Bikaji Foods International Limited has completed the acquisition of the remaining 48.78% equity stake in its subsidiary Petunt Food Processors Private Limited (PFPL), transforming it into a wholly-owned subsidiary effective March 06, 2026. The transaction, valued at ₹8.00 crore, represents a strategic move to consolidate the company's operations in the South territory.

Transaction Details

The acquisition involved the purchase of 35,98,998 equity shares of PFPL, each with a face value of ₹10. Prior to this transaction, Bikaji Foods held a 51.22% equity stake in PFPL. With the completion of this acquisition, the company now owns 100% of PFPL's equity capital.

About Petunt Food Processors

PFPL, incorporated on September 14, 2017, operates in the Fast-Moving Consumer Goods (FMCG) industry. The company is engaged in manufacturing, processing, preparing, preserving, refining, buying, selling, packing, re-packing, labeling, and sorting of various food and food-related products, including sweets and namkeen food products.

Financial Performance

PFPL has demonstrated consistent growth over the past three years:

Capital Structure

PFPL maintains a robust capital structure with an authorized share capital of ₹8.00 crore, divided into 80,00,000 equity shares of ₹10 each. The paid-up share capital stands at ₹7,37,80,980, comprising 73,78,098 equity shares.

Strategic Rationale

The acquisition aims to consolidate Bikaji Foods' holding and establish full ownership and control over PFPL's operations, which form an integral part of the company's business in the South territory. The transaction was conducted on an arm's length basis, with the business activities of PFPL aligning with Bikaji Foods' main line of business.

Regulatory Compliance

The transaction was disclosed under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. As PFPL is a subsidiary, it qualifies as a related party under Section 188 of the Companies Act, 2013, and Regulation 23 of the SEBI Listing Regulations. Mr. Deepak Agarwal, a promoter of Bikaji Foods, also serves as a director in PFPL.

Bikaji Foods International Limited announced its unaudited financial results for the third quarter of FY26 ended December 31, 2025, demonstrating strong operational performance across key metrics. The company's Board of Directors approved the results at their meeting held on January 27, 2026, along with several strategic business decisions. Following the results announcement, management conducted an earnings conference call on January 28, 2026, providing detailed insights into performance drivers and strategic initiatives.

Financial Performance Highlights

The company delivered impressive financial results for Q3FY26, with significant growth in both revenue and profitability metrics.

Revenue from operations reached ₹71,654.78 lakhs in Q3FY26 compared to ₹65,963.84 lakhs in the corresponding quarter of the previous year, marking an 8.7% year-on-year increase. Other operating income contributed ₹1,413.10 lakhs during the quarter.

Performance Drivers and Market Dynamics

During the earnings call, CFO Rishabh Jain explained that Q3FY26 represented "a story of 2 halves." While the sweet business experienced negative growth due to early Diwali celebrations in October, the core snacking categories demonstrated robust performance. Ethnic snacks grew at 13.5% while Western snacks achieved over 20% growth, resulting in an overall snack category growth of 14%.

The company benefited from GST rate reduction implemented in September, which enabled volume growth improvements. Management reported volume growth of 8.4% for the quarter, with ethnic snacks and Western snacks showing particularly strong momentum.

Nine-Month Performance Analysis

For the nine-month period ended December 31, 2025, the company maintained its growth trajectory with consistent performance improvements.

The nine-month results reflect the company's ability to sustain growth momentum throughout the fiscal year, with profit margins showing substantial improvement.

Strategic Business Initiatives

The Board of Directors approved several key strategic decisions during their January 27, 2026 meeting, focusing on expansion and diversification initiatives.

Joint Venture for Bakery Business

The company executed a Joint Venture cum Shareholders Agreement with Mr. Deepak Agarwal, Managing Director, and Mr. Thayekunni Khaleel, Founder of Brand 'Bakemart'. This strategic partnership aims to synergize combined experience and expertise for undertaking frozen and bakery business operations in India through Bikaji Bakes Private Limited. The venture will focus on premium breads, cakes, and frozen products with potential to generate ₹100 crore in revenue over three years.

Marketing and Distribution Expansion

COO Manoj Verma highlighted successful marketing campaigns during the quarter. The "Bhujia Ho Toh Bikaji" campaign launched in September delivered strong results in the Bhujia category, contributing to 16-17% growth in traditional snacks. Additionally, the company launched a UP-specific campaign "Kya Baat Hai Ji" featuring Pankaj Tripathi, while continuing its national partnership with Amitabh Bachchan.

The company's distribution network expanded to 1.4 million outlets with direct reach of 3.35 lakh outlets. The retail business achieved 86% growth, generating ₹47 crore revenue from 23 stores.

Operational and Regulatory Updates

During the current quarter, the company implemented a change in accounting policy for inventory valuation, transitioning from First-In First-Out (FIFO) to Weighted Average Cost (WAC) method. This change was made to better reflect consumption patterns in the manufacturing environment and provide more reliable information.

The company also addressed compliance with new labour codes consolidated by the Government of India on November 21, 2025. Management confirmed that the company is already compliant with basic wage criteria for own employees, with no material impact expected.

Consolidated Results Overview

On a consolidated basis, the company reported total revenue from operations of ₹79,001.43 lakhs for Q3FY26, compared to ₹71,354.56 lakhs in Q3FY25. Consolidated net profit attributable to owners reached ₹6,217.96 lakhs, significantly higher than ₹2,874.89 lakhs in the corresponding previous quarter.

The trading window for equity shares will reopen from January 30, 2026, following the completion of the results announcement process.