Hatsun Agro zooms as Q4 net profit doubles at Rs 52cr
Hatsun Agro Product reported a net profit of Rs 52.16 crore in Q4 FY24 compared to Rs 24.99 crore in Q4 FY23, registering a growth of 108.76 per cent, thanks to "substantial investments" being directed towards strengthening distribution, sales, and marketing of their brands.
Team RuralVoice
Hatsun Agro Product reported a net profit of Rs 52.16 crore in Q4 FY24 compared to Rs 24.99 crore in Q4 FY23, registering a growth of 108.76 per cent,
thanks to "substantial investments" being directed towards strengthening distribution, sales, and marketing of their brands.
"COVID had disturbed the operations for two years, which led to an impact on milk procurement in the H2 of FY23 and the H1 of FY24. Normalcy was restored in the H2 of FY24 for both procurement of milk and sales,” Hatsun Agro chairman RG Chandramogan said in an exchange filing.
"Additionally, substantial investments have been directed towards strengthening distribution, sales, and marketing of their brands. The company is also exploring opportunities to export ice creams to various countries through Hatsun Agro," Chandramogan said.
The company's revenue from operations in Q4 FY 24 was Rs 2046.87 crore as against Rs 1789.46 crore in Q4 FY23, registering a growth of 14.38 per cent. Procurement of milk registered a growth of 39.04 per cent in FY 24 over FY23. Its profit after tax in FY24 was Rs 267.29 crore as against Rs 165.86 crore in FY 23, thereby showing a growth of 61.15 per cent, as per a company press release.
Revenue from operations in FY24 was Rs 7990.40 crore as against Rs 7246.97 crore in FY 23, recording a growth of 10.26 per cent. In FY24, milk procurement saw a growth of 20.30 per cent. The strong bottomline growth was fuelled by healthy sales, retail expansion, increased procurement of milk and a solid margin expansion.
Revenue grew to Rs 2,047 crore from Rs 1,789 crore in the year-ago period, accompanied by a 39 percent spike in milk procurement. Operating margins of the dairy products maker also expanded to 11.2 percent, up from 8.7 percent in the previous fiscal.
The company invested Rs 550 crore in new facilities to expand capacity for curd and milk products, as well as in market assets. The capacity expansion would support its sales plans for FY25, the release added.
