Despite reporting a rise in net profit by 31.1 percent QoQ and 55.7 percent YoY, the share price of this FMCG stock moved down by 2.5 percent on BSE to hit an intraday low at Rs. 228.25 in the morning trading session of Friday, compared to its previous closing price of Rs. 234.1.
With a market capitalisation of Rs. 2,518.62 crore, at 10:54 a.m., the shares of ADF Foods Limited were trading in the red at Rs. 229.25, down by 2.07 percent.
The fluctuations in the share prices were observed after the company announced the financial results for Q4 FY23-24 and FY24, through the recent filings with the stock exchanges on Thursday post-market hours.
The consolidated revenue from operations jumped by 18.5 percent QoQ to Rs. 153.6 crore in Q4 FY23-24 from Rs. 129.7 crore in Q3 FY23-24, while it increased by 24.8 percent YoY from Rs. 123.1 crore in Q4 FY22-23 to Rs. 153.6 crore in Q4 FY23-24.
The net profit of the company stood at Rs. 25 crore in Q4 FY23-24, rising by 55.7 percent YoY from Rs. 16.1 crore in Q4 FY22-23, and by 31.1 percent QoQ from Rs. 19.1 crore in Q3 FY23-24.
The Earnings Before Interest, Taxes, Depreciation and Amortisation or EBITDA increased from Rs. 80.6 crore in FY22-23 to Rs. 104.9 crore in FY23-24, representing a growth of 30.1 percent YoY.
In FY23-24, the company launched several new products across various categories including frozen sweets, snacks, bread, canned sweets, dips, sauces and pickles under the ‘Ashoka’ brand, whereas, under the ‘SOUL’ brand, it added leading e-commerce platforms including Swiggy Instamart for a wider reach.
Further, the company’s Board has recommended a final dividend of Rs. 1.20 per equity share of face value Rs. 2 each for FY23-24, and the record date for the final dividend is fixed as July 26, 2024.
The stock has delivered positive returns of nearly 37.4 percent in the last one year, while around 0.2 percent in the last six months. So far in 2024, the company has given about 14.12 percent of positive returns.
ADF Foods Limited is a consumer-focused company and a leader in prepared ethnic food offering frozen foods, ready-to-eat (RTE) items, ready-to-cook (RTC) items, sauces, pickles, pastes and dips under its eight brands.
The company manufactures, distributes, and markets Indian food along with organic Mexican and natural meat alternative foods, and its products are available in over 55 countries through a strong distribution network across the US, Canada, Europe, Australia, Asia and Middle East.
Written by Shivani Singh
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