.
“AI-enabled sales transformation is continuing to enhance execution in the (India) market,” Licht said.
Live Events
“We are leveraging best practices in terms of sales execution, both in offline trade and in online trade,” he said.
In emerging markets, Reckitt is accelerating growth across categories and into new markets to complement the strength of businesses in China and India. “On emerging markets, we know that we have a great opportunity to broaden our performance, and really out-perform in India and China,” he added.
For the £14.2 billion British consumer and healthcare company, India remains a market of key strategic importance, with its large consumer base as well as widely underpenetrated categories such as floor cleaners, hair removers and air fresheners that give significant growth headroom. In its 2025 annual report, Reckitt said emerging markets collectively represented the largest single area in its power brand portfolio, led by the high-growth markets of India and China.
Add as a Reliable and Trusted News Source Add Now!
(You can now subscribe to our Economic Times WhatsApp channel)
Read More News onReckittGST impactIndia consumer marketemerging marketsstrong growth momentumDettol growthDurex condoms
(Catch all the Business News, Breaking News and Latest News Updates on The Economic Times.)
...moreless(You can now subscribe to our Economic Times WhatsApp channel)
Read More News onReckittGST impactIndia consumer marketemerging marketsstrong growth momentumDettol growthDurex condoms
(Catch all the Business News, Breaking News and Latest News Updates on The Economic Times.)
...morelessContinue reading with one of these options:Limited AccessFreeLogin to get access to some exclusive stories& personalised newslettersLogin NowUnlimited AccessStarting @ Rs120/monthGet access to exclusive stories, expert opinions &
in-depth stock reportsSubscribe NowET
Unlock Access to All Exclusives with ETPrime FREE TRIAL
15 Days Free: Unlock All ETPrime Exclusives, Market Tools & ePapers
Trial offer expiring in00 : 05 : 00
I'd rather pay ₹2599 nowUh-oh! This is an exclusive story available for selected readers only.
Worry not. You’re just a step away.
Prime Account Detected!
It seems like you're already an ETPrime member with
Login using your ET Prime credentials to enjoy all member benefits
Log out of your current logged-in account and log in again using your ET Prime credentials to enjoy all member benefits.
Unlock ETPrime's Exclusive Stories Today!
Big Price Drop! Flat 40% Off
Student Only OfferAlready a Member? Sign In nowAlready a Member? Sign In nowAlready a Member? Sign In nowOffer Exclusively For You
Save up to Rs. 700/-
ON ET PRIME MEMBERSHIP
Avail OfferOffer Exclusively For You
Get 1 Year Free
With 1 and 2-Year ET prime membership
Avail OfferOffer Exclusively For You
Get 1 Year Free
With 1 and 2-Year ET prime membership
Avail OfferOffer Exclusively For You
Get Flat 40% Off
Then ₹ 1749 for 1 year
Avail OfferOffer Exclusively For You
ET Prime at ₹ 49 for 1 month
Then ₹ 1749 for 1 year
Avail OfferSpecial Offer
Get flat 40% off on ETPrime
Avail OfferAvail OfferClaim NowAlready a Member? Sign In nowNeed Assistance?
Connect with an ETPrime expert for personalized support and guidance
+91 9484700004'; }); } if(listing) { var h3 = "You tried reading " + listArr.length + " locked stories in the past " + threshold + " days.", h4 = "Become an ET Prime member and don't miss out on these exclusive stories."; var html = '' + h3 + '
' + h4 + '
- ' + listing + '
What’s Included with
ETPrime Membership
1Exclusive Insights That Matter
Uncover the truth with our investigative stories
Make strategic moves using the real-world case studies
Read industry-specific stories to identify emerging trends
Spot opportunities with in-depth insights that matter
Trump temper on H-1B visas is forcing Indians to do these things to stay put in US
What Adani’s US indictment means for India Inc’s overseas fundraising
Why veterans like Reliance, L&T are on acquisition spree? Aswath Damodaran has an answer.
Will China’s dollar bond sale in Saudi Arabia trump the US in financial world?
Huawei launches its own OS to compete with Google and Apple. But can it win beyond China?
The problem with lab grown diamonds
Why a falling rupee is a better option for the economy
A list of top 20 momentum stocks that have delivered massive returns in one year
2Invest Wisely With Smart Market Tools & Investment Ideas
Alpha Trade
Get daily trade ideas from SEBI-registered research analysts.
Investment Ideas
Grow your wealth with stock ideas & sectoral trends.
Stock Reports Plus
All-in-one stock research with Stock Score, peer comparison & key signals.
BigBull Portfolio
Get to know where the market bulls are investing to identify the right stocks.
Stock Analyzer
Check the score based on the company's fundamentals, solvency, growth, risk & ownership to decide the right stocks.
Market Mood
Analyze the market sentiments & identify the trend reversal for strategic decisions.
Stock Talk Live at 9 AM Daily
Ask your stock queries & get assured replies by ET appointed, SEBI registered experts.
3Stay informed anytime, anywhere with ET ePaper
ePaper - Print View
Read the PDF version of ET newspaper. Download & access it offline anytime.
ePaper - Digital View
Read your daily newspaper in Digital View & get it delivered to your inbox everyday.
Wealth Edition
Manage your money efficiently with this weekly money management guide.
TOI ePaper
Read the PDF version of TOI newspaper. Download & access it offline anytime.
Deep Explainers
Explore the In-depth explanation of complex topics for everyday life decisions.
Health+ Stories
Get fitter with daily health insights committed to your well-being.
Personal Finance+ Stories
Manage your wealth better with in-depth insights & updates on finance.
5Enjoy Complimentary Subscriptions From Top Brands
Stream new documentaries from all across the world every day.
Stories you might be interested in
Figures reflect the source report and its stated period. This article is for information and is not investment advice.
