Gujarat Ambuja Exports Reports Mixed Q2 Results: Revenue Up, Profit Down

Gujarat Ambuja Exports Limited (GAEL) has released its financial results for the second quarter, revealing a mixed performance with revenue growth but a decline in profitability.

Revenue Growth

The company reported a significant increase in revenue, which rose to 14.87 billion rupees in Q2, up from 11.25 billion rupees in the same period last year. This represents a year-over-year growth of approximately 32.2%, indicating strong top-line performance.

Profit Decline

Despite the revenue growth, GAEL experienced a substantial decrease in net profit. The company's net profit for the quarter stood at 380.8 million rupees, down from 695 million rupees in the corresponding quarter of the previous year. This marks a decline of about 45.2% in net profit.

EBITDA and Margin Compression

The company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) also saw a decrease:

Metric	Q2 Current Year	Q2 Previous Year	Change
EBITDA (in million rupees)	758.70	1,100.00	-31.0%
EBITDA Margin	5.10%	9.79%	-4.69 percentage points

The EBITDA margin compressed significantly from 9.79% to 5.10%, indicating pressure on the company's operational efficiency.

Management Appointments

In a separate announcement, GAEL's Board of Directors approved the appointment of three new Additional Directors in the category of Non-Executive & Independent Directors, each for a term of five consecutive years, subject to shareholder approval:

Mr. Dukhabandhu Rath (DIN: 08965826)
Mr. Yogesh Ghanshyambhai Shah (DIN: 11203883)
Ms. Gauri Trivedi (DIN: 06502788)

These appointments may bring fresh perspectives and expertise to the company's board.

Conclusion

While Gujarat Ambuja Exports Limited has shown strong revenue growth in the second quarter, the decline in profitability and margin compression suggest challenges in maintaining cost efficiency. Investors and stakeholders will likely be watching closely to see how the company addresses these issues and leverages its revenue growth to improve bottom-line performance in the coming quarters.

The addition of new independent directors to the board may also signal the company's commitment to strengthening its corporate governance and bringing in diverse expertise to navigate the current business environment.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+1.64%	+4.47%	+4.64%	+1.42%	-17.44%	+95.52%

Gujarat Ambuja Exports Limited (GAEL) has announced its financial results for the second quarter and half year ended September 30, 2025, along with significant changes to its board composition.

Financial Performance

For the quarter ended September 30, 2025, GAEL reported:

Particulars (in ₹ Crore)	Q2 2025	Q2 2024	% Change
Revenue from Operations	1,486.69	1,124.64	+32.19%
Total Income	1,505.87	1,144.53	+31.57%
Profit Before Tax	50.85	94.45	-46.16%
Net Profit	38.08	69.53	-45.23%

The company's revenue from operations increased by 32.19% year-over-year. However, profitability declined, with net profit decreasing by 45.23% compared to the same quarter last year.

Segment Performance

GAEL's performance across its business segments for Q2 2025 was as follows:

Maize Processing Division: Revenue of ₹755.45 crore
Other Agro Processing Division: Revenue of ₹713.31 crore
Spinning Division: Revenue of ₹15.54 crore
Renewable Power Division: Revenue of ₹2.39 crore

The Other Agro Processing Division showed substantial growth, while the Maize Processing Division remained the largest revenue contributor.

Board Appointments

The Board of Directors has approved the appointment of three new Additional Directors in the category of Non-Executive Independent Directors, each for a term of five consecutive years, effective November 8, 2025, subject to shareholder approval:

Mr. Dukhabandhu Rath: A banking professional with nearly four decades of experience, including 36 years at State Bank of India.
Mr. Yogesh Ghanshyambhai Shah: A Chartered Accountant with over 40 years of experience, primarily with Deloitte.
Ms. Gauri Trivedi: A former IAS officer with 22 years of service, currently serving as an Advisor to Sanskardham and holding board positions in several companies.

These appointments aim to strengthen the company's governance and bring diverse expertise to the board.

Outlook

While GAEL has shown strong revenue growth, the decline in profitability may be a point of concern for investors. The company's diversified business segments and the addition of experienced board members could potentially support its strategic initiatives and future plans.

Investors and stakeholders will likely keep a close watch on how these new appointments and the company's performance across various segments may impact its future trajectory in the agro-processing and export market.