Emami Limited , a prominent Indian consumer goods company, has seen a significant change in its shareholding structure. Diwakar Finvest Private Limited, a major shareholder in Emami, has announced the release of share encumbrance as per the Securities and Exchange Board of India (SEBI) takeover regulations. This corporate action was executed in favor of Aditya Dislaa Capital Limited.

Key Details of the Share Encumbrance Release

The disclosure, filed with both the National Stock Exchange (NSE) and Bombay Stock Exchange (BSE), provides transparency on substantial shareholding changes within Emami. This move aligns with regulatory requirements for significant shareholders to report such alterations in their holdings.

Shareholding Structure

According to the LODR (Listing Obligations and Disclosure Requirements) data, Diwakar Finvest Private Limited is part of the promoter and promoter group of Emami. The document reveals the following details about the company's shareholding:

Implications and Compliance

The release of share encumbrance could potentially impact the overall shareholding pattern of Emami. Such actions are closely monitored by market regulators and investors alike, as they can indicate shifts in control or financial strategies within the company.

By promptly disclosing this information, Diwakar Finvest Private Limited demonstrates compliance with SEBI regulations, which mandate transparency in substantial share transactions. This adherence to regulatory norms helps maintain investor confidence and market integrity.

As the financial landscape continues to evolve, stakeholders and market observers will likely keep a close eye on further developments in Emami's ownership structure and any potential impacts on the company's governance and strategic direction.

Emami Limited , a leading Indian FMCG company, has released its financial results for the second quarter of fiscal year 2026, revealing a temporary setback in revenue amid significant GST reforms. The company reported a consolidated revenue of ₹799.00 crore for Q2 FY26, marking a 10% year-on-year decline.

Impact of GST Reforms

The quarter witnessed a transformational policy development with the government's decision to reduce GST rates across key FMCG categories. For Emami, this reform is structurally positive, with nearly 88% of its core domestic portfolio benefiting from the reduction in GST from 12% or 18% to 5%. This takes the company's total 5% GST rate portfolio coverage in the core domestic business to around 93%.

While the GST reform lays the foundation for long-term demand acceleration, its implementation caused temporary trade disruptions in September. Trade channels and consumers deferred purchases in anticipation of lower MRPs, while distributors focused on liquidating higher-cost inventory.

Financial Performance

The company's financial metrics for Q2 FY26 are as follows:

Despite the revenue decline, Emami's non-GST impacted portfolio delivered encouraging results, growing by 10% during the quarter.

Strategic Initiatives and Product Innovations

Emami continued its strategy of purposeful innovation and premiumization:

• Smart and Handsome, rebranded from Fair and Handsome last year, expanded its portfolio with 12 new SKUs across various male grooming categories.
• Kesh King was relaunched as Kesh King Gold, featuring refreshed packaging, sharper positioning, and an upgraded formulation.
• The Zanducare portfolio was strengthened with new product additions.

International Business Performance

The company's International Business delivered steady 8% growth despite persistent macro and geopolitical headwinds. Emami launched new products under the Creme 21 brand to enhance its presence in skincare and personal care categories globally.

Management Commentary

Mr. Harsha V Agarwal, Vice Chairman and Managing Director, Emami Limited, stated, "We are happy that over 90% of our core domestic portfolio now falls under the lowest GST rate of 5%, making our products more affordable and accessible to consumers. The quarter's performance was a temporary impact of trade disruptions linked to the pending GST revision and weak summer."

Mr. Mohan Goenka, Vice Chairman and Whole-Time Director, added, "October marked a clear turning point, with trade sentiment rebounding and deferred winter loading recovering, putting us on a solid footing for the second half of the year."

Outlook

Despite the short-term challenges, Emami's management remains confident of strong growth in the coming quarters. The company plans to continue strengthening its portfolio through premiumisation and value-added innovation to align with evolving consumer preferences.

The Board of Directors has declared an interim dividend of 400%, amounting to ₹4.00 per share for FY26.

As Emami navigates through this transitional period, the company appears well-positioned to capitalize on the long-term benefits of the GST reforms and its strategic initiatives in product innovation and market expansion.