Jyothy Labs Q2 Profit Tanks 16%: Is This Why Their Stock is Crashing?

Jyothy Laboratories Ltd. reported a significant 16.2% decrease in net profit for the September quarter, reaching ₹88 crore from ₹105 crore in the same period last year. Revenue experienced a slight increase of 0.4%, totaling ₹736 crore. Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) also contracted by 14.5% to ₹118 crore, indicating pressure on operational profitability. The company's profit margin shrunk by 290 basis points to 16.1% year-on-year.

Performance varied across segments: fabric care revenue grew 6%, but dishwashing, household insecticides, and personal care segments all saw revenue dips of 4%, 9%, and 13% respectively.

Impact: This earnings report negatively impacted investor sentiment. The stock price fell by nearly 2% after the results were announced, reflecting market concerns about declining profitability and segment-specific challenges. The company's year-to-date stock performance shows a significant decline of 23% in 2025, suggesting ongoing investor skepticism.

Difficult terms: EBITDA: Earnings Before Interest, Tax, Depreciation, and Amortisation. It is a measure of a company's operating performance. Basis points: A basis point is one-hundredth of a percentage point. For example, 100 basis points equal 1%.