The company delivered its best-ever quarterly revenue from operations and reported sharp gains across all major profitability metrics.
Revenue from operations jumped 20.9% year-on-year to Rs 9,799 crore in Q2FY26, compared to Rs 8,102 crore in the same quarter last year. On a sequential basis, revenue rose 11.8% from Rs 8,766 crore in Q1FY26. Total income for the quarter stood at Rs 9,850.07 crore, up from Rs 8,132.77 crore in Q2FY25 and Rs 8,779.02 crore in Q1FY26.
Profitability also saw a significant boost, with profit before tax (PBT) rising 103.2% QoQ and 21% YoY to Rs 505 crore, as against Rs 249 crore in Q1FY26 and Rs 417 crore in Q2FY25.
EBITDA surged 80.5% sequentially and 22.2% year-on-year, reaching Rs 603 crore in Q2FY26, from Rs 334 crore in the previous quarter and Rs 494 crore a year ago. The company reported a quarterly operating EBITDA of Rs 552.09 crore, compared to Rs 462.65 crore in Q2FY25 and Rs 321.19 crore in Q1FY26.
Gross profit for the quarter came in at Rs 1,502.65 crore, with a YoY growth of 22.46% and a margin of 15.26%.Among key highlights, Patanjali Foods reported Rs 51.69 crore in export revenue during Q2FY26. Additionally, its Wind Turbine Power Generation segment contributed Rs 13.33 crore in revenue during the quarter.“On the back of sound business strategies implemented in the previous few quarters, the company reported best-ever financial performance on various parameters, despite a dynamic operating environment. The quarterly as well as half-year performance reached an all-time high on the revenue and profitability front. The September quarter has been a milestone quarter for not just the FMCG sector but for the entire nation. GST rate rationalization was introduced during the quarter. We view this as a progressive reform that will drive higher efficiency and stimulate long-term consumption,” said Sanjeev Asthana, Chief Executive Officer of Patanjali Foods, while commenting on the Q2 results.
After the Q2 results, domestic brokerage firm ICICI Securities has maintained an ‘Add’ rating on the stock with a target price of Rs 650.
The brokerage firm noted that Patanjali Foods’ revenue performance was in line with their expectations, while profitability came in ahead due to better-than-expected margins in the oil business.
The Oil business’s EBITDA margin improved 174bps QoQ, driven by favourable commodity price movement, which is likely to sustain in the ensuing quarters. That said, some volatility may persist given tightening global vegetable oil supplies.
Within FMCG, the foods segment delivered steady performance, while the HPC business grew 10% QoQ with healthy margins.
“Over the medium term, we expect Patanjali’s performance to strengthen with the rising contribution of the FMCG portfolio, which should help stabilise overall performance,” said ICICI Securities.
Also read: Maruti Suzuki shares fall 3% after Q2 results, October sales volumes. Should you buy?
(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times)