MUFTI's profit drops 31% but dividend jumps to ₹2 a share
Credo Brands' FY26 net profit fell to ₹47.42 crore despite a fourfold increase in the dividend payout.
— 4 earlier stories on Credo Brands Marketing Ltd. →What's new
- FY26 revenue fell 4.2% to ₹592.10 crore; net profit dropped 30.7% to ₹47.42 crore.
- Board recommends ₹2 per share dividend, up from ₹0.50 last year.
- Promoter Chairman & MD Kamal Khushlani reappointed for five years.
Why this matters
The profit decline of 30.7% on lower revenue shows margin pressure is real. The dividend hike, however, signals the board's confidence in cash flows despite weaker earnings. It's a rare move when profits are falling.
What we're watching
- Whether the new dividend level is sustainable if FY27 profits don't recover.
- The path back to revenue growth after a 4.2% decline.
The full read
Credo Brands Marketing reported a tough year. FY26 revenue fell 4.2% to ₹592.10 crore, and net profit dropped 30.7% to ₹47.42 crore, confirming continued margin pressure. The board's response, however, is the opposite of a defensive signal. It is recommending a ₹2 per share dividend, up from last year's ₹0.50. That's a cash return to shareholders increased sharply in a year profits shrank by nearly a third. Promoter Chairman and MD Kamal Khushlani was also reappointed for five years, a routine move that keeps the top job in the founding family.
Questions answered
- Why did MUFTI's profit drop so sharply?
- Net profit fell 30.7% to ₹47.42 crore on a 4.2% revenue decline to ₹592.10 crore. The filing cites margin pressure and the impact of prior exceptional items.
- The dividend increased fourfold. Is that unusual?
- Yes. The board recommends ₹2 per share versus ₹0.50 last year. Doing this alongside a profit decline is unusual and suggests confidence in the balance sheet.
- What are the key numbers from the annual results?
- FY26 revenue was ₹592.10 crore, down 4.2%. Net profit was ₹47.42 crore, down 30.7%. The final dividend is ₹2 per share.
- Is there any leadership change at the company?
- No. Promoter Chairman and Managing Director Kamal Khushlani was reappointed for another five years. This is a standard renewal for a promoter-led company.
Credo Brands Marketing Ltd.
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All notes on MUFTI →- 21 May 2026 · 7:47 PM IST MUFTI's profit drops 31% but dividend jumps to ₹2 a share
- 41d ago Credo Brands Marketing's Q4 transcript adds nothing new
- 45d ago Credo Brands cuts margins as Mufti 2.0 pivot shifts growth to FY28
- 46d ago Credo Brands revenue drops 4% as annual profits slide by 31%
- 46d ago Credo Brands' FY26 profit drops 31% as revenues slip