Orkla India Reports Financial Results for Quarter Ended September 2025

Orkla India , a leading multi-category food company, has announced its unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2025. The results were approved by the Board of Directors at a meeting held on November 13, 2025.

Initial Public Offering

Orkla India Limited completed its Initial Public Offering (IPO) of 22,843,008 equity shares at an issue price of Rs. 730 per share. The company raised total proceeds of Rs. 16,673.30 million through an offer for sale. The company's equity shares were listed on the National Stock Exchange of India Limited (NSE) and BSE Limited on November 6, 2025.

Financial Results Overview

The financial results were reviewed by the Audit Committee and approved by the Board. Statutory auditors S.R. Batliboi Associates LLP conducted a limited review of the unaudited financial results.

Revenue Growth Driven by Volume

Orkla India reported consolidated revenue of Rs. 6,502.80 million, representing a 4.9% year-over-year increase from Rs. 6,197.60 million in the previous year's quarter. The company attributed this growth primarily to strong volume performance, with overall volume growth of 7.7% during the quarter.

Segment Performance

The company's convenience foods category was a standout performer, achieving robust revenue growth of 19.2% year-over-year. This growth was largely driven by strong festive season demand, particularly in the South Indian sweets category, which grew by 26.4% compared to the previous year.

Orkla India's spices segment saw volume growth of 5.9% year-over-year. However, overall spices revenue growth remained subdued at 0.1% due to continued deflationary pressure on key raw material prices.

Profitability Decline

Despite the revenue growth, Orkla India experienced a decline in profitability during the quarter:

The company cited increased advertisement and promotion expenses during the festive season, one-time expenses related to GST 2.0 migration, and reduction in production linked incentives as factors impacting profitability. Excluding these one-time expenses, Orkla India stated that its adjusted EBITDA grew by 7.6% in the quarter.

International and Digital Growth

Orkla India's international business showed promising results, with the Gulf Cooperation Council (GCC) region, one of its largest markets, experiencing strong growth of 14.7% year-over-year. This growth was driven by good offtake in convenience foods and the Arabic range of spices.

The company's digital commerce initiatives continued to gain traction, with 48.7% year-over-year growth. Digital commerce has grown at a 41.5% CAGR from FY2023 to FY2025, making it the fastest-growing channel for Orkla India.

Outlook

Looking ahead, Orkla India remains optimistic about its growth prospects. The company plans to continue leveraging its brand strength, product innovation capabilities, and expanding digital presence to drive growth in the coming quarters. With a supportive macro-environment backdrop, Orkla India aims to sustain its growth momentum across its diverse product portfolio.

As Orkla India navigates the competitive landscape of the Indian food industry, investors and analysts will be closely watching how the company balances volume growth with profitability in the upcoming quarters.