Hatsun Agro Product Limited Earnings Summary — Q3 FY2026
Hatsun Agro Reports Decline in Quarterly Profits Amid Softening Operating Margins
Key Takeaways
- Revenue grew 17.6% YoY to ₹2,364 Crores, though it saw a minor sequential dip of 2.6%.
- Net Profit experienced a significant sequential contraction, falling from ₹110 Crores in Q2 to ₹61 Crores in Q3.
- Operating Profit Margin (OPM) returned to 11%, down from the 13-14% highs seen earlier in the fiscal year.
- Interest expenses have trended downwards significantly, falling to ₹33 Crores from ₹43 Crores YoY, aiding the bottom line.
- Depreciation charges continue to rise, hitting ₹146 Crores as the company maintains a heavy fixed-asset base.
- Borrowings have been significantly reduced to ₹2,011 Crores by Sep 2025 from ₹2,698 Crores in Mar 2024.
- The company maintains a high promoter holding of 73.17%, providing stability in governance.
- Working capital management shows improvement with inventory days falling from 94 to 60 over the last fiscal year.
Management Guidance
Management remains focused on transitioning from commoditized milk sales to high-value consumer brands like Ibaco and Arun Icecreams, with a continued emphasis on debt reduction and digital transformation in procurement.
Sentiment Shift
Stable
Outlook
The outlook remains cautiously optimistic as the company benefits from significant operating leverage and a strong direct-farmer procurement model, though it must navigate raw milk price volatility and high depreciation costs.
← Back to Hatsun Agro Product Limited AI analysis
Unlock the full report
Deep-dive sections, financial charts, AI chat and PDF export are available with Premium.
This summary is AI-generated from Hatsun Agro Product Limited's latest annual report and public disclosures. It is for informational purposes only and is not investment advice.