Adani Wilmar Ltd on Monday announced its quarter earnings report for the third quarter of FY25 with profit at Rs 410.93 crore, recording a jump of 104.55 per cent in comparison to Rs 200.89 crore recorded during the corresponding quarter of FY24. It posted revenue from operations at Rs 16,859.31 crore, up 31.42 per cent as against Rs 12,828.36 crore during the corresponding quarter of previous financial year. The company recorded its highest-ever quarterly EBITDA at Rs 791 crore, up 57 per cent YoY.
On trailing-twelve-months (TTM) basis, Adani Wilmar posted operating EBITDA at Rs 2390 crore and PAT was at Rs 1192 crore.
The FMCG firm achieved a healthy volume growth of 5 per cent YoY in Q3FY25, despite significant price-hikes driven by a surge in raw material costs.
Distribution network
Adani Wilmar has reached over 43K rural towns directly by the end of December 2024. This, it said, marked a substantial progress from just over 5,000 towns in March 2022 and the goal is to reach over 50,000 rural towns by the end of FY25 and drive the penetration of outlets as well as volume offtake in these new outlets. In a statement, Adani Wilmar said, “The integrated distribution model is enabling us to leverage the strength of our oil distribution network to boost the reach of our food products, particularly in urban markets. This has been accomplished through a range of initiatives, such as loyalty programs for retailers, bundling offers for both retailers and consumers, targeting high-potential outlets, and refining salesman incentives.”
During the quarter, revenue from alternate channels increased at a strong double-digit rate YoY, with revenue over the past 12 months at around Rs 3,300 crore. The e-commerce (including quick commerce) sales volume continued to grow at 41 per cent YoY.
The HORECA channel, it said, grew at a volume growth rate exceeding 35 per cent for YTD FY25, generating over Rs 600 crore in revenue on a Last Twelve Months (LTM) basis, with a well-balanced contribution from both edible oils and foods. Furthermore, the company is developing a network of HORECA wholesalers to meet the demand from smaller customers.
Angshu Mallick, MD & CEO, Adani Wilmar Limited, said, “The company has significantly expanded its direct rural coverage crossing 43,000 rural towns as of December ’24, up from 5,000 towns in March 2022, positioning us well for future growth. E-commerce revenue has grown by 41 per cent YoY on a TTM basis. The company has made strong inroads in the South, with a 15 per cent YoY volume growth in branded products during Q3.”
Adani Wilmar’s Q3 performance across segments
Edible Oil: In Q3, the edible oil volume grew by 4 per cent YoY and recorded revenue of Rs 13,387 crore, up by 38 per cent YoY. Branded sales declined in low single digits, primarily due to double-digit decline in packed palm oil sales and downtrading by consumers. Branded sales increased across all other edible oils.
Food and FMCG: The Food & FMCG segment recorded revenue of Rs 1,558 crore in Q3, up by 22 per cent YoY. The segment continued to experience double-digit growth in both general trade and e-commerce channels. “Bundling our low-penetration products with fast-selling items continued to drive consumer trials and adoption,” it said. On LTM basis, the segment recorded revenue of around Rs 6,150 crore.
Industry Essentials: In Q3, the Industry Essentials segment recorded revenue growth of 4 per cent YoY to Rs 1,915 crore. The lower sale in castor meals and oil meal led to a decline in the segment’s volume during the quarter.
Angshu Mallick said, “The company’s revenue grew by 31 per cent YoY to Rs 16,859 crore. We have delivered another strong quarter, with double-digit growth in both edible oils and Food & FMCG segments. The edible oils revenue grew by 38 per cent YoY and the Food & FMCG revenue grew by 22 per cent YoY. The company has been delivering strong profits over the last five quarters. We have delivered record profits during the quarter, with EBITDA at Rs 792 crore and PAT at Rs 411 crore. This has led to best-ever trailing-twelve-months (TTM) performance with operating EBITDA at Rs 2,390 crore and PAT at Rs 1,192 crore on TTM basis. Our overall Food & FMCG business has crossed Rs 6,150 crore on TTM basis and we stay committed to building a very large packaged food business in India.”