With the GST 2.0 reforms taking effect, Fast-Moving Consumer Goods (FMCG) companies are anticipating mid-single-digit revenue growth in Q2 FY26.

FMCG goods makers have stated that while the benefits of the revised GST have been passed on to the consumers, the transition will impact profitability during the quarter as the companies made adjustments across trade channels on the liquidation of the existing inventories.

“At a consolidated level, we anticipate mid-single digit INR revenue growth. However, the GST transition in India is expected to have a short-term impact on profitability, with EBITDA likely to decline for the quarter. The GST rate reductions have resulted in some short-term adjustments across trade channels, as distributors and retailers focused on liquidating existing i

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