Colgate Palmolive
Colgate Palmolive
Consumer Goods F&OKey Fundamentals
MidcapPersonal CareConsumer GoodsTapetide Score
Data-driven rating, 0–100. How it works →
Key Insights
Strengths
4- Company has reduced debt.
- Company is almost debt free.
- Company has a good return on equity (ROE) track record: 3 Years ROE 79.4%
- Company has been maintaining a healthy dividend payout of 112%
Weaknesses
2- Stock is trading at 29.8 times its book value
- The company has delivered a poor sales growth of 4.51% over past five years.
Growth Rate
AI Analysis — Bull vs Bear
Colgate-Palmolive (India) has a market capitalisation of about ₹50,260 Cr and trades at 37.5x earnings and 31.88x book value. Its ROE is very high (83% last year, 79% over 3 years), it is almost debt-free, and its dividend yield is 2.59%. Sales have grown only about 5% a year over 3, 5 and 10 years, TTM profit fell 2%, and the stock has returned -17% over 1 year and -3% CAGR over 3 years.
- Return on equity is very high and consistent: 83% last year, 79% over 3 years, 75% over 5 years and 66% over 10 years. This points to strong pricing power and a capital-light business.
- The company is almost debt-free and has reduced debt further, so its balance sheet carries little financial risk. Data on its ₹50,260 Cr market cap shows no meaningful leverage.
- The dividend yield of 2.59% is high for an Indian consumer staples company, and the dividend payout ratio is 112%, which gives shareholders a large cash return.
- Profit has grown faster than sales over the long run: 10-year profit CAGR is 8% against 5% for sales, and 3-year profit CAGR is 8% against 5% for sales. This suggests margins have expanded over time.
- The stock has fallen 17% over the past year while TTM profit fell only 2%. This means the valuation has de-rated, and the P/E now stands at 37.5.
- Over 10 years the stock has compounded at 7% a year. Add the 2.59% dividend yield and the total return is roughly high single digits, with lower volatility than typical of defensive staples.
- The 10-year average ROE of 66% has risen to 83% in the last year, so capital efficiency has improved even as growth slowed.
- The stock trades at 31.88x book value, among the most expensive price-to-book multiples in the market. That leaves little room for error if earnings disappoint.
- Sales growth is slow: 5-year sales CAGR is 4.51%, and the 3-year, 10-year and TTM figures are all 4–5%. This points to mature, saturated core categories.
- Earnings momentum has turned negative. TTM profit growth is -2%, below the 3-year profit CAGR of 8%.
- A P/E of 37.5 against sales growth of about 4–5% and TTM profit growth of -2% gives a high price relative to growth. The multiple depends on the company's defensive quality rather than on growth.
- Shareholder returns have been weak: the stock returned -17% over 1 year, -3% CAGR over 3 years and just 2% CAGR over 5 years, lagging broader Indian equity indices.
- A dividend payout of 112% means the company is paying out more than it earns. That cannot continue indefinitely without drawing down reserves, and it leaves little for reinvestment.
- Much of the very high ROE (83%) comes from a small equity base, which is also why P/B is 31.88. So the ROE partly reflects a thin book value created by distributing more than 100% of profit, not only operating strength.
This is AI-generated analysis, not financial advice. Do your own due diligence.
AI News Digest
- KBC 18 oral health campaign Sep 10
Colgate-Palmolive (India) has partnered with Kaun Banega Crorepati Season 18 on an oral health awareness campaign that encourages Indian families to brush at night. The tie-up gives the brand mass-market reach and could help increase usage frequency in the category.
- Abhijit Yadav named EVP-Legal Sep 28
Abhijit Yadav will become Executive Vice President - Legal on October 24, 2026. He succeeds Priyan Pillay, who resigned to pursue opportunities abroad. This is a routine change in a senior role outside the core business.
- J.P. Morgan investor meet Sep 17
The company will join an in-person group meeting at the J.P. Morgan India Consumption Forum on September 23, 2026, at 9:00 am IST. It is a routine investor engagement, though management comments on demand trends could shape sentiment.
