Gopal Snacks Targets 20% Revenue Growth with Geographic Expansion and Product Portfolio Enhancement

2 min read     Updated on 10 Nov 2025, 08:24 PM
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Reviewed by
Naman SharmaScanX News Team
Overview

Gopal Snacks Limited, a leading Indian packaged snacks manufacturer, has announced a growth strategy aiming for a 20% revenue increase. The plan focuses on expanding in Western and Southern India, strengthening premium product lines, launching new products, enhancing distribution, and penetrating rural markets. Despite recent year-on-year declines in revenue and profitability, the company showed sequential growth. Gopal Snacks has entered agreements for third-party manufacturing facilities in Karnataka and Uttarakhand, partnered with Filmfare Awards 2025, and received an interim insurance payment for fire-affected assets in Rajkot.

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

Gopal Snacks Limited , a leading manufacturer of packaged snacks in India, has unveiled an ambitious growth strategy aimed at achieving a 20% revenue increase. The company plans to expand its footprint in Western and Southern India while strengthening its premium namkeen and ready-to-eat product portfolio.

Key Growth Initiatives

The company's multi-pronged approach includes:

  1. Geographic Expansion: Focusing on penetrating markets in Western and Southern India to broaden its consumer base.
  2. Product Innovation: Launching new products in the extruded and baked categories to cater to evolving consumer preferences.
  3. Distribution Enhancement: Investing in distribution automation to improve supply chain efficiency and market reach.
  4. Rural Market Penetration: Expanding into rural markets to tap into a growing consumer segment.
  5. Margin Improvement: Expecting better margins through scale operations, backward integration, and product premiumization.

Financial Performance

According to the company's recent financial results:

Metric Q2 FY2026 Q2 FY2025 YoY Change
Revenue ₹375.70 ₹402.60 -6.70%
EBITDA ₹24.10 ₹46.80 -48.40%
EBITDA Margin 6.40% 11.60% -520 bps
PAT ₹25.70 ₹28.90 -11.10%

Despite a year-on-year decline in revenue and profitability, the company showed sequential growth, with revenue increasing by 16.6% compared to Q1 FY2026.

Operational Highlights

  • The company has entered into long-term agreements for third-party manufacturing facilities in Hiryur (Karnataka) and Kashipur (Uttarakhand) to strengthen its presence in Southern and Northern markets respectively.
  • Gopal Snacks collaborated as the Official Snacks Partner for the Filmfare Awards 2025, enhancing its brand visibility across various platforms.
  • The company received an interim payment of ₹19.99 crore from its insurer for the fire-affected assets at its Rajkot facility.
  • A first interim dividend of ₹0.25 per share (25%) was declared.

Future Outlook

Mr. Bipinbhai Hadvani, Chairman and Managing Director, stated, "We remain focused on building a strong, scalable, and efficient business model. The expansion of our manufacturing base, improving distribution reach, and ongoing brand initiatives position us well to capture long-term opportunities in India's growing snacks market."

As Gopal Snacks implements its growth strategy, the company aims to leverage its expanded manufacturing capabilities, enhanced distribution network, and innovative product lineup to drive sustainable growth in the competitive packaged snacks industry.

Challenges and Opportunities

While the company faces challenges such as the temporary closure of its Rajkot I manufacturing facility due to a fire incident in December 2024, it has demonstrated resilience by scaling up production at other facilities and establishing a temporary manufacturing unit in Gondal, Rajkot.

The snack food market in India continues to present significant growth opportunities, driven by changing consumer preferences, urbanization, and increasing disposable incomes. Gopal Snacks' focus on product innovation and market expansion aligns well with these trends, positioning the company to potentially capture a larger market share in the coming years.

Historical Stock Returns for Gopal Snacks

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Gopal Snacks Reports Strong Q2 Results, Declares Interim Dividend and Authorizes ₹200 Crore Acquisition Budget

1 min read     Updated on 10 Nov 2025, 06:30 PM
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Reviewed by
Jubin VergheseScanX News Team
Overview

Gopal Snacks Limited reported a net profit of ₹256.92 million for Q2 FY2026, with revenue from operations at ₹3,700.44 million. The company declared a first interim dividend of ₹0.25 per share. An exceptional gain of ₹215.30 million was reported from insurance claims related to a fire incident at its Rajkot plant. The Board authorized exploring acquisition opportunities up to ₹200 crores. Operations continue through Modasa and Nagpur facilities, with a temporary facility established in Gondal to restore production capacity.

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

Gopal Snacks Limited , a leading manufacturer of packaged snacks in India, has reported its financial results for the second quarter ended September 30, 2025, showing signs of recovery and growth.

Financial Performance

The company reported impressive financial results for Q2 FY2026:

  • Net profit of ₹256.92 million, compared to ₹25.26 million in the previous quarter
  • Revenue from operations stood at ₹3,700.44 million
  • Basic earnings per share of ₹2.06

Gopal Snacks also reported an exceptional gain of ₹215.30 million related to insurance claims and scrap sales from a fire incident at its Rajkot plant in December 2024.

Dividend Declaration

The company has declared a first interim dividend of ₹0.25 per share (25%) on equity shares with a face value of ₹1 each for the financial year 2025-26. The dividend is payable by December 9, 2025, with the record date for dividend eligibility set for November 17, 2025.

Strategic Initiatives

The Board has authorized Chairman and Managing Director Bipinbhai Vithalbhai Hadvani to evaluate acquisition opportunities up to ₹200 crores in similar business lines. Any potential acquisitions will require prior Board approval before finalization.

Operational Updates

Following the fire incident at the Rajkot plant in December 2024, Gopal Snacks has taken several steps to maintain operations and restore production capacity:

  • Continued operations through its Modasa and Nagpur facilities
  • Establishment of a temporary manufacturing facility in Gondal to restore production capacity
  • The Rajkot facility remains temporarily closed

Future Outlook

With the authorization to explore acquisition opportunities and the steps taken to recover from the Rajkot plant incident, Gopal Snacks appears to be focusing on both organic and inorganic growth strategies. The strong financial performance in Q2, coupled with the dividend declaration, suggests confidence in the company's financial position and future prospects.

Investors and market watchers will likely be monitoring the company's progress in potential acquisitions, the full recovery of its production capacity, and its ability to maintain the growth momentum in the coming quarters.

Historical Stock Returns for Gopal Snacks

1 Day5 Days1 Month6 Months1 Year5 Years
-0.52%-4.39%-2.15%+18.19%-25.56%-7.76%
Gopal Snacks
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