Value-added products contribute 24.2% to the dairy revenue
Dairy major Heritage Foods has announced its financial results for the fourth quarter and the year ended on March 31, 2021.
In Q4FY2021, the consolidated revenue from operations was at Rs 6,194 million as compared to Rs 6,526 million in Q4FY2020. EBIDTA was at Rs 470 million as compared to Rs 277 million in Q4FY2020; registering a growth of 70 per cent. The EBITDA margin improved by 334 bps to 7.6 per cent as against 4.3 per cent in Q4FY2020. The consolidated net profit was at Rs 244 million as compared to Rs (2,099) million in Q4FY2020.
During FY2021, Heritage Foods posted consolidated revenue from operations at Rs 24,731 million as compared to Rs 27,259 million in FY2020. EBIDTA was at Rs 2,712 million as compared to Rs 1,354 million in FY2020, registering a significant growth of 100.3 per cent. EBITDA margin improved by 600 bps to 11 per cent as against 5 per cent in FY2020. The net profit was at Rs 1,483 million as compared to Rs (1,694) million in FY2020.
The average milk procurement during Q4FY2021 was at 1.2 million litres per day (MLPD) compared to 1.3 MLPD in Q4FY2020. The average milk sales during Q4FY2021 was 1.0 MLPD compared to 1.1 MLPD in Q4FY2020. Curd sales during Q4FY2021 was at 278.6 metric tonnes per day (MTPD) compared to 294.6 MTPD in Q4FY2020. Revenue from value-added products (VAP) at Rs 1,608 million contributed 26.6 per cent to the overall dairy revenue during Q4FY2021. Their contribution for FY2021 at Rs 5,825 million stood at 24.2 per cent total annual dairy revenue as against 27.0 per cent in FY2020.
Brahmani Nara, Executive Director, Heritage Foods said, “As a result of improved profitability for FY2021, Heritage Foods has managed to reduce its debt significantly, and the Board has recommended a final dividend of 100 per cent. The company continues with its efforts of enhancing value-added product portfolio and launched Mozzarella and processed cheese, fresh cream, cool café drink, and further expanded its ice cream portfolio.”