Manorama Industries (541974) Q3 25/26 earnings summary

Executive summary

• Achieved Q3 FY26 revenue of INR 3,625 million, up 73.3% YoY, and 9MFY26 revenue of INR 9,754 million, up 81.3% YoY, driven by value-added products, optimized capacity, and robust demand from chocolate, confectionery, and cosmetics sectors.

• EBITDA for Q3 FY26 rose 78.0% YoY to INR 982 million, with margin expansion to 27.1%. PAT surged 131.1% YoY to INR 682 million, with PAT margin at 18.8%.

• Upwardly revised FY2026 revenue guidance from INR 1,150 crores to over INR 1,300 crores, reflecting confidence in growth trajectory and business model.

• Announced major capacity expansion plans, including INR 460 crore capex for new facilities and backward integration in India and Africa.

• Approved unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025.

Financial highlights

• Q3 FY26 revenue: INR 3,625 million; nine months revenue: INR 9,754 million, up 81.3% YoY.

• Q3 EBITDA: INR 982 million (27.1% margin); nine months EBITDA: INR 2,650 million (27.2% margin).

• Q3 profit after tax: INR 682 million (18.8% margin); nine months PAT: INR 1,740 million (17.8% margin).

• Value-added products contributed approximately 75% to sales in Q3; CBE contributed 30% over nine months.

• Diluted EPS for Q3 FY26 was INR 11.43, up 131.4% YoY.

Outlook and guidance

• FY2026 revenue guidance raised to over INR 1,300 crores, supported by capacity expansion and strong demand visibility.

• Capex of INR 460 crores planned over 2-3 years for new manufacturing and backward integration projects.

• Ongoing capex to boost fractionation capacity by 30% to 52,000 MTPA by end-FY26.

• Growth visibility for the next 4-5 years, with asset turnover expected at 5x and potential to reach INR 4,500-5,000 crores revenue in the medium term.

• Capex funding to be sourced from internal accruals, debt, equity, or other permissible sources, with actual spending subject to project execution and market conditions.