Aelea Commodities Limited, a leading cashew nut processing company, has reported a strong financial performance for the half year ended September 30, 2025, marking a significant turnaround from the previous period.

Financial Highlights

The company's standalone revenue surged by 95.5% year-over-year to ₹17,362.08 crore, up from ₹8,879.99 crore in the previous half year. This substantial growth was accompanied by a remarkable turnaround in profitability, with Aelea Commodities posting a net profit of ₹883.71 crore compared to a loss of ₹255.04 crore in the same period last year.

Operational Performance

The improved financial results were driven by strong operational performance. The cost of materials consumed increased to ₹16,770.03 crore, reflecting the higher business volume. Notably, the company's inventory levels rose significantly to ₹8,998.42 crore from ₹4,957.87 crore, indicating preparation for anticipated demand.

Consolidated Results

On a consolidated basis, Aelea Commodities reported equally impressive results:

• Revenue reached ₹17,369.28 crore
• Net profit stood at ₹870.21 crore, compared to a loss of ₹442.20 crore in the previous period

Strategic Initiatives

The Board of Directors has proposed the incorporation of two wholly-owned subsidiaries:

1. A subsidiary focused on processing and trading of all kinds of nuts and fruits
2. Another subsidiary dedicated to sustainability and renewable energy

These strategic moves are aimed at diversifying the company's operations and tapping into growing market segments.

Management Commentary

Hozefa Shabbir Husain Jawadwala, Managing Director of Aelea Commodities Limited, stated, "Our strong performance in the first half of 2025 reflects the robust demand for our products and the effectiveness of our operational strategies. The proposed new subsidiaries align with our vision for sustainable growth and diversification."

Outlook

With a solid financial foundation and strategic expansion plans, Aelea Commodities appears well-positioned for continued growth. The company's focus on diversification into related product lines and sustainability initiatives could provide additional avenues for expansion in the coming years.

Investors and market watchers will be keen to see if the company can maintain this growth trajectory in the face of global economic uncertainties and potential fluctuations in commodity prices.

Aelea Commodities Limited has made a significant move in its financial structure by consolidating its credit facilities with HDFC Bank. The company executed a Deed of Hypothecation and Continuing Master Indemnity Deed with HDFC Bank on August 4, 2025, marking a strategic shift in its banking relationships.

Credit Facility Consolidation

The company has successfully transferred existing credit facilities from other banks to HDFC Bank, combining them into a comprehensive credit package. The consolidated facility includes:

• A combined fund-based and non-fund-based credit facility of Rs 50.00 crore
• Rs 1.00 crore allocated for overdraft
• Rs 49.00 crore designated for purchase invoice financing

This move represents a consolidation of previous facilities, including Rs 30.00 crore and Rs 20.00 crore from other banks, now unified under HDFC Bank's umbrella.

Security Arrangements

To secure this substantial credit facility, Aelea Commodities has provided the following collateral:

1. First pari passu charge on stocks and book debts
2. Exclusive charge on commercial properties in Gujarat, including:
   • Plot No B-47, Survey No.243, Mega Food Park, Village Shah & Vasravi, State Highway 165, Near Town of Mota Miya Mangrol, Taluka Mangrol, District Surat, Gujarat 394421
   • Survey No. NA39/P2, Sheet No. NA99, Vasravi, Olpad, Surat, Gujarat
3. Personal guarantees from promoters Mr. Hozefa Jawadwala and Mr. Satyanarayan Patro

Implications and Disclosures

The company has clarified that this transaction does not fall under the category of a related party transaction. Additionally, HDFC Bank does not hold any shareholding in Aelea Commodities Limited.

In a separate but related development, Aelea Commodities also amended its existing credit facility of Rs 20.00 crore with DBS Bank India Limited, Delhi. The amendment, executed on the same day, involves modifying the security structure by removing Plant & Machineries from the list of hypothecated assets securing the loan.

These financial maneuvers demonstrate Aelea Commodities' proactive approach to managing its credit facilities and optimizing its banking relationships. The consolidation with HDFC Bank may potentially streamline the company's financial operations and provide more flexibility in its working capital management.