Company Overview
Kriti Nutrients Limited (BSE: 533210, NSE: KRITINUT) reported its financial results for FY 2025-26, showing significant revenue growth but margin pressure. The company operates in soybean processing and edible oils manufacturing, with branded products contributing 95% of revenues.
Financial Performance
Revenue & Profitability:
- Revenue from operations grew 25.25% to ₹921.51 crore (₹92,151.47 lakh) from ₹734.34 crore in FY25
- Total revenue reached ₹929.48 crore with other income of ₹7.97 crore
- EBITDA declined to ₹51.41 crore with margin compression of 199 basis points to 5.53% due to input cost volatility
- Standalone net profit decreased 8.59% to ₹33.84 crore, while consolidated net profit was ₹33.90 crore
- Earnings per share stood at ₹6.75 (basic & diluted)
Financial Position:
- Total assets: ₹272.72 crore, with current assets of ₹137.32 crore including cash equivalents of ₹46.25 crore
- Investment in associate Kriti Industries (India) Limited: ₹51.58 crore (6.24% voting power)
- Unsecured loan to Kriti Industries: ₹24.35 crore with accrued interest of ₹43.50 lakh
- Net debt position: negative ₹38.69 crore indicating strong liquidity
- Debt-equity ratio: 0.03, current ratio: 3.70
Operational Highlights
- Achieved highest-ever sales volumes and edible oil production in company's history
- Consumer-pack soybean oil volumes grew 22%, nearly double industry growth rate
- Groundnut and mustard oil volumes increased more than 3.5x
- Modern trade and quick commerce channels grew over 50%
- Capacity utilization at 72%, targeting 85% for FY27
- Commissioned fully automated pouch filling machine, reducing packaging time
Dividend & Corporate Actions
- Declared and paid 300% interim dividend of ₹3.00 per share totaling ₹15.03 crore
- No final dividend recommended for FY26
- Total dividend payout: ₹16.39 crore including equity dividend of ₹3.30 per share
Governance & AGM Details
- 30th Annual General Meeting scheduled for August 12, 2026 via video conferencing
- Board recommends reappointment of M/s M Mehta & Company as statutory auditors for second term
- Approval sought for revised remuneration for key managerial personnel including Chairman & MD Shiv Singh Mehta and Joint MD Saurabh Singh Mehta
- Board comprises 7 directors (3 executive, 4 non-executive independent)
Audit Matters & Contingencies
Key Audit Matters:
- Material uncertain tax positions under dispute totaling ₹21.48 crore (including ₹13.23 crore income tax, ₹3.41 crore GST)
- Assessment of carrying value of ₹51.58 crore investment in associate Kriti Industries
Contingent Liabilities:
- Tax demands under dispute: ₹21.48 crore across various statutes
- Bank guarantees: ₹1.36 crore
- Land lease demand: ₹1.17 crore under litigation
- Capital commitments: ₹0.44 crore
Related Party Transactions & CSR
- All related party transactions conducted at arm's length
- Significant transactions with Kriti Industries including loans and interest income
- CSR obligation: ₹92.04 lakh, actual spent: ₹5.68 lakh, with ₹86.36 lakh unspent amount transferred to separate account
Key Ratios & Metrics
- Return on equity: 15% (FY25: 19%)
- Book value per share: ₹45.72
- Interest cover: 93.47x
- Inventory turnover ratio: 19.89
- Trade receivable turnover ratio: 84.09
- Employee strength: 234 with average age 42.26 years
- Promoter shareholding: 66.68%, with 98.99% shares dematerialized