Eureka Forbes raises ad spend by 25% to Rs 259.5 cr in FY25
The company’s revenue from operations grew by 11.3% year-on-year to Rs 2,436.1 crore, up from Rs 2,189.2 crore in FY24.
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In FY25, Eureka Forbes significantly increased its advertising and sales promotion (A&SP) expenses to ₹259.5 crore, marking a 25.5% rise from ₹206.8 crore in FY24. This uptick reflects the company’s investment in brand-building and growth initiatives, including marketing efforts around product innovations and the onboarding of Shraddha Kapoor as a brand ambassador. A&SP spending also rose as a share of revenue from 9.4% in FY24 to 10.7% in FY25.
The company’s revenue from operations grew by 11.3% year-on-year to ₹2,436.1 crore, up from ₹2,189.2 crore in FY24.
Eureka Forbes reported employee expenses of ₹306.4 crore, up from ₹293.3 crore in FY24, reflecting a modest year-on-year increase of 4.4%. As a percentage of revenue, employee costs declined slightly from 13.4% to 12.6%, indicating improved cost efficiency or stronger topline growth relative to payroll expansion.
While the report does not explicitly mention hiring or layoffs, the controlled rise in employee expenses suggests stable workforce management, with possible focus on productivity and operational leverage rather than aggressive headcount increases.
"In Q4, continuing business revenue grew by 10.9% YoY, and this was the sixth successive quarter of double-digit growth. Led by operating leverage, EBITDA margins touched 13% for the first time. The momentum in our product business sustained and our innovations and growth investments helped the products grow in high teens," stated Pratik Pota, MD & CEO, Eureka Forbes.
"Stepping back and looking at the full year picture, the impact of transformation initiatives is now visible on multiple fronts. Growth stepped up from 2.2% in FY23 to 7.9% in FY24 and now to 12.0% in FY25 on the back of strong growth in our product business. Margins have expanded from 6.3% in FY23 to 10.3% in FY24 and now to 11.7% in FY25. The FY25 margin expansion is after a 25% YoY increase in growth investments. Net surplus is at Rs 284 Cr. In terms of capabilities, we have reclaimed thought leadership on innovations, our customer metrics are at an all-time high and our cost program is generating fuel for growth. Looking ahead, our focus will be on driving service revenue," Pota highlighted.
