Bikaji Foods International (BIKAJI) Q3 24/25 earnings summary

Executive summary

• Achieved 14.5% revenue growth in Q3 FY25 and 17.1% YTD, with double-digit volume expansion despite inflationary pressures.

• Ethnic snacks and packaged sweets led segment growth, while Western snacks were flat in Q3 due to cost pressures but grew 16.5% YTD.

• Distribution reach expanded to 11.5 lakh outlets, with direct reach at 2.88 lakh outlets and strong marketing campaigns driving penetration.

• Unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2024, were approved and reviewed by the Board and auditors, with no material misstatements found.

• Strategic investments in QSR and bakery segments, including the acquisition of Hazelnut Factory and incorporation of Bikaji Bakes Private Limited, mark significant expansion moves.

Financial highlights

• Q3 FY25 consolidated revenue was ₹69,742.46 lakhs, up from ₹62,389.70 lakhs in Q3 FY24; 9MFY25 revenue was ₹1,95,652.30 lakhs.

• Q3 FY25 EBITDA margin was 7.8% (down 425 bps YoY), with gross margin at 29.0%; 9MFY25 EBITDA margin at 12.6% and gross margin at 32.0%.

• Q3 FY25 PAT declined 39.6% YoY to ₹2,856.52 lakhs; 9MFY25 PAT up 4.9% YoY to ₹15,628.29 lakhs.

• Basic and diluted EPS for Q3 FY25 were ₹1.14 (consolidated) and ₹1.23 (standalone); 9MFY25 EPS at ₹6.24 (consolidated).

• Employee costs rose 30% and other expenses by 21% YoY, mainly due to higher advertising and underutilized new factories.

Outlook and guidance

• Management expects margin recovery in the next two quarters, targeting gross margin of 30%+ and volume growth of 10–14% annually over the next four years.

• Further price hikes are planned in Q4 to offset commodity inflation.

• Western snacks production and growth expected to recover in Q4 as raw material prices normalize.

• Strategic investment in Hazelnut Factory aims to expand into the QSR domain and establish a House of Brands.