Kriti Nutrients , a prominent player in the oil seed extraction and refining industry, has reported a significant decline in its net profit for the quarter ended June 30. The company's financial results, approved by the board of directors on August 12, reveal a mixed performance with increased revenue but reduced profitability.

Financial Highlights

• Net Profit: ₹920.84 crore, down 35.5% from ₹1,427.26 crore in the same quarter last year
• Revenue from Operations: ₹22,904.04 crore, up 21.9% from ₹18,781.56 crore year-over-year
• Total Expenses: ₹21,922.42 crore, increased from ₹17,069.29 crore in the previous year quarter
• Earnings Per Share (EPS): Decreased to ₹1.84 from ₹2.85 in the corresponding quarter

Performance Analysis

Kriti Nutrients witnessed a substantial growth in its revenue from operations, which rose by 21.9% to ₹22,904.04 crore. This increase in revenue indicates strong demand for the company's products and an expansion of its market presence.

However, the significant rise in total expenses, which increased by 28.4% to ₹21,922.42 crore, outpaced the revenue growth. This surge in expenses has considerably impacted the company's profitability for the quarter.

Expense Breakdown

A closer look at the expense structure reveals:

The substantial increase in the cost of materials consumed indicates potential challenges in managing raw material costs, which could be attributed to various factors such as supply chain disruptions or commodity price fluctuations.

Management Commentary

Shiv Singh Mehta, Chairman & Managing Director of Kriti Nutrients, stated in the board meeting outcome, "The company has demonstrated strong revenue growth in a challenging environment. While our top-line performance is commendable, we are actively addressing the increase in expenses to improve our bottom-line results in the coming quarters."

Segment Performance

Kriti Nutrients continues to operate in a single business segment, namely Oil Seed Extraction and Refining, as per Ind AS 108 Operating Segments.

Consolidated Results

On a consolidated basis, which includes the results of its associate company Kriti Industries (India) Limited, Kriti Nutrients reported a net profit of ₹948.97 crore for the quarter. The company's investment in Kriti Industries (India) Limited constitutes 6.24% of its share capital.

Auditor's Review

M Mehta & Company, the statutory auditors, have expressed an unmodified audit opinion on the financial results, indicating that the statements are free from material misstatements and are in accordance with the applicable accounting standards.

The financial results of Kriti Nutrients reflect the challenges faced by the company in maintaining profitability despite strong revenue growth. As the company navigates through increased operational costs, investors and stakeholders will be keenly watching its strategies to improve profit margins in the upcoming quarters.

Kriti Nutrients Limited, a prominent player in the Indian food processing industry, has announced its final dividend for the fiscal year 2024-25. The company's board has proposed a dividend of Rs 0.30 per equity share, subject to shareholder approval at the upcoming 29th Annual General Meeting (AGM).

Dividend Details

Key Points

• The company has set August 6, 2025, as the record date for determining shareholders eligible to receive the proposed final dividend.
• Shareholders whose names appear on the company's register of members on the record date will be entitled to the dividend, subject to approval at the AGM.
• The dividend will be subject to tax deduction as per applicable regulations.
• The book closure period will run from August 7 to August 13, 2025 (both days inclusive).

Annual General Meeting

Kriti Nutrients Limited will hold its 29th Annual General Meeting during the book closure period. The AGM will serve as the platform for shareholders to approve the proposed dividend, among other agenda items.

Regulatory Compliance

The company has duly informed the National Stock Exchange of India Limited (NSE) and BSE Limited about the dividend record date and book closure period, in compliance with Regulation 42 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Investors and shareholders are advised to take note of the important dates to ensure their eligibility for the final dividend. The actual payment of the dividend will be subject to approval at the AGM and applicable tax deductions.

Kriti Nutrients Limited continues to maintain transparency in its financial dealings, providing timely information to its stakeholders through proper channels as mandated by regulatory authorities.