Patanjali Foods Q4 results: Baba Ramdev-backed firm posts 18% jump in Q4 PAT to ₹349 crore, dividend declared
Patanjali Foods, backed by Baba Ramdev, reported a 18.16% YoY growth in Q4FY23 net profit to ₹349.38 crore ($45.8m) and a 18.15% rise in revenue to ₹7,872.92 crore, driven by its food and FMCG segment. The company has also declared a dividend of 300% for its shareholders.
PremiumBaba Ramdev-backed Patanjali Foods registered 18.16% growth in Q4FY23 net profit to ₹349.38 crore compared to ₹295.69 crore a year ago same quarter. The company, which was formerly known as Ruchi Soya, managed to continue to sustain its growth momentum in the revenues as it posted a growth of 18.15% to ₹7,872.92 crore in the March 2023 quarter as against ₹6,663.72 crore a Q4 of the previous fiscal.
However, sequentially, PFL's net profit only rose by 1.72% from a PAT of ₹343.46 crore in Q3FY23, while revenue dipped by 0.7% from ₹7,926.64 crore in December 2022 quarter.
Also, EBITDA declined by 19.6% to ₹326.3 crore in Q4FY23 as against ₹406.1 crore in Q4FY22. Further, EBITDA margins contracted to 4.1% in Q4FY23 compared to 6.1% in Q4FY22.
According to the company, the food products under the Patanjali brand are gaining market acceptance to sustain the growth as recorded in the last 3 quarters of FY 2022-23 majorly after the completion of the food business acquisition. EBIDTA earnings on food revenue remain to be strong and robust as it crosses over 13.70 % of overall food business revenue.
In a meeting held on Tuesday, the company's board recommended a dividend of ₹6 per share -(300%) per equity share on 36,19,18,554 (net of 76,299 treasury shares) equity shares of Rs. 2.00 each for the financial year ended March 31, 2023.
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On BSE, Patanjali Foods' share price closed at ₹1021.70 apiece up by 0.8% on Tuesday.
Overall, in FY23, the company recorded a total income of ₹31,821.45 crore by posting over impressive 31.04% growth as compared to the previous year. The revenues for the food and FMCG segment have reached ₹6,218.08 crore as compared to ₹1,683.24 crore on YoY basis. PBT & PAT increased during FY 2023 by around 10% although EBIDTA has marginally decreased due to a sharp fall in edible oil prices.
FY23 profits were at ₹1,178.96 crore, up by 9.73% as against ₹1,074.38 crore in the previous fiscal.
Further, in respect of edible oils, sales volume increased to 1.97 million mt registering a growth of 21% while the share of foods & FMCG business has increased from 7% in FY22 to 20% in FY23. Branded sales for FY23 are 77.09% of annual turnover with 30.20% y-o-y growth.
Read here: Adani Ports Q4 results: Consolidated PAT jumps 5% YoY to ₹1,159 crore, revenue rises 40%
Under biscuits and confectionary segments, the sales stood at ₹1,300 crore with a growth of 10% q-o-q and 20% y-o-y. Doodh biscuit is now a ₹ 826 crore brand, contributing to 63% of total biscuit sales.
At present, Patanjali Foods is 4th largest player in the Biscuit category having a national presence. The premiere brand Nutrela has reached to highest-ever sales of 25,600 MT achieved during FY23. The company has achieved consistent growth of 6% in TSP products despite the competition from organised and unorganised sector.
Also, the products like Nutraceutical business rose to ₹509 crore in FY23 as compared to ₹225 crore in the previous year FY22.
Patanjali said, the company's s plans for its Oil Palm Plantation are fully on track as the area under cultivation has increased to 63,816 hectares with an overall land allocation of 6,28,000 hectares during FY 2023. The company has signed MoUs with the governments of Assam, Arunachal Pradesh, Mizoram, Nagaland, and Tripura in North-East and Telangana and Andhra Pradesh. The infrastructure continues to roll forward, as the first oil mill is being set up in the north-east region in Pasighat, Arunachal Pradesh.
Further, the company's focus is to expand geographically in International Market by increasing its presence in the major markets. The company achieved an export turnover of ₹530.80 crore by exporting its products to 33 countries during the year.
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