Dodla Dairy share price hits all-high on robust Q1FY24 earnings; check details

Dodla Dairy share price rose over 18% and touched an all-time high on Monday's trading session following company's robust Q1FY24 (April-June) earnings. Dodla Dairy shares opened at ₹779.95 apiece on BSE, the stock hit an intraday high at ₹908.40 and low at ₹774.35.

According to the company's exchange filing, its profit after tax (PAT) for the quarter ended in June of fiscal 2024 climbed 40.3% year over year (YoY) to ₹35 crores, and PAT margins increased by 77 basis points YoY to 4.2% in Q1 FY24.

Operating Revenues jumped by 14.8% YoY to ₹8,23.4 crore in Q1 FY24 from ₹7,17.0 crore in Q1 FY23. While the company's international business generated revenues of ₹60.6 crore in Q1 FY24, its domestic business increased by 16.1% YoY to ₹762.8 crore.In Q1 FY24, EBITDA increased by 33.9% YoY to ₹60.3 crore.

EBITDA margin increased by 104 bps YoY to 7.3% as a result of declining other expenses (89 bps YoY) and reduced raw material prices (44 bps YoY). Employee costs, however, increased by 29 bps YoY in Q1 FY24.

Dodla Dairy's managing director, Dodla Sunil Reddy, commented on the results, stating that the company had achieved a quarterly revenue milestone of ₹800 crore for the first time in Q1 FY24, growing by 14.8% year over year.

"The company’s Value-Added Products (VAP) and Fat & Fat products sales surged by 12.9% YoY to ₹258.6 crore aided by extended summer season coupled with diversified product portfolio and strong brand recall. Dodla’s VAP sales contributed 32.0% to the overall revenues in Q1FY24.

The industry has already started to experience some benefits of the upcoming flush season of 2023-24 which is likely to peak by September-October 2023. Dodla Dairy aims to maintain its competitive edge in the industry with farmer centric approach, thrust on quality & innovation, regular capacity expansion plans and the ability to adapt to the evolving market dynamics, thereby leading the company towards sustainable growth,” said Reddy in an exchange filing.

On the technical front, as per trendlyne data, the stock price rose 79.6% and outperformed its sector by 70.4% in the past year.