Godrej Consumer Shares Crash 10% After MD & CEO Sudhir Sitapati Resigns

Godrej Consumer Products Limited watched its stock plunge 10 percent to hit a 52-week low on Indian exchanges after Managing Director and CEO Sudhir Sitapati unexpectedly stepped down. Shares dropped to an intraday low of ₹916 on the BSE and ₹922.50 on the NSE, as investors reacted nervously to the abrupt leadership transition.

The news took analysts and institutional investors by surprise, coming just days after shareholders had formally approved his reappointment. In his resignation note, Sitapati explained that he felt his objective at the firm was complete following a strong operational recovery, pointing to multi-quarter high revenue growth as proof of the turnaround.

To stabilize operations, the board quickly named Group CFO and President of Godrej Africa Aasif Malbari as the incoming Managing Director and CEO for a five-year term. Meanwhile, Vishal Kedia will step in as interim CFO while retaining his responsibilities over strategy and investor relations.

Despite the prompt succession plan, international brokerages responded guardedly. HSBC downgraded the FMCG player to a "Hold" rating and slashed its target price, citing increased execution risks alongside category-specific headwinds in personal care and household insecticides. The sharp sell-off underlines growing market concern over how effectively the company will maintain its growth trajectory while steering through core business priorities under a new executive team.