The shares of this Research & Development focused agri-business company belonging to the Godrej group, came into focus on Wednesday after the company announced the acquisition of remaining stake in Creamline Dairy Products for Rs. 930 crore.
Stock Performance
With a market capitalization of Rs 14,463.83 crore, Godrej Agrovet Ltd surged over 4 percent to an intraday high of Rs 766.75 per share compared to its previous closing price of Rs 735.65 per share. The shares retraced and were trading at Rs 752.30, which is 2 percent higher than the previous close.
What Happened
Godrej Agrovet Limited has announced the acquisition of the remaining 48.06 percent equity stake in Creamline Dairy Products Limited (CDPL) for Rs 930 crore, making it a wholly-owned subsidiary upon completion. Previously, the company held a 51.94 percent controlling stake in CDPL. After this transaction which is expected to be completed by September 30, 2025, Godrej Agrovet will own 100 percent of the company.
CDPL is a leading private dairy company in southern India, marketing its products under the Godrej Jersey brand. In FY24 the company recorded a turnover of Rs 1,540.50 crore.
Company Overview
Godrej Agrovet Limited is an Indian agribusiness company engaged in manufacturing and marketing crop protection products, agricultural inputs, animal feed, palm oil, processed food, dairy, and poultry. Its key segments include Animal Feed, Crop Protection, Dairy, Poultry, and Processed Food along with other Businesses, such as seed production, wind energy, and cattle breeding.
Financial Performance
When looking at the financials, Godrej Agrovet has reported a modest 4 percent YoY increase in its revenue from Rs 2,345 crore to Rs 2,450 crore in Q3 FY25. The revenue stood at Rs 2,449 crore in Q2 FY25.
The net profits on the other hand grew 33 percent from Rs 83 crore to Rs 110 crore during the same period. On a quarterly basis, the company saw a 15 percent increase in net profits from Rs 96 crore.
Food Processing Outlook
The Ministry of Food Processing Industries (MoFPI) is actively working to enhance investments in India’s food processing sector. Additionally, the government has extended the Pradhan Mantri Krishi Sinchayee Yojana (PMKSY) scheme with an allocation of Rs 4,600 crore until March 2026.
Written by Shwetha Sairam
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