Heritage Foods Limited has announced a key leadership change with the resignation of Mr. Puneet Kusumbia, Vice President (Marketing) and Senior Management Personnel. The company informed stock exchanges BSE and NSE about this development on February 6, 2026, in compliance with SEBI Listing Regulations.

Resignation Details

Mr. Kusumbia submitted his resignation on February 5, 2026, citing personal reasons for his departure. The company has accepted his resignation and he will be relieved from his duties on or before May 5, 2026.

Professional Contribution

In his resignation email, Mr. Kusumbia acknowledged his 3-year journey with Heritage Foods, during which he had the opportunity to learn and contribute to taking the brand and marketing agenda forward. He expressed gratitude to the management team for their constant support and guidance in enabling him to conduct his duties effectively.

Regulatory Compliance

The announcement was made in compliance with Regulation 30 read with Schedule III, Part A, Para A (7) of the SEBI Listing Regulations. As Vice President (Marketing), Mr. Kusumbia was classified as Senior Management Personnel under Regulation 16(1)(d) of SEBI Listing Regulations, making this disclosure mandatory.

Company Communication

The formal intimation was signed by Umakanta Barik, Company Secretary & Compliance Officer, and included the required annexures detailing the change in senior management personnel. The company requested both stock exchanges to take this information on record as compliance with applicable SEBI provisions.

Mr. Kusumbia concluded his resignation by wishing Heritage Foods the best in their future endeavors, marking the end of his tenure in the marketing leadership role at the dairy and food products company.

Heritage Foods Limited announced its Q3FY26 financial results for the quarter ended December 31, 2025, presenting a mixed performance with revenue growth accompanied by declining profitability. The dairy and food products company reported results that reflect both operational expansion and margin pressures during the quarter.

Financial Performance Overview

The company's standalone financial results showed contrasting trends in revenue and profitability metrics. While the top line demonstrated healthy growth, bottom line performance faced headwinds during the quarter.

Nine-Month Performance Analysis

The nine-month period ended December 31, 2025, reflected similar patterns with revenue growth but reduced profitability compared to the corresponding period in the previous year.

Management Insights from Earnings Call

During the earnings conference call held on January 29, 2026, management provided detailed insights into the challenging operating environment. Dr. M. Sambasiva Rao, Whole-Time Director, highlighted that the quarter was marked by an unusually tight industry supply environment, even during what is typically a seasonally strong flush quarter.

Milk Procurement Challenges

The company faced significant milk procurement challenges during the quarter. Management reported that milk procurement volumes declined for the first time in several years, with Q3 procurement averaging 16.73 lakh liters per day, down 9% year-on-year. This marked a departure from three consecutive years of 9% to 10% year-on-year growth in procurement volumes.

Pricing and Cost Pressures

Management disclosed that milk procurement prices increased by 9% year-on-year, with the weighted average procurement price reaching ₹45.57 for the quarter and ₹46.01 in December. The company managed to pass on approximately 4.9% price increase to consumers in milk products, while value-added products saw price increases of 6.6%.

Segment-wise Business Performance

Heritage Foods operates primarily through two business segments, with dairy forming the core revenue driver and renewable energy providing additional income streams.

Dairy Segment Results

The dairy segment generated revenue of ₹10,912.84 million in Q3FY26 compared to ₹10,195.46 million in Q3FY25. Segment profit before finance costs and tax stood at ₹396.14 million versus ₹547.41 million in the previous year quarter.

Renewable Energy Operations

The renewable energy segment contributed ₹17.11 million in revenue during Q3FY26, up from ₹12.94 million in Q3FY25. The segment reported profit of ₹18.75 million compared to a loss of ₹2.56 million in the corresponding quarter last year.

Value-Added Products Performance

Value-added products remained central to the company's growth strategy during the quarter. Value-added product volumes grew 6.8% year-on-year with strength visible across curd, paneer, drinkables, ghee and ice cream categories. Including ghee and butter consumer packs, value-added product revenues grew 22.6% year-on-year, contributing 38% of total revenue compared to 33.8% in the corresponding period last year.

Consolidated Financial Results

On a consolidated basis, Heritage Foods reported net profit of ₹345.98 million for Q3FY26 against ₹430.54 million in Q3FY25, representing a decline of 19.6%. Consolidated revenue from operations increased to ₹11,191.58 million from ₹10,339.35 million, showing growth of 8.2%.

Capacity Expansion and Strategic Initiatives

Management confirmed that capacity additions remain firmly on track. The Hyderabad ice cream plant is progressing as planned with trial production underway and commercial commissioning expected in the current quarter. The flavored milk plant is also expected to be commissioned in the current quarter. The ice cream plant has potential to deliver ₹500-600 crores of revenue over 6-7 years, while the flavored milk facility targets ₹120 crores revenue potential.

Key Financial Highlights

The company's financial structure remained stable with paid-up equity share capital of ₹463.98 million. Total comprehensive income for Q3FY26 stood at ₹306.14 million on standalone basis and ₹347.21 million on consolidated basis. During the quarter, the company recognized a onetime increase in provision for defined benefit obligations of ₹27.42 million on standalone basis following notification of new labor codes.