Patanjali Foods' net profit increases three times to Rs 263 crore in Q1 FY25

Patanjali Foods on Friday said its net profit has almost increased three times to Rs 263 crore in the first quarter ended June 2024. The same stood at Rs 88 crore in the last year quarter. Revenue from operations declined 8% year-on-year to Rs 7,173 crore in the June quarter, compared with Rs 7,767 crore a year ago.

The company achieved an EBITDA of Rs 435.08 crore in Q1 FY25, marking a significant 2x year-on-year increase. Furthermore, the EBITDA margins stood at 6.07%, showing a notable improvement from the previous quarter's 5.08%.

In Q1 FY25, the food and FMCG segment generated revenues amounting to Rs 1,953.55 crore, contributing a substantial 26.77% to the company's total revenue from operations. Notably, the segment's EBITDA for the quarter was Rs 184.05 crore, a decrease from the Rs 360.77 crore recorded in the corresponding quarter of the previous year.

Revenue from operations was recorded at Rs 7,173 crore in Q1 FY25 compared with Rs 7,767 crore a year ago.

The company's edible oils segment reported sales of Rs 5,330.33 crore in Q1 FY25, a decrease from Rs 5,890.73 crore in Q1FY24. Branded edible oil sales accounted for 79.54% of the total. Edible oil volumes were 5.74 lac mt, with a slight dip in demand due to the heatwave.

Earlier this month, Patanjali Foods announced its acquisition of the entire non-food business from Patanjali Ayurved. It said it will purchase this business for a total consideration of Rs 1,100 crore, to be completed in five tranches. Also, Patanjali Foods has entered into a licensing agreement with Patanjali Ayurved, involving a 3 per cent turnover-based fee.

The non-food business currently serves four key segments within the home and personal care (HPC) category, expanding Patanjali Foods’ product portfolio to include dental care, skin care, home care, and hair care.

Before this Patanjali Foods acquired the biscuit business of Patanjali Natural Biscuits for Rs 60.03 crore in May 2021, followed by a noodle and breakfast cereal business for Rs 3.5 crore in June 2021, and a food business for Rs 690 crore in May 2022 from Patanjali Ayurved.