Adani group’s FMCG arm Adani Wilmar on Wednesday reported an 18% year-on-year (YoY) drop in its December quarter profit at Rs 200.9 crore as against Rs 246.1 crore in the year-ago quarter.

The company had reported a loss of Rs 130.7 crore in the September quarter of FY24.

Its revenue declined by 17% YoY to Rs 12,828.3 crore from Rs 15,438 crore in the same quarter of the previous year.

However, the company achieved the second-best EBITDA till date of Rs 504 crores in Q3.

The profitability of the company has again normalized with EBITDA at Rs 504 crore in Q3 after witnessing two quarters of subdued profits due to high-cost inventory and hedge dis-alignment. The profitability of Bangladesh subsidiary continues to be in stress due to local currency issues, the company said in a BSE filing.

“The revenues from the branded products in the domestic market, under the Food & FMCG segment have been growing at 40%+ YoY in the past 9 quarters enabling us to close FY’24 with an estimated ~INR 5,000 crore of revenue in the segment,” said Angshu Mallick, MD & CEO, Adani Wilmar.”We are putting our energies in rapidly scaling up our distribution network for General Trade to realize the immense opportunity available in the packaged staple foods. At the same time, we are developing our HORECA and Exports channels which will continue to witness much faster growth in the near future,” Mallick said.The edible oil volume of Adani Wilmar was flat YoY in Q3 and grew by 8% during 9M FY24. Branded products grew by 3% YoY in Q3 and 15% in 9M FY24.

The edible oil segment recorded revenue of Rs 9,711 crores in Q3, with sequential growth of 7% compared to Q2. In YoY terms, revenue is optically lower by 23% YoY in Q3 FY24, as product pricing has been lower during the year, in line with lower raw-material costs.

The Food & FCMG segment, which includes products such as wheat flour, rice, pulses, besan, sugar, poha and soap continued to outperform. During the quarter, the segment revenues grew at 25% YoY, with an underlying volume growth of 17% YoY.

In 9M FY24, the Food & FCMG segment delivered a turnover of Rs 3,653 crores, a robust growth of 26% YoY.

In the domestic market, branded products revenue has been growing at 40%+ YoY for the last nine quarters.

The industry essentials volume grew by 17% YoY in Q3’24 and 21% YoY in 9M FY’24, supported by growth in Castor & Oleochemical businesses. The segment recorded revenue of Rs 1,844 in Q3 and Rs 5,777 in 9M FY’24.

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