New Delhi, July 7 -- Consumer staples companies are likely to report moderate growth in the first quarter of FY26 as margins remain under pressure, according to a recent report by HSBC.

The report highlighted that weak underlying demand and strong competition continue to weigh on the sector, limiting the overall revenue and profit growth during the quarter.

HSBC stated, "Consumer staples companies have been bearing the brunt of weak underlying demand amid high competitive intensity".

The report in its Q1FY26e preview highlighted that the consumer staple companies to post 5 per cent revenue growth and only 2 per cent EBITDA growth.

The muted performance is attributed to ongoing challenges such as weak demand recovery and elevated raw m...