BENGALURU (Reuters) – India’s Heritage Foods reported a more than three-fold jump in quarterly profit on Tuesday, as scorching summer boosted demand for ice creams and milkshakes.
The dairy producer said its consolidated profit rose 249% to 584.3 million rupees ($6.98 million) in the three months to June 30, marking the sixth consecutive quarter of growth.
Revenue from operations rose 11% to 10.33 billion rupees.
For further results highlights, click here.
KEY CONTEXT
Unprecedented heat during the June quarter lifted demand for ice creams, lassi, buttermilk and flavored milk, benefiting dairy producers such as Heritage Foods.
Also, rising incomes mainly in urban India and preference for healthier options drove demand for branded dairy products.
Earlier this month, peers Dodla Dairy and Hatsun Agro Products had reported 85% and 63% gains in quarterly profits, respectively.
PEER COMPARISON
Valuation (next Estimates (next 12 months) Analysts’ sentiment
12 months)
RIC PE EV/EBITDA Revenue Profit Mean rating* # of Stock to
growth(%) growth(%) analysts* price
target**
Heritage Foods Ltd HEFI.NS 32.00 17.88 12.27 37.99 Strong Buy 3 1.27
Dodla Dairy Ltd DODL.NS 30.91 19.36 15.69 27.28 Strong Buy 4 0.99
Hatsun Agro Product Ltd HAPL.NS 66.48 26.20 13.99 37.71 Hold 2 1.14
Parag Milk Foods Ltd PAMF.NS 13.64 8.47 17.20 NULL Strong Buy 1 0.66
* Mean of analysts’ ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell ** Ratio of the stock’s last close to analysts’ mean price target; a ratio above 1 means the stock is trading above the PT
APRIL-JUNE STOCK PERFORMANCE
— All data from LSEG
($1 = 83.6720 Indian rupees)
(Reporting by Aleef Jahan, Ashna Teresa Britto; Editing by Subhranshu Sahu)
Disclaimer: This report is auto generated from the Reuters news service. ThePrint holds no responsibilty for its content.