Heritage Foods, one of the leading private dairy players in India, has declared its financial results for the quarter ended March 2020. In the Q4FY20 revenues from operations grown by 2.77% to Rs 652.65 crore as compared to Rs 635.03 crore in Q4FY 19 (EBIDTA was at Rs 27.92 crore) and profit after tax (PAT) was at Rs (209.92) crore. Profit after adjustments of gain due to changes in the fair value of derivative liabilities and loss due to changes in the FVTPL equity securities stands at Rs 10.17 crore.
On the other side, In the FY20 revenue from operations increased by 8.40% to Rs 2725.90 crore as compared to Rs 2514.75 crore (EBIDTA was at Rs 135.59 crore) and profit after tax (PAT) was at Rs (168.72) crore. Profit after adjustments of gain due to changes in the fair value of derivative liabilities and loss due to changes in the FVTPL equity securities stands at Rs. 63.74 crore.
The Board of directors of the company has recommended a dividend of Rs 2.50 per share, which is 50% of the face value of Rs 5 per share for the financial year ending March 31, 2020, subject to shareholders’ approval.
Commenting on the results, Brahmani Nara, executive director, said, “We have seen fairly good growth rate of 8.4% growth in our dairy business during the last financial year, on account of expanding product range and increased thrust on taking the products to more households across the country.”
She added, “As the company is considered for handling the “Essential Commodities” as per the notification issued by Ministry of Home Affairs (MHA) for supply of milk and milk products to the public, the pandemic has not had any material adverse impact on the company’s business, although out of home sales of milk and value-added products have come down because of the lockdown. Transportation has also been impacted to some extent due to the absenteeism of drivers. The situation is improving and we foresee normal operations in this segment by the end of this quarter. However, the availability of raw materials and the supply chain of the company are not affected.”
“The company has taken the utmost care of its staff and workforce during the current period and maintained proper hygiene in all our offices and factories. We have ensured uninterrupted supply of products across the markets through our efficient supply chain.”