LT Foods Limited Earnings Summary — Q4 FY2026
LT Foods Records Strong 30% YoY Revenue Growth While Margins Soften in Final Quarter
Quarterly Business Intelligence
AI Quarterly Scorecard™
Computed deterministically from the last 10 reported quarters.
Quarterly Business Momentum
- Revenue has increased for 6 consecutive quarters.
- Revenue of ₹3,152 Cr is 27.9% higher year-on-year.
- Revenue has compounded at 20.4% annualised over the last 10 quarters.
- Revenue is at its highest level in 10 quarters.
- Net profit has reached its highest level in 10 quarters.
- Net profit of ₹183 Cr is 8.9% above the same quarter last year.
- Profit growth is trailing revenue growth this quarter.
- Net profit has compounded at 9.8% annualised across the period.
- Operating margin stands at 11.2% in Q1 FY2027.
- Operating margin expanded by 46 bps year-on-year.
- Over the last two years operating margin has contracted by 40 bps.
- PBT margin is 7.9%.
- Expense growth of 27.3% remained below revenue growth of 27.9%.
- Operating profit of ₹354 Cr is 33.3% higher year-on-year.
- Operating leverage continues to improve.
- 6 of the last 6 measured quarters delivered year-on-year revenue growth.
- Overall quarterly business momentum scores 76/100 (Strong) on the latest 10 quarters.
- Business momentum remains positive heading into the next quarter.
Quarterly Financials
Last 10 Reported Quarters • All figures in ₹ Crore • Margins in %
| Metric | Trend | Latest Q1 FY2027 | Q4 FY2026 | Q3 FY2026 | Q2 FY2026 | Q1 FY2026 | Q4 FY2025 | Q3 FY2025 | Q2 FY2025 | Q1 FY2025 | Q4 FY2024 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | Improving | 3,152 | 2,907 | 2,809 | 2,766 | 2,464 | 2,228 | 2,275 | 2,108 | 2,071 | 2,075 |
| Expenses | Improving | 2,798 | 2,639 | 2,495 | 2,456 | 2,199 | 1,970 | 2,025 | 1,879 | 1,830 | 1,830 |
| Operating Profit | Improving | 354 | 267 | 314 | 309 | 265 | 258 | 250 | 229 | 241 | 245 |
| Operating Margin | Stable | 11.2% | 9.2% | 11.2% | 11.2% | 10.8% | 11.6% | 11.0% | 10.9% | 11.6% | 11.8% |
| Other Income | Volatile | 10 | 31 | 4 | 8 | 43 | 36 | 17 | 35 | 28 | 28 |
| Interest | Improving | 40 | 40 | 35 | 28 | 28 | 26 | 24 | 20 | 19 | 23 |
| Depreciation | Improving | 74 | 70 | 63 | 60 | 52 | 53 | 46 | 45 | 42 | 45 |
| Profit Before Tax | Stable | 250 | 189 | 220 | 229 | 228 | 216 | 198 | 200 | 208 | 204 |
| Tax | Stable | 66 | 53 | 63 | 65 | 60 | 55 | 52 | 49 | 53 | 54 |
| Net Profit | Improving | 183 | 136 | 157 | 164 | 169 | 161 | 143 | 148 | 153 | 149 |
| Net Margin | Stable | 5.8% | 4.7% | 5.6% | 5.9% | 6.8% | 7.2% | 6.3% | 7.0% | 7.4% | 7.2% |
Key Takeaways
- Revenue grew significantly by 30% year-on-year, reaching INR 2,907 Crores in Q4.
- Operating Profit Margins (OPM) compressed to 9%, down from 12% in the same quarter last year, indicating cost pressures.
- Net profit declined 15.5% YoY to INR 136 Crores, impacted by rising interest costs and lower operating margins.
- Interest expenses rose sharply to INR 40 Crores in Q4 FY26, compared to INR 26 Crores in Q4 FY25.
- Inventory levels remain high at INR 5,323 Crores, contributing to a capital-intensive business model.
- The company maintains a strong global presence (Daawat and Royal brands) despite quarterly margin volatility.
Management Guidance
Management remains focused on 'sustainable and profitable growth' across its Basmati, Organic, and Convenience pillars, targeting premiumization to move from price-taker to price-maker.
Sentiment Shift
Deteriorating
While top-line growth is robust, the sharp decline in operating margins and net profit relative to previous quarters signals rising cost headwinds and interest burdens.
Outlook
The outlook remains positive for long-term growth driven by international market leadership in the US and diversification into Ready-to-Eat segments, though near-term profitability faces pressure from raw material and logistics costs.
From the Annual Report (Key Quotes)
“LT Foods has evolved from a commodity rice miller into a global branded FMCG player.”
“There is a strong history of executing on 'premiumization' which has moved the brand from price-taker to price-maker.”
“Strategic diversification into Ready-to-Eat (RTE) and organic segments provides a long-term growth runway.”
Official Quarterly Documents
This summary is AI-generated from LT Foods Limited's latest quarterly filing and earnings call. For informational purposes only — not investment advice.