Shares of Godfrey Phillips India declined nearly 4% to ₹2,985 on Monday, November 4, even after the cigarette maker posted healthy Q2 FY26 earnings. The stock slipped as investors appeared to book profits following a sharp run-up in recent sessions and muted topline growth in the quarter.
Godfrey Phillips reported a 22.9% YoY rise in net profit to ₹305 crore for the September quarter, compared to ₹258 crore last year. Revenue from operations was flat at ₹1,632 crore versus ₹1,627 crore a year ago, reflecting sluggish demand trends.
Operating performance improved, with EBITDA rising 13.4% YoY to ₹314.5 crore, while margins expanded to 19.3% from 17%, supported by cost efficiencies.
The core Cigarettes, Tobacco & related products business contributed ₹1,606 crore in revenue versus ₹1,610 crore last year, while segment profit increased 11.5% YoY to ₹283 crore.
The company also declared an interim dividend of ₹17 per share (850%) with record date set as November 10, 2025.
Despite the earnings beat on profit and margins, traders booked gains after the stock’s strong up-move this year, while the lack of meaningful revenue growth and stable cigarette sales may have triggered near-term caution.
At 9:17 am, shares were trading 3.94% lower at ₹2,985.80 on the NSE.
