LT Foods Declares Rs 1 Interim Dividend, Reports Mixed Q1 Performance

2 min read     Updated on 24 Jul 2025, 02:45 PM
scanxBy ScanX News Team
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Overview

LT Foods announced an interim dividend of Rs 1 per share for FY2025-26. Q1 financial results show 20% revenue growth to Rs 2,501 crores, with EBITDA increasing to Rs 302 crores. The Basmati segment grew 14%, while Organic Food saw 34% growth. However, the Ready-to-Heat segment declined 16%. The company completed acquisition of Golden Star Trading Inc. and faces potential countervailing duty on organic soybean meal exports to the US.

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*this image is generated using AI for illustrative purposes only.

LT Foods , a leading Indian-origin global FMCG company, has announced a series of financial updates and strategic decisions, highlighting a mixed performance for the first quarter of the fiscal year 2025-26.

Interim Dividend Declaration

The Board of Directors of LT Foods has declared an interim dividend of Rs 1 per equity share for the financial year 2025-26. This decision, made during the board meeting held on July 24, 2025, demonstrates the company's commitment to delivering value to its shareholders. The record date for the dividend payment is set for August 1, 2025, with the distribution to eligible shareholders expected within 30 days of the declaration.

Q1 Financial Performance

LT Foods reported a mixed financial performance for the first quarter:

  • EBITDA Growth: The company's Q1 EBITDA reached Rs 2.65 billion, up from Rs 2.41 billion in the same period last year, indicating year-over-year growth.
  • EBITDA Margin: Despite the growth in absolute EBITDA, the margin declined to 10.80% from 11.63% in the corresponding quarter of the previous year.

Financial Highlights

The company's unaudited consolidated financial results for Q1 FY2026 reveal:

Metric Q1 FY2026 (₹ in crores) Q1 FY2025 (₹ in crores) YoY Growth
Revenue 2,501.00 2,088.00 20.00%
Gross Profit 867.00 700.00 24.00%
EBITDA 302.00 258.00 17.00%
EBIT 250.00 216.00 16.00%
Profit Before Tax 222.00 198.00 12.00%
Profit After Tax 169.00 155.00 9.00%

Segment Performance

LT Foods operates in three main segments:

  1. Basmati & Other Specialty Rice: This segment, accounting for 85% of revenue, grew by 14% year-over-year.
  2. Organic Food and Ingredients: Contributing 12% to revenue, this segment experienced significant growth of 34%.
  3. Ready-to-Heat (RTH) & Ready-to-Cook (RTC): This segment, representing 2% of revenue, saw a decline of 16% due to the discontinuation of 'Daawat Sehat' and capacity constraints.

Strategic Developments

  • LT Foods Americas Inc. completed the acquisition of the remaining 49% stake in Golden Star Trading Inc. for USD 15 million, making it a wholly-owned subsidiary.
  • The company is facing a preliminary determination of countervailing duty by the US Department of Commerce on organic soybean meal exports from India, affecting its subsidiary Ecopure Specialities Limited.

Outlook

Despite challenges in certain segments, LT Foods continues to focus on growth across geographies and product categories. The company's strategic initiatives, including acquisitions and product portfolio optimization, are aimed at strengthening its market position and driving long-term growth.

LT Foods will host an investor conference call on July 28, 2025, to discuss the Q1 FY2026 results in detail, providing further insights into its performance and future strategies.

As LT Foods navigates through a dynamic market environment, the company remains committed to its growth trajectory while managing challenges in specific business segments.

Historical Stock Returns for LT Foods

1 Day5 Days1 Month6 Months1 Year5 Years
-0.50%-3.05%+8.77%+31.85%+68.33%+157.18%
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LT Foods Reports 20% Revenue Growth in Q1 FY2026 Results

2 min read     Updated on 24 Jul 2025, 02:44 PM
scanxBy ScanX News Team
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Overview

LT Foods announced robust Q1 FY2026 financial results, with revenue increasing 20% to ₹2,501.00 crores. Gross profit rose 24% to ₹867.00 crores, EBITDA grew 17% to ₹302.00 crores, and PAT increased 9% to ₹216.00 crores. The Basmati & Other Specialty Rice segment led growth with an 18% revenue increase, while the Organic Food and Ingredients segment saw 32% growth. The company maintains leading market positions in Canada, USA, and India, and aims to achieve a 14%+ EBITDA margin within four years.

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*this image is generated using AI for illustrative purposes only.

LT Foods , a leading Indian-origin global FMCG company, has reported strong financial results for the first quarter of FY2026, demonstrating robust growth across key metrics.

Financial Highlights

  • Revenue: ₹2,501.00 crores, a 20% increase from ₹2,088.00 crores in Q1 FY2025
  • Gross Profit: ₹867.00 crores, up 24% year-over-year
  • EBITDA: ₹302.00 crores, up 17% from the previous year's Q1
  • PAT (Profit After Tax): ₹216.00 crores, a 9% increase year-over-year

Segment Performance

LT Foods' growth was driven by strong performance across its business segments:

Basmati & Other Specialty Rice

  • Revenue: ₹2,124.00 crores, up 18% year-over-year
  • Volume Growth: 19%
  • Contribution: 85% of total revenue

Organic Food and Ingredients

  • Revenue: ₹293.00 crores, a significant 32% growth

Ready-to-Heat (RTH) & Ready-to-Cook (RTC)

  • Revenue: ₹47.00 crores, a 16% decline
  • Decline attributed to discontinuation of 'Daawat Sehat' product line

Market Positions

Market Position
Canada #1 Basmati brand
USA #1 Jasmine rice brand
India 25.2% market share

Strategic Developments

  1. Working Capital Management: Working capital days improved to 195 from 202
  2. Future Target: The company aims to achieve a 14%+ EBITDA margin within four years

LT Foods continues to strengthen its position as a global FMCG leader, leveraging its strong brand portfolio and focus on sustainable growth across diverse markets.

Historical Stock Returns for LT Foods

1 Day5 Days1 Month6 Months1 Year5 Years
-0.50%-3.05%+8.77%+31.85%+68.33%+157.18%
like19
dislike
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