Bikaji Foods International Limited , a prominent player in the Indian snack food industry, has reinforced its commitment to international expansion by injecting additional capital into its US subsidiary. The company announced a strategic investment of $250,000 in Bikaji Foods International USA Corp on December 2, 2025, demonstrating its focus on strengthening its distribution network and enhancing market presence in the United States.

Investment Details

Strategic Implications

The additional subscription in the US subsidiary underscores Bikaji Foods' commitment to expanding its global footprint, particularly in the North American market. This move is expected to bolster the company's distribution capabilities and potentially lead to increased market share in the competitive US snack food sector.

Subsidiary Performance

Bikaji Foods International USA Corp has shown promising growth since its incorporation. For the period ended March 31, 2025, the subsidiary reported a turnover of $1,769,792, indicating a solid foundation for future expansion in the US market.

Outlook

This strategic investment signals Bikaji Foods' confidence in its US operations and its commitment to long-term growth in international markets. By maintaining 100% ownership in the subsidiary, the company ensures full control over its US operations, allowing for seamless integration of strategies and potential for rapid expansion.

As Bikaji Foods continues to strengthen its international presence, investors and industry observers will be keen to monitor the performance of its US subsidiary and the impact of this investment on the company's overall global strategy.

Bikaji Foods International , a leading Indian snack food company, reported a robust 15.2% year-on-year revenue growth for the second quarter of fiscal year 2026, despite facing challenges from GST rate changes. The company achieved its highest EBITDA margin of 15.4% in the last five quarters, demonstrating resilience in the face of market disruptions.

Key Financial Highlights

• Revenue growth: 15.2% year-on-year
• EBITDA margin: 15.4% (highest in 5 quarters)
• Gross margin: 34% (excluding PLI benefits, highest in 8-9 quarters)
• Volume growth: 10.8%

Segment Performance

The company's ethnic snacks segment, which accounts for about 70% of its business, experienced muted growth of 4.6% due to the GST rate change from 12% to 5%. This transition caused disruptions in the trade channels, particularly in September. However, Bikaji expects high-teens growth in ethnic snacks for Q3 and Q4 as the benefits of the GST rate reduction normalize.

Market Performance

The company's focus markets showed strong growth at 12.3%, while other markets, driven by modern trade, new-age channels, and gifting, grew by 34.8%. Notably, the export business delivered exceptional performance with a 77.3% growth rate, contributing over INR 50 crores in revenue for the quarter.

Strategic Initiatives and Outlook

Bikaji has implemented several strategic initiatives to drive growth:

1. Expansion of distribution reach, aiming to reach 3.5 lakh direct outlets by the end of FY26.
2. Launch of new products, including millet-based snacks and Falahari mixtures.
3. Focus on both family packs and impulse packs to cater to different consumer segments.
4. Continued expansion in export markets, leveraging its acquisition of Ariba Foods.

The company remains optimistic about its growth prospects, expecting high-teens growth in the ethnic snacks segment for the upcoming quarters. With a strong focus on innovation, distribution expansion, and export growth, Bikaji is well-positioned to capitalize on the evolving snack food market in India and abroad.

As the GST transition impact settles and the benefits of the reduced rate are realized, Bikaji anticipates improved performance in its core categories. The company's ability to maintain strong margins and drive volume growth across various segments demonstrates its resilience and adaptability in a dynamic market environment.