Heritage Foods Limited (BSE: 519552 C NSE: HERITGFOOD), a leading Dairy Company offering milk and Value-added dairy products, announced its results for the quarter ended December 31, 2024.

Q3-FY25 Consolidated Financial Performance:

9M-FY25 Consolidated Financial Performance:

Q3-FY25 Business Highlights:

1. Consistent Growth: Company achieved 10% Revenue Increase, Surpasses Rs. 10,000 Million in Quarterly Revenues for the third consecutive time.

2. Milk Procurement Volume Soars: Q3 FY25 Sees 12.62% YoY Growth in Milk Procurement to 1.84 Million Litres per Day (MLPD).

3. Lower Procurement Costs: Average Milk Procurement Price Drops 2.7% YoY to INR 41.91 per Litre, but higher than Q2 by Rs.1.66/Lt.

4. Milk Sales Volume Growth: 6.08% YoY Increase in Milk Sales volumes to 1.17 million Lt per Day (MLPD) but registered a minor dip in avg selling price to Rs. 54.64/L from Rs. 55/L, due to mix change.

5. Value-Added Products (VAP) Continued Strong Growth in Q3: Heritage Foods saw impressive growth in its Value-Added Products (VAP) segment, achieving a 17.6% increase in revenues, reaching Rs. 2,874 million. The contribution of VAP to total revenue rose to 28.2%, up from 26.5% in Q3 FY24.

6. Including Ghee and Butter, VAP Revenue Hits Rs. 3,959 Mn: When including consumer packs of Ghee and Butter, VAP revenue reached Rs. 3,417 million, growing at 19.5%. This segment now contributes 33.5% to total revenue in Q3 FY25, compared to 31.0% in the same period last year.

7. Festive Season Campaigns Drive Further VAP Growth: In preparation for the festive season, we launched a series of engaging consumer promotions and impactful advertising campaigns, including scan-and-win promotion across our ghee and sweets range, boosting VAP growth.

Leaders Outlook

Commenting on the Results, Brahmani Nara – Executive Director, said: “I am pleased to announce that Heritage Foods Limited has had 10000 million+ revenue for the third consecutive quarter. In Q3FY25, our revenue grew by 10% YoY, reaching ₹10,339 million. EBITDA for the quarter was ₹741 million, resulting in a 7.2% margin. Notably, our net profit increased significantly by 60% year-on- year to ₹431 million, resulting in a 4.2% margin, reinforcing our strong financial standing.”

Heritage Foods has set an extraordinary benchmark, revolutionizing the dairy industry with its innovative approach and unwavering commitment to quality. By establishing a robust, integrated supply chain, adopting a cutting-edge omni-channel presence, expansion of the company’s geographic footprint, diverse and customer-centric product portfolio that not only meets seasonal demands but also fosters long-term customer engagement. A strong emphasis on value-added products (VAP), which have become a key driver of both revenue and high margins and continues to strengthen our market position. In parallel, our targeted marketing campaigns have played a crucial role in enhancing brand recognition and deepening consumer engagement.

“We remain confident that our commitment to innovation, quality, and customer engagement will enable us to not only navigate but thrive amidst future challenges. As always, we remain dedicated to creating shareholder value with unwavering passion and commitment. In the upcoming quarters, we will continue to focus on enhancing our business model by advancing up the value chain, ensuring our ongoing success,” added Brahmani.

Quarterly Conference Call

The earnings conference call will be held on Thursday, January 23, 2025 at 10:30 AM (IST) to discuss the Financial Results and performance of the Company for the quarter ended December 31, 2024. The earnings conference call will be accessible from all networks and countries through universal access dial-ins +91 22 6280 1456 / +91 22 7115 8804 also accessible at: Link. Further, the analyst(s)/institutional investor(s) presentation will be submitted to Stock Exchanges and shall also be hosted on the Company’s website.