Disclosure Context

Sundrop Brands Limited (formerly Agro Tech Foods Limited) submitted an investor presentation to BSE Limited and National Stock Exchange of India Limited under Regulation 30 read with Schedule III of SEBI Listing Regulations. The disclosure, dated 06 November 2026 (signed by Kavita, Company Secretary and Compliance Officer, Membership Number A-27174), pertains to the unaudited financial results (Standalone & Consolidated - Limited Review) for Q2 FY27 and half year ended 30 September 2026. The presentation was shared during an Investors/Analysts Conference Call held on 06 November 2026 and is also available on the company's website.

Financial Performance (Consolidated)

Q2 FY27 Performance (₹ Crore)

  • Revenue from operations: ₹463.1 (vs. ₹383.3 in Q2 FY26, +21% YoY)
  • Material costs: ₹298.5 (vs. ₹240.1 in Q2 FY26, +24% YoY)
  • Employee Expenses: ₹42.0 (vs. ₹38.3 in Q2 FY26, +10% YoY)
  • Advertisement and promotion expenses: ₹26.3 (vs. ₹27.7 in Q2 FY26, -5% YoY)
  • Other expenses: ₹66.8 (vs. ₹61.7 in Q2 FY26, +8% YoY)
  • Normalized EBITDA: ₹29.5 (vs. ₹15.5 in Q2 FY26, +90% YoY); Margin: 6.4% (vs. 4.0% in Q2 FY26, +240 bps)
  • Normalized Profit before tax: ₹20.7 (vs. ₹7.7 in Q2 FY26, +169% YoY)
  • Profit before tax (Reported): ₹15.2 (vs. loss of ₹3.9 in Q2 FY26)

H1 FY27 Performance (₹ Crore)

  • Revenue from operations: ₹891.2 (vs. ₹755.4 in H1 FY26, +18% YoY)
  • Material costs: ₹573.5 (vs. ₹480.3 in H1 FY26, +19% YoY)
  • Employee Expenses: ₹81.8 (vs. ₹73.8 in H1 FY26, +11% YoY)
  • Advertisement and promotion expenses: ₹46.5 (vs. ₹50.6 in H1 FY26, -8% YoY)
  • Other expenses: ₹130.2 (vs. ₹118.8 in H1 FY26, +10% YoY)
  • Normalized EBITDA: ₹59.3 (vs. ₹31.8 in H1 FY26, +86% YoY); Margin: 6.6% (vs. 4.2% in H1 FY26, +240 bps)
  • Normalized Profit before tax: ₹42.6 (vs. ₹16.0 in H1 FY26, +166% YoY)
  • Profit before tax (Reported): ₹32.4 (vs. ₹1.8 in H1 FY26, +1722% YoY)

Adjustments & Notes

  • One-off project expenses: ₹0.20 Crore in Q2 FY27 (₹5.1 Crore in Q1 FY26) and ₹0.20 Crore in H1 FY27 (₹6.2 Crore in H1 FY26) are excluded from the above figures.
  • ESOP Expenses: ₹5.5 Crore in Q2 FY27 (₹6.5 Crore in Q2 FY26) and ₹10.3 Crore in H1 FY27 (₹8.0 Crore in H1 FY26) are excluded to calculate normalized metrics.

Portfolio & Category Performance

ACT II Brand (Ready-to-Eat & Ready-to-Cook)

  • Ready-to-Eat Q2 Performance: 38% value growth YoY, 23% volume growth YoY
  • Ready-to-Eat H1 Performance: 39% value growth YoY, 25% volume growth YoY
  • Ready-to-Cook Q2 Performance: 12% value growth YoY, 5% volume growth YoY
  • Ready-to-Cook H1 Performance: 10% value growth YoY, 6% volume growth YoY
  • Strategic Priorities: Expand portfolio (cheese, sweet popcorn, new flavours), premiumize through innovation and gifting packs, drive consumption via larger pack sizes, and expand presence across broader snacking category.

Sundrop Brand (Spreads, Italian, Culinary)

  • Spreads: Focus on innovation and high-growth channels.
  • Italian: Recovery supported by e-commerce momentum.
  • Culinary: Growth driven by B2B momentum and key account gains.

Channel Performance & Strategy

  • E-commerce: Now contributes over 19% of quarterly sales, cited as the fastest-growing large channel.
  • General Trade: Double-digit growth achieved post sales-force automation completion; focus on improving range, depth, and coverage economics.
  • Modern Trade: Strategy to scale organized retail presence and accelerate premium product adoption.
  • B2B & Foodservice: Expanding institutional opportunities, foodservice category footprint, and exports.
  • The company maintains a diversified, omnichannel route-to-market.

Margins & Operational Highlights

  • Gross Margin: Increased 19% YoY to ₹106.8 Crore in Q2 FY27, supported by manufacturing and logistics efficiencies despite an inflationary input-cost environment.
  • Margin Drivers: Growth across higher-value channels and categories, operating efficiencies, and mix improvement.
  • Investment Focus: 9% of sales invested behind core categories; capital deployed behind strongest growth and return opportunities.
  • Innovation Goal: Management aspires for innovation to fund a material part of the journey toward sustaining high-teen growth.

Forward-Looking Statements & Risks

The document contains forward-looking statements subject to risks and uncertainties including execution of business strategy, economic conditions in India, competition for talent, currency fluctuations, geopolitical situations, interest rate changes, regulatory changes, and foreign exchange control regulations. The company disclaims any obligation to update these statements.