Dodla Dairy Limited , a prominent player in the Indian dairy industry, has reported mixed results for the second quarter, with revenue growth offset by a decline in EBITDA.

Financial Highlights

Dodla Dairy reported Q2 revenue of ₹10.19 billion, up from ₹10.00 billion in the same quarter last year, showing modest growth. However, the company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) declined to ₹928.00 million from ₹962.00 million year-over-year.

Profitability Metrics

The EBITDA margin compressed to 9.11% from 9.64% in the previous year's corresponding quarter, indicating some pressure on profitability. Despite this, the company's consolidated net profit for Q2 rose by 3.6% year-over-year to ₹657.00 million, up from ₹634.00 million in the same period last year, marking a growth of ₹23.00 million.

Revenue Breakdown

The company's revenue from operations for the quarter stood at ₹10,188.22 million. Dodla Dairy's performance in its home market remained strong, with domestic revenues reaching ₹9,037.58 million for the quarter.

International Presence

Dodla Dairy's international operations contributed significantly to its overall performance. The company reported revenues of ₹1,150.64 million from its operations outside India, underscoring its growing global footprint in the dairy sector.

Strategic Acquisition

In a significant move to expand its market presence, Dodla Dairy completed the acquisition of HR Food Processing Private Limited, also known as Osam Dairy, for a consideration of ₹2,710.00 million. This strategic acquisition is expected to strengthen Dodla Dairy's position in the market and potentially contribute to future growth.

Board Expansion and Corporate Governance

The company has also taken steps to enhance its corporate governance structure. The Board of Directors has approved the re-appointment of Dr. Raja Rathinam as a Non-executive Independent Director for a second term of five years, subject to shareholder approval.

Dr. Rathinam brings over 41 years of experience in the dairy industry to Dodla Dairy's board. His extensive background includes roles with various dairy organizations and consultancy for international bodies like the World Bank. Dr. Rathinam's reappointment is expected to provide valuable insights and guidance as the company navigates its growth trajectory.

Looking Ahead

While Dodla Dairy has shown resilience in its Q2 performance with revenue growth, the company faces challenges in maintaining profitability as evidenced by the decline in EBITDA and margin compression. The strategic acquisition of Osam Dairy and the strengthening of its board indicate that Dodla Dairy is positioning itself for long-term success in the dairy industry.

Investors and industry observers will be watching closely to see how these strategic moves translate into financial performance in the coming quarters, as Dodla Dairy continues to expand its operations both domestically and internationally.

Dodla Dairy Limited has successfully finalized its acquisition of HR Food Processing Private Limited (OSAM), marking a significant corporate move in the dairy industry. The company announced the completion of this strategic acquisition on July 31, 2025, following through on its earlier intimation from July 11, 2025.

Acquisition Details

The acquisition involves the purchase of both equity and preference shares of OSAM:

• 2,11,152 fully paid-up equity shares of Rs. 10.00 each, representing 100% of OSAM's equity share capital
• 4,99,303 compulsory convertible preference shares of Rs. 100.00 each, constituting 100% of OSAM's preference share capital

This transaction was executed entirely through cash consideration, although the exact financial terms were not disclosed.

Strategic Implications

With this acquisition, HR Food Processing Private Limited (OSAM) has become a wholly-owned subsidiary of Dodla Dairy Limited. This move is likely to strengthen Dodla Dairy's market position and potentially expand its product portfolio or operational capabilities in the food processing sector.

Corporate Disclosure

The completion of this acquisition was reported by Dodla Dairy Limited in compliance with Regulation 30 of SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015. The company made this information available to both the BSE Limited and the National Stock Exchange of India Limited.

Company Statement

Surya Prakash M, Company Secretary & Compliance Officer of Dodla Dairy Limited, confirmed the successful completion of the acquisition in an official statement to the stock exchanges. The company has also made this information available on its website, www.dodladairy.com , ensuring transparency for its stakeholders.

This strategic move by Dodla Dairy Limited underscores the company's commitment to growth and expansion in the dairy and food processing sectors. Investors and industry observers will likely be keen to see how this acquisition impacts Dodla Dairy's operations and financial performance in the coming quarters.