AWL Agri Business (AWL) Q1 25/26 earnings summary

Executive summary

• Q1 FY26 consolidated revenue rose 21% YoY to over INR 17,000 crore, driven by edible oils and industry essentials, despite a 5% volume decline due to the absence of G2G rice business and regional rice reset.

• EBITDA for Q1 FY26 was INR 572 crore, up 12% sequentially but down 16% YoY due to a high base and custom duty cuts impacting edible oil margins.

• Food & FMCG and Industry Essentials segments delivered strong profit growth, offsetting weaker edible oil performance.

• Alternate channels, especially quick commerce and e-commerce, showed strong growth, with e-commerce up 73% and branded exports up 22%.

• Recent acquisition G.D. Foods delivered INR 96 crore revenue, up 9% YoY, with operational synergies underway.

Financial highlights

• Gross margin per ton at INR 11,121 and EBITDA per ton at INR 3,623; gross profit margins per ton consistently around INR 10,500.

• Edible oil revenue up 26% YoY to INR 13,415 crore, driven by higher raw material prices.

• Food and FMCG revenue at INR 1,414 crore+, up 4% YoY, with double-digit growth in pulses, besan, soya nuggets, and sugar.

• Industry essentials segment volume up 6% YoY to 360,000 tons, revenue up 12% to INR 2,230 crore, and segment result at INR 100 crore.

• PAT for Q1 FY26 stood at INR 238 crore, up 25% sequentially but down 24% YoY.

Outlook and guidance

• Expectation of improved edible oil sales in coming quarters as palm oil prices normalize and import duty changes favor domestic refiners.

• Food and FMCG business expected to deliver better EBITDA than last year, with continued investment and growth focus.

• Targeting INR 10,000 crore food and FMCG revenue by FY27, with new capacities and product lines supporting growth.

• CapEx guidance of INR 500-600 crore annually, with sufficient capacity post-Gohana plant commissioning.

• Near-term outlook for Bangladesh business is moderate due to macroeconomic headwinds and proposed US tariffs.