🟢 At a glance:
Adani Wilmar has quietly stacked ₹63,672 Cr in revenue and clocked a 675% YoY PAT growth in FY25 — yet it’s only now that FIIs are entering. From -₹79 Cr loss in June 2023 to ₹191 Cr profit in March 2025, this edible oil and FMCG beast is stirring again. But does the ₹268 share price deserve a place in your portfolio thali?
🏢 About the Company
Adani Wilmar Ltd (AWL) is India’s largest edible oil brand by volume. A joint venture between Adani Group and Wilmar International (Singapore), it operates across three segments:
- Edible Oil (Fortune, King’s, etc.)
- Food Products (wheat flour, rice, sugar, etc.)
- Industry Essentials (oleochemicals, castor oil derivatives)
Despite being a household name, its stock has been anything but boring — swinging wildly post its 2022 IPO.
👥 Key Managerial Personnel (KMP)
- Angshu Mallick – CEO & MD (the face of AWL since listing)
- Gautam Adani – Chairman (needs no introduction)
- Vineeth Viswambharan – Ex-VP (Sales), resigned June 2025
- Board includes veterans from Adani and Wilmar with strong commodity & agri-biz backgrounds.
📊 5-Year Financial Snapshot (FY21–FY25)
| Metric | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|
| Revenue (₹ Cr) | 37,090 | 54,155 | 58,185 | 51,262 | 63,672 |
| EBITDA (₹ Cr) | 1,326 | 1,736 | 962 | 1,135 | 2,482 |
| Net Profit (₹ Cr) | 729 | 804 | 582 | 148 | 1,226 |
| EPS (₹) | 63.74* | 6.18 | 4.48 | 1.14 | 9.43 |
| Debt (₹ Cr) | 3,051 | 2,701 | 2,396 | 2,628 | 1,937 |
| ROCE (%) | 21% | 19% | 15% | 10% | 21% |
*Pre-IPO figures; equity capital was lower.
📌 Highlights:
- Massive jump in net profit in FY25 driven by margin recovery.
- Debt reduction of over ₹460 Cr in FY25.
- ROCE rebounded sharply to 21% — back to FY21 levels.
🛒 Segmental Performance (FY25)
| Segment | Revenue (₹ Cr) | YoY Growth | Commentary |
|---|---|---|---|
| Edible Oils | ~42,000 | ↑ Strong | Stable demand, lower raw cost |
| Food Products | ~15,000 | ↑↑ Double-digit | Aggressive distribution push |
| Industry Essentials | ~6,500 | ↑ | Castor & oleochemicals uptick |
AWL is transforming from a commodity company to an FMCG one — and the food products segment is now a real contender.
🧮 Fair Value Estimate (EduInvesting Range)
| Metric | Value |
|---|---|
| FY25 EPS (TTM) | ₹9.43 |
| Expected FY26 EPS Growth | 20–25% |
| Target P/E Range (FMCG) | 30–35x (vs current 28x) |
| FV Range (EduEstimate) | ₹310 – ₹360 |
⚠️ Note: FV is not a prediction, just a valuation sanity check assuming normal growth and no kitchen-sink accounting.
📈 Why FIIs Just Bought In (Finally)
| Quarter | FII Holding |
|---|---|
| Mar 2024 | 0.77% |
| Jun 2024 | 0.73% |
| Sep 2024 | 0.95% |
| Dec 2024 | 1.16% |
| Mar 2025 | 4.31% 🟢 |
That’s a 4x jump in FII stake. They’ve clearly seen the turnaround — margin revival, rising ROCE, and clean working capital. Maybe they also got tired of only eating HUL’s margins.
🔬 Balance Sheet Watch
| Year | Inventory Days | Debtor Days | Payable Days | CCC |
|---|---|---|---|---|
| FY23 | 53 | 12 | 59 | 6 |
| FY24 | 58 | 13 | 56 | 14 |
| FY25 | 56 | 14 | 19 🔴 | 51 🔺 |
🧨 Red Flag: Payables crashed from 56 to 19 days. That’s a sudden payment squeeze — needs monitoring.
📦 Capex & Expansion
- CWIP doubled to ₹1,056 Cr in FY25 — indicating fresh capacity build-up.
- Focus on food segment factories and backward integration.
- New product launches (ready-to-eat, healthy oils) expected in FY26.
🧠 EduInvesting Take
- You ignored this stock because it wasn’t sexy. Then it fell 35% from ₹404 to ₹268.
- Now it’s profitable again. ROCE back. Debt down. FIIs buying. Margins reviving.
- Yet it trades at a P/E of 28.4 — below Patanjali and miles below Marico (55x).
Is this the ultimate kitchen stock comeback story?
Maybe.
But please, dear retail investor: don’t enter only after FIIs enter and don’t exit only after they do. This isn’t a school picnic.
🚨 Risks & Red Flags
- GST Penalty of ₹25.11 lakh in June 2025 (minor, but watch for repeats)
- Promoter holding reduced from 87.88% to 74.36% — not always bad, but worth tracking
- Working capital deterioration: 51-day cash conversion cycle ⚠️
🔚 TL;DR
- 🟢 Net Profit jumped 675% YoY
- 🟢 Debt reduced by ₹460 Cr
- 🟢 FIIs finally entered big (4.31% now)
- 🔴 CCC jumped to 51 days, payables dropped
- 🎯 FV Range: ₹310–₹360 — current price at ₹268 leaves a margin
If Adani Wilmar really pulls off its “from oil to oats” pivot, we’re looking at a future FMCG king hiding in a dal packet.
Author: Prashant Marathe
Date: 12 June 2025
Tags: Adani Wilmar, AWL stock analysis, FMCG, edible oil, FII buying, Nifty 500, 5 year stock recap, Adani Group, turnaround stocks
