Manorama Industries , a key player in the Indian market, has reported robust financial results for the second quarter, showcasing significant growth across key metrics.

Financial Highlights

The company's performance demonstrates substantial year-on-year improvements:

*pp: percentage points

Performance Analysis

Manorama Industries has delivered a stellar performance in the second quarter, with net profit more than doubling compared to the same period last year. The company's revenue saw a substantial increase of 65.6% year-on-year, reaching ₹3,230.00 crore.

Operational Efficiency

The company's operational efficiency has shown marked improvement:

• EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) grew by 94%, from ₹452.00 crore to ₹877.00 crore.
• The EBITDA margin expanded by 3.99 percentage points, rising from 23.13% to 27.12%, indicating enhanced operational efficiency alongside revenue growth.

This impressive growth in EBITDA and improvement in EBITDA margin suggest that Manorama Industries has successfully managed its operational costs while expanding its business.

Conclusion

Manorama Industries' Q2 results reflect a period of strong growth and improved operational efficiency. The significant increases in revenue and net profit, coupled with an enhanced EBITDA margin, indicate that the company has effectively capitalized on market opportunities while managing its costs. These results demonstrate the company's robust financial performance during the quarter.

Manorama Industries Limited , a global leader in specialty fats and butters, has revised its revenue guidance for fiscal year 2026 upwards to over ₹1,150 crore. This increase from the previous target of ₹1,050 crore reflects the company's robust performance and positive outlook in the specialty fats sector.

Drivers of Growth

The company attributes this upward revision to several key factors:

1. Growing demand for specialty fats
2. Global expansion initiatives
3. Capacity upgrades

These elements are expected to drive top-line growth and may lead to improvements in margins and return on capital employed (ROCE).

Financial Performance

Manorama Industries' recent financial results underscore its strong trajectory:

The company's EBITDA margin expanded by 530 basis points year-over-year to reach 27.2% in H1 FY26, while the PAT margin improved by 497 basis points to 17.2%.

Strategic Initiatives

Ashish Saraf, Chairman and Managing Director of Manorama Industries, highlighted several strategic moves contributing to the company's growth:

1. Capacity Expansion: A fractionation capacity increase from 40,000 to 52,000 MTPA is planned, with a scheduled plant modification and maintenance shutdown in Q3 FY26.

2. Global Partnerships: The company has expanded its presence in Africa and Latin America, including an MoU with the Government of Burkina Faso and a partnership with Dekel Agroindustria in Brazil.

3. Land Acquisition: Approximately ₹18 crore invested in purchasing 20 acres of land adjacent to its Birkoni facility for future expansion.

4. Operational Efficiency: Improved working capital management, with working capital days reduced from 151 in FY25 to 97 in H1FY26.

Sustainable Growth Model

Manorama Industries continues to leverage its 'waste-to-wealth' sourcing model, which empowers rural and tribal communities while ensuring a sustainable supply chain for its specialty fats and butters.

Outlook

With a strong balance sheet and disciplined financial management, Manorama Industries is well-positioned to capitalize on the growing demand for specialty fats in the chocolate, confectionery, and cosmetics industries. The company's focus on value-added products and operational excellence is expected to drive sustained growth and profitability in the coming years.

As Manorama Industries continues to expand its global footprint and enhance its production capabilities, it remains committed to creating sustainable value for all stakeholders while maintaining its leadership position in the specialty fats and butters market.