Management Participants

  • Mr. Milan Dalal, Managing Director
  • Mr. Moloy Saha, Chief Executive Officer
  • Ms. Deepali Kumari, Arihant Capital Markets Limited (Moderator)

Key Operational Updates

Export Challenges

  • Export dispatches slowed down due to vessel non-availability and significant increase in ocean freight costs
  • No order cancellations reported, but delayed call-offs continuing
  • Approximately 1,800 million tons of finished goods overdue for shipment
  • Projected clearance timeline: 45-50 days for backlog, though situation is not within company's control
  • Working capital impacted due to blockage, potentially leading to higher interest costs
  • No viable alternative logistics routes except air freight, which is 30x more expensive than ocean freight

Domestic Business Performance

  • Domestic market constitutes 55% of business
  • Strong order book from Coca-Cola's Maaza brand, which is celebrating 50 years
  • Orders from Maaza are higher than previous year
  • Expectation of increased juice consumption due to El Nino effect favoring beverage consumption

Segment-wise Performance

Frozen Food Segment:

  • Achieved 20% growth in Q1 FY27
  • Last 2 years growth: 30% CAGR
  • Current annual run rate: USD 12 million (last year), Q1 FY27: USD 3 million
  • Target: USD 30+ million in 3 years
  • Strong demand from USA, UK, and Canada markets
  • Able to absorb higher freight costs compared to other segments
  • Three sub-segments: frozen mango pulp, vegetables, ethnic snack items (paratha, samosa, naan)
  • Expansion plans underway to increase capacity

Pectin Segment:

  • Commercial production has started
  • Audit process ongoing
  • Samples sent to large export brands
  • Consumer testing underway with results expected soon
  • Expected pickup from October/November 2026 onwards
  • Competitive pricing as produced from waste

Spices Segment (Kusum brand):

  • 14.7% year-on-year growth in Q1
  • Focus on Horeca segment and export markets (Oman)
  • Plans to expand range to condiments and marinades

Raw Material Price Impact

  • Significant raw material price deflation affecting revenue value
  • Mango prices: INR 25/kg average in 2024 vs INR 6/kg currently
  • Company operates on cost-plus model with raw material price variability
  • Volume growth achieved but value growth impacted by lower realizations
  • Expectation that value degradation will not continue at same pace in coming quarters

Financial Guidance

  • Domestic market expected to show 20% volume growth
  • Export market growth dependent on freight situation normalization
  • Overall optimistic about catching up on pending export dispatches in remaining 9 months
  • No change to volume growth guidance of 20%

Strategic Initiatives

  • Exploring joint venture opportunities in frozen food and value-added segments
  • B2C products available on Zepto and BigBasket, with expansion to Swiggy and Blinkit expected in coming months
  • Brand portfolio includes Madhu, Green Top, Kusum focusing on high-margin B2C products

Corporate Governance

  • Mr. Anand Krishnan resigned as CFO, last working day was 11th August, 2026
  • Recruitment process for new CFO underway, shortlisting of candidates in progress

Capital Structure

  • Promoter holding currently at 25%
  • Management considering options to increase promoter stake through market purchases or preferential issue
  • Previous open offer was made at INR 150 per share (current price is approximately 1/3 of that)