Avanti Feeds Q1 FY26 concall decoded: – Shrimps, tariffs, and margin gymnastics

Opening Hook

While India’s cricket fans argued over who should open with Rohit, Avanti Feeds quietly opened its quarter with double-digit profit growth. Q1 FY26 consolidated revenues touched ₹16,064 crore (+6.9% YoY), but the real cheer was PAT up 35% to ₹1,857 crore (Investor Presentation, Aug ’25). Shrimp processing exports soared 59% YoY, though margins got pinched by countervailing duty and pricier raw materials. Why it matters: shrimp exports are India’s quiet forex engine, and Avanti is its blue-chip face. Stick around—things get spicier two scrolls down.

At a Glance

• Revenue ₹16,064 cr (+6.9% YoY) – fed more shrimp than ever
• EBITDA ₹2,653 cr (+36%) – margin jump to 16.5% from 13% YoY
• PAT ₹1,857 cr (+35%) – shrimps swam straight into profits
• Shrimp feed sales –3% YoY – monsoon moods, but +20% QoQ bounce
• Processing revenue ₹3,712 cr (+59%) – exports to US & EU sizzling
• EPS ₹13.1 vs ₹9.4 YoY – investors licking their plates clean
• ROCE 23%, ROE 19% (FY25) – aquaculture still a money fishery

Management’s Key Commentary

On Feed Business:
“Q1 feed revenue grew 20% QoQ, but dipped 3% YoY to ₹12,352 cr.”
→ Translation: Farmers fed fewer shrimps last year, but this quarter they’re hungry again.

On Shrimp Processing:
“Processing exports grew 59% YoY with 52% higher volumes.”
→ Translation: Americans and Europeans still love prawns on their plates.

On Margins:
“EBITDA margin rose to 16.5% consolidated, PAT margin at 11.6%.”
→ Translation: Profits fatter than the prawns.

On Costs:
“CVD and higher raw material costs hit processing EBITDA (down from 15% to 9%).”
→ Translation: Tariffs bite harder than lobsters.

On Strategy:
“Strong exports, forex tailwinds, and efficiency measures supported results.”
→ Translation: Dollar > Rupee = happy investors.

Numbers Decoded

Analyst Questions

• On processing margins: Why down to 9%?
  → Translation: