
CCL Products' shares surged 17% to Rs 684 per share on May 6 after the company announced robust fourth-quarter results for FY25. The firm's consolidated net profit rose by 56.35% to Rs 101.9 crore, driven by strong demand and improved operational efficiency. Revenue from operations increased by 15% year-on-year to Rs 836 crore, up from Rs 726.7 crore in the same period last year. This growth was bolstered by strong export volumes and output from the expanded Vietnam facility. However, the company's stock has still fallen over 18% this year, whereas the Nifty 50 index has increased by 3%. In the current session, CCL Products shares ended 16.94% higher at Rs 694.95 on BSE today. Market cap of the firm stood at Rs 9279 crore.
Key financial indicators were positive for the quarter. Earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose by 38.3% to Rs 163.3 crore from Rs 118.1 crore, enhancing the EBITDA margin to 19.5% from 16.3%. These figures reflect better cost control and increased sales of premium products. CCL Products, a leading private-label coffee manufacturer, supplies global brands across 90 countries and operates four manufacturing plants—two in India, one in Vietnam, and one in Switzerland. Over 90% of its revenue comes from international markets, notably in Europe, North America, and Asia.
Despite the recent positive performance, market analysts note that the overall annual stock decline reflects broader market competition and volatility. CCL Products' strategy seems focused on leveraging its strong export market and expanding production capabilities to sustain growth. Its diverse product range, including spray-dried, freeze-dried, and granulated coffee, caters to various market needs. As the company progresses, monitoring its ability to maintain cost efficiency and product demand will be crucial to achieving long-term growth and closing the gap with market indices like the Nifty 50.