Orkla India Ltd Q2FY26: From Masala Boxes to Market Caps – How This Kitchen King Cooked a ₹9,128 Cr Valuation at 36x P/E!

1. At a Glance

Move over Maggi, there’s a new FMCG food darling in town — Orkla India Ltd, the ₹9,128 crore market cap child of Norway’s Orkla ASA, has just gone public and already has investors sniffing the aroma of potential. Listed on6th November 2025, this spice-and-ready-mix kingpin comes seasoned with ₹2,395 crore annual sales, ₹258 crore PAT, and an eyebrow-raisingP/E of 36.2x.

The stock currently simmers at₹667, about 12% off its high of ₹760, because — well — even the best rasam needs time to boil. TheQ2FY26 resultsshowedrevenue of ₹650 crore(up 4.9% YoY) andPAT of ₹77 crore, a mild dip of 7.3% sequentially. Margins remained in the “chef’s kiss” range, with OPM at 16%.

Debt? Barely a pinch — ₹64 crore. Promoters hold a spicy 75%, institutions nibble with 7.8%, and the public’s got 17%. The IPO raised ₹1,667 crore through OFS — meaning none of that came into the company’s gravy pot. Still, this is one FMCG debut where the masala is just right — from brand strength (MTR + Eastern) to an export presence in45+ countries.

And yet, with ROE at 9.8% and ROCE at 13.6%, the big question is — are we paying biryani prices for upma returns?

2. Introduction

If you grew up with the red MTR packet whispering “ghar ka khana” in your kitchen, congratulations — you’ve indirectly helped Orkla India land a ₹9,000 crore valuation.

Orkla India is the desi arm of Norway’sOrkla ASA, a company that sounds like a Viking’s war cry but sells sambhar masala instead. It entered India in 2007 by acquiring MTR Foods and doubled down with Eastern Condiments in 2021. Together, they’ve become the seasoning that binds South Indian kitchens tighter than family WhatsApp groups.

The company’s range is like a well-stocked Indian pantry —spices, ready-to-cook mixes, ready-to-eat curries, vermicelli, beverages, and pickles. In short, they have something for everyone — from the lazy millennial who “cooks” by pouring hot water, to the NRI aunty craving rasam in Toronto.

Q2FY26 marked the company’s first post-IPO results, and investors have been watching like Gordon Ramsay at an Indian buffet. Revenues were steady, margins respectable, and the valuation — let’s just say it’s as premium as a five-star dosa at the airport.

So, what’s cooking behind this IPO darling? Let’s dive into the masala lab.

3. Business Model – WTF Do They Even Do?

Think of Orkla India as theNetflix of food— it caters to every genre and mood. Morning hunger? Instant upma. Afternoon tiffin? Sambhar masala. Midnight heartbreak? Ready-to-eat Dal Makhani.

The company operates throughtwo main brands—

• MTR, the OG since 1924, famous for its rava idli mix, gulab jamun mix, and sambhar masala that even hotels secretly use.
• Eastern, Kerala’s spice powerhouse, bringing that 41.8% market share in God’s Own Country.

Together, these brands dominate South India’s spice shelves with a combined31.2% market share in Karnatakaand41.8% in Kerala— basically, your dosa and fish curry both owe royalties to Orkla.

Theirproduct portfoliocovers:

• Spices (67% of FY25 revenue)– from chilli to cumin, blended to pure.
• Convenience Foods (33%)– ready mixes, vermicelli, RTE curries, and beverages.

The beauty of this business? Once you convince an Indian household that your sambhar masala tastes like grandma’s, they’ll keep buying it for decades.

And Orkla knows its customer — 67–70% retail penetration in its core states, 834 distributors, and a digital presence across all major quick-commerce platforms. It’s literally everywhere — from your neighborhood kirana to Blinkit’s 10-minute promise.

4. Financials Overview

Commentary:The revenue curry has some spice, but profit margins lost a bit of salt. Sequential slowdown in EBITDA shows cost pressures from raw materials — probably the aftertaste of higher spice and packaging costs. But hey, with an 8.9% QoQ rise in revenue, the top line’s still simmering fine.

The real garnish is stability — zero debt drama, healthy current ratio (2.6x), and