TL;DR: Recent news for Colgate-Palmolive (India) is light and mostly routine, with no clear headwinds in this set. The KBC 18 tie-up is a modest positive for brand visibility and category building. The legal head change and the investor meeting are not expected to move fundamentals much. With no earnings, pricing or volume data in these articles, the trend is stable, and the next real signals will be management's demand commentary and upcoming quarterly results.
Quarterly Results
| Particulars | Jun 2023 | Sep 2023 | Dec 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sales | 1,324 | 1,471 | 1,396 | 1,490 | 1,497 | 1,619 | 1,462 | 1,463 | 1,434 | 1,520 | 1,486 | 1,595 | 1,603 |
| Expenses | 906 | 989 | 927 | 958 | 988 | 1,122 | 1,007 | 964 | 981 | 1,054 | 1,044 | 1,086 | 1,120 |
| Operating Profit | 418 | 482 | 468 | 532 | 508 | 497 | 454 | 498 | 453 | 465 | 442 | 510 | 483 |
| OPM % | 32% | 33% | 34% | 36% | 34% | 31% | 31% | 34% | 32% | 31% | 30% | 32% | 30% |
| Other Income | -5 | 21 | 18 | 23 | 23 | 76 | 20 | 19 | 18 | 15 | 31 | 0 | 19 |
| Interest | 1 | 1 | 2 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 |
| Depreciation | 44 | 44 | 41 | 42 | 42 | 42 | 41 | 38 | 38 | 37 | 36 | 35 | 39 |
| PBT | 369 | 458 | 443 | 511 | 489 | 530 | 433 | 478 | 432 | 442 | 436 | 474 | 462 |
| Tax % | 26% | 26% | 26% | 26% | 26% | 26% | 25% | 26% | 26% | 26% | 26% | 25% | 26% |
| Net Profit | 274 | 340 | 330 | 380 | 364 | 395 | 323 | 355 | 321 | 328 | 324 | 353 | 343 |
| EPS in Rs | 10.06 | 12.5 | 12.14 | 13.96 | 13.38 | 14.52 | 11.87 | 13.05 | 11.79 | 12.04 | 11.91 | 12.99 | 12.61 |
Profit & Loss
| Particulars | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | TTM |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sales | 3,982 | 3,868 | 3,982 | 4,188 | 4,462 | 4,525 | 4,841 | 5,100 | 5,226 | 5,680 | 6,040 | 6,035 | 6,204 |
| Expenses | 3,159 | 2,929 | 3,038 | 3,074 | 3,226 | 3,323 | 3,331 | 3,534 | 3,679 | 3,779 | 4,082 | 4,165 | 4,304 |
| Operating Profit | 823 | 940 | 944 | 1,114 | 1,236 | 1,202 | 1,510 | 1,566 | 1,547 | 1,901 | 1,958 | 1,870 | 1,900 |
| OPM % | 21% | 24% | 24% | 27% | 28% | 27% | 31% | 31% | 30% | 33% | 32% | 31% | 31% |
| Other Income | 32 | 7 | 41 | 26 | 68 | 49 | 30 | 26 | 42 | 57 | 139 | 64 | 66 |
| Interest | 0 | 0 | 0 | 0 | 2 | 10 | 7 | 6 | 5 | 5 | 4 | 4 | 4 |
| Depreciation | 75 | 111 | 133 | 157 | 159 | 198 | 182 | 177 | 175 | 172 | 163 | 146 | 148 |
| PBT | 780 | 835 | 851 | 983 | 1,143 | 1,043 | 1,350 | 1,409 | 1,410 | 1,781 | 1,930 | 1,784 | 1,814 |
| Tax % | 28% | 30% | 32% | 32% | 32% | 22% | 23% | 23% | 26% | 26% | 26% | 26% | — |
| Net Profit | 559 | 581 | 577 | 673 | 776 | 816 | 1,035 | 1,078 | 1,047 | 1,324 | 1,437 | 1,325 | 1,348 |
| EPS in Rs | 20.55 | 21.37 | 21.23 | 24.76 | 28.52 | 30.02 | 38.07 | 39.65 | 38.5 | 48.67 | 52.83 | 48.73 | 49.55 |
