Orkla India Q2 Results: Revenue Rises 19.4% to Rs 776 Crore, PAT Jumps 19.2% to Rs 91 Crore

Orkla India Limited reported a 19.4 per cent year-on-year (YoY) increase in revenue from operations to Rs 776 crore for the second quarter of FY27, compared with Rs 650 crore in the corresponding quarter last year. Revenue from the sale of products grew 18.4 per cent, supported by volume growth of 2.9 per cent. The performance builds on the growth momentum established in Q1 FY27, when revenue from operations increased 10.4 per cent.

Growth was broad-based across product categories, geographies and distribution channels. Revenue from the Spices segment increased 25.1 per cent to Rs 498 crore, while Convenience Foods revenue grew 7.7 per cent to Rs 271 crore, despite the shift in the festive calendar to Q3. Domestic revenue rose 20 per cent to Rs 623 crore, while international revenue increased 11.7 per cent to Rs 145 crore, despite the volatile geopolitical environment.

The company's EBITDA increased 12.6 per cent YoY to Rs 124 crore in Q2 FY27, compared with Rs 110 crore in Q2 FY26. However, the EBITDA margin contracted to 15.9 per cent from 16.9 per cent in the year-ago quarter, amid elevated input costs. Profit after Tax (PAT), before exceptional items and net of tax, increased 19.2 per cent to Rs 91 crore from Rs 77 crore. The PAT margin remained unchanged at 11.8 per cent.

For the first half of FY27, revenue from operations grew 15.1 per cent YoY to Rs 1,435 crore, compared with Rs 1,247 crore in H1 FY26. EBITDA increased 7.8 per cent to Rs 239 crore from Rs 221 crore, while the EBITDA margin declined to 16.6 per cent from 17.8 per cent. PAT before exceptional items and net of tax rose 14.4 per cent to Rs 178 crore from Rs 156 crore. The PAT margin stood at 12.4 per cent against 12.5 per cent in the corresponding period last year.

During the quarter, Orkla India introduced 15 product innovations to strengthen its portfolio and cater to evolving consumer preferences, including those of Gen Z. Digital commerce revenue grew 23 per cent YoY and contributed 10 per cent of domestic revenue. The channel recorded stronger traction outside South India, where it grew 33.6 per cent. The company's Project Bolt initiative has helped build capabilities to support its expansion into new markets and strengthen its pan-India growth platform.

The company continued its Kerala distribution restructuring initiative, with implemented measures already showing encouraging results. Management stated that the transformation is progressing as planned and is expected to deliver benefits progressively over multiple quarters.

Commenting on the performance, Sanjay Sharma, Managing Director and CEO of Orkla India, said the quarter marked another step towards building a stronger food business with a wider national presence. He attributed the broad-based growth to the strength of the company's brands and disciplined execution. He also highlighted opportunities in existing core markets and new markets through digital commerce, which is expanding the company's reach among Gen Z consumers.

Sharma added that with festive activity extending into Q3, the coming quarter is expected to capture a significant share of seasonal demand. The company's focus remains on sustaining growth momentum and creating long-term value through disciplined execution.

Orkla India Limited is a multi-category food company and a portfolio company of Orkla ASA. Its brands include MTR, Eastern and Rasoi Magic. The company's product portfolio covers blended and pure spices, ready-to-cook and ready-to-eat meals, vermicelli and other convenience food products.