AWL Agri Profit Dips Amid Cost Pressures

AWL Agri Business reported a 2.5% year-on-year decrease in net profit, reaching ₹239 crore for the September quarter of FY27. This marginal decline occurred despite a substantial 26% surge in consolidated revenue to ₹22,202 crore, driven by expansion in its Food & FMCG portfolio and robust performance in Industry Essentials.

The company's EBITDA declined by 9.6% to ₹623 crore from ₹689 crore year-on-year, with EBITDA margins narrowing to 2.8% from 3.9%. Management attributed the profit dip partly to minimum corporate tax on its Bangladesh subsidiary. Revenue from the Food & FMCG business alone saw a 32% increase, crossing ₹2,200 crore quarterly.

For the first half of FY27, AWL Agri Business's consolidated revenue grew 22% to ₹42,250 crore. Its direct retail reach extended to approximately 0.97 million outlets, while alternate channels like e-commerce saw a 13% increase. The company also launched new products, including Fortune Yellow Mustard Oil and expanded the TOPS brand.

AWL Agri Business shares concluded trading 1.82% higher at ₹175.91 on Tuesday, ahead of its earnings announcement. The company aims to restore earnings growth amidst persistent cost pressures affecting its profitability.