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.

Bikaji Foods International Limited (BFIL), a prominent Indian snack food company, has taken a significant step towards enhancing its corporate social responsibility (CSR) efforts. The company recently received approval from the Ministry of Corporate Affairs (MCA) to incorporate a wholly-owned non-profit subsidiary named Bikaji Foundation.

Key Details of the Incorporation

The Bikaji Foundation, incorporated as a Section 8 company under the Companies Act, 2013, is set to play a crucial role in BFIL's social development initiatives. Here are the essential details of the incorporation:

Purpose and Scope

The primary objective of the Bikaji Foundation is to implement social development programs and execute Corporate Social Responsibility (CSR) initiatives as outlined in Schedule VII of the Companies Act, 2013. This strategic move is expected to provide operational autonomy in the execution of CSR activities while ensuring regulatory compliance.

Structure and Governance

As a company limited by guarantee, the Bikaji Foundation operates without share capital. Instead, it has seven members who have each undertaken a guarantee of ₹1,000.00. Notably, six of these members are nominee subscribers on behalf of Bikaji Foods International Limited, underlining the parent company's commitment to the foundation's objectives.

Implications for Bikaji Foods International

The establishment of this non-profit subsidiary signifies BFIL's dedication to structured and impactful CSR initiatives. By creating a separate entity for these activities, the company aims to enhance focus, transparency, and effectiveness in its social responsibility efforts.

This development aligns with the growing trend of corporate India taking a more organized approach to CSR, potentially setting a benchmark for other companies in the food and beverage sector.

As Bikaji Foods International continues to grow its business operations, the Bikaji Foundation is expected to play a pivotal role in channeling the company's resources towards meaningful social impact, thereby strengthening its corporate citizenship profile.