| Div. Payout % | 58% | 47% | 47% | 97% | 81% | 93% | 100% | 101% | 101% | 119% | 97% | 119% | — |
Balance Sheet
| Particulars | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Equity Capital | 14 | 27 | 27 | 27 | 27 | 27 | 27 | 27 | 27 | 27 | 27 | 27 |
| Reserves | 757 | 1,004 | 1,247 | 1,497 | 1,420 | 1,567 | 1,139 | 1,707 | 1,689 | 1,847 | 1,637 | 1,557 |
| Borrowings | 0 | 0 | 0 | 0 | 83 | 102 | 91 | 83 | 69 | 72 | 61 | 47 |
| Other Liabilities | 932 | 972 | 1,037 | 1,039 | 1,097 | 908 | 1,637 | 1,084 | 1,098 | 1,250 | 1,293 | 1,777 |
| Total Liabilities | 1,702 | 2,003 | 2,311 | 2,564 | 2,626 | 2,604 | 2,894 | 2,902 | 2,883 | 3,197 | 3,019 | 3,408 |
| Fixed Assets | 782 | 1,008 | 1,108 | 1,146 | 1,191 | 1,123 | 1,065 | 963 | 862 | 794 | 776 | 718 |
| CWIP | 141 | 78 | 167 | 159 | 199 | 190 | 145 | 122 | 114 | 110 | 38 | 27 |
| Investments | 37 | 31 | 31 | 31 | 31 | 19 | 19 | 0 | 0 | 0 | 0 | 0 |
| Other Assets | 742 | 885 | 1,005 | 1,228 | 1,206 | 1,272 | 1,666 | 1,817 | 1,907 | 2,292 | 2,204 | 2,663 |
| Total Assets | 1,702 | 2,003 | 2,311 | 2,564 | 2,626 | 2,604 | 2,894 | 2,902 | 2,883 | 3,197 | 3,019 | 3,408 |
Cash Flow
| Particulars | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating | 638 | 689 | 688 | 694 | 983 | 930 | 784 | 1,626 | 1,176 | 1,199 | 1,394 | 1,806 |
| Investing | -272 | -237 | -342 | -207 | -96 | -19 | 71 | -108 | -8 | 79 | 56 | 374 |
| Financing | -385 | -391 | -341 | -380 | -815 | -891 | -956 | -1,091 | -1,087 | -1,195 | -1,671 | -1,422 |
| Net Cash Flow | -18 | 61 | 5 | 107 | 73 | 20 | -101 | 427 | 82 | 83 | -221 | 758 |
| Free Cash Flow | 339 | 417 | 367 | 485 | 879 | 869 | 727 | 1,576 | 1,107 | 1,123 | 1,323 | 1,730 |
| CFO/OP | 103 | 100 | 105 | 93 | 113 | 104 | 76 | 127 | 101 | 88 | 100 | 121 |
Ratios
| Particulars | Mar 2015 | Mar 2016 | Mar 2017 | Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Debtor Days | 6 | 10 | 12 | 18 | 17 | 11 | 9 | 16 | 11 | 11 | 14 | 13 |
| Inventory Days | 63 | 72 | 72 | 56 | 58 | 69 | 79 | 78 | 68 | 63 | 76 | 75 |
| Days Payable | 128 | 136 | 148 | 152 | 144 | 142 | 179 | 169 | 155 | 187 | 185 | 275 |
| Cash Conversion Cycle | -59 | -55 | -63 | -79 | -68 | -63 | -91 | -75 | -76 | -113 | -95 | -188 |
| Working Capital Days | -40 | -43 | -39 | -33 | -36 | -23 | -84 | -25 | -32 | -46 | -37 | -59 |
| ROCE % | 114% | 96% | 74% | 71% | 73% | 65% | 92% | 92% | 79% | 97% | 105% | 108% |
Insights
BetaAI-extracted from concalls & annual reports · figures as reported, with sources
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Frequently Asked Questions about Colgate Palmolive
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Company Information
Colgate-Palmolive India Ltd is engaged in manufacturing/ trading of toothpaste, tooth powder, toothbrush, mouthwash and personal care products.[1]
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