1. At a Glance
Patanjali Foods Ltd — the reincarnation of Ruchi Soya — has gone from insolvency headlines to boardroom bragging rights. It’s now a ₹63,975 Cr FMCG + edible oil giant with 25 manufacturing plants, 84 super distributors, and a yoga guru as its brand ambassador. In FY25, edible oils still pay the bills (72% of revenue), while the foods & FMCG segment tries to become the next big thing… slowly. Debt has melted from ₹3,696 Cr in FY22 to ₹788 Cr, but promoters still have37.8% of their shares pledged, because even Swamiji believes in leverage.
2. Introduction
Patanjali Foods is basically what happens when you mix a stressed oil company, a court-approved acquisition, a heavy dose of brand yoga, and enough retail distribution muscle to make even HUL nervous in tier-2 towns.
Once Ruchi Soya — a commodity oil refiner at the mercy of global palm and soya prices — it now enjoys FMCG-style gross margins in some product categories while still churning giant edible oil volumes. The brand umbrella includesPatanjali,Nutrela,Mahakosh, andSunrich, giving it a bizarre portfolio where soya chunks sit next to biscuits, and palm oil shares shelf space with protein powder.
But make no mistake — this is still an edible oil-led giant in the middle of an image makeover. The food & FMCG push is growing in SKU count but struggling in demand. The newly approved ₹1,100 Cr acquisition of Patanjali Ayurved’s home & personal care business will further muddy the waters between commodity and brand play.
3. Business Model (WTF Do They Even Do?)
Edible Oils (72% H1 FY25 revenue)
- Palm, soya, sunflower oils under multiple brands.
- Integrated value chain from oil palm plantations (80,952 hectares under cultivation) to refining and packaged distribution.
- Oleochemicals segment adds value to by-products
- like palm kernel cake, castor derivatives.
Foods & FMCG (28% H1 FY25)
- 242 products, 500+ SKUs: atta, honey, tea, sauces, ghee, biscuits, cereals, nutraceuticals, and plant proteins.
- Distribution reach: 8,000+ distributors, 3,420+ Arogya Kendras, deep rural footprint.
- Nutrela brand moving into proteins, oats, millet, and nutraceuticals.
Exports– Barely 1% of sales but big talk about growing to 60 countries.
In short: one leg in high-volume, low-margin edible oils; the other in fragmented FMCG categories fighting for shelf space.
4. Financials Overview
| Metric | Latest Qtr (Jun’25) | YoY Qtr (Jun’24) | Prev Qtr (Mar’25) | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 8,900 | 7,177 | 9,692 | +24.0% | -8.2% |
| EBITDA | 321 | 410 | 516 | -21.7% | -37.8% |
| PAT | 180 | 263 | 359 | -31.4% | -49.9% |
| EPS (₹) | 4.98 | 7.26 | 9.90 | -31.4% | -49.7% |
Commentary:Sales up YoY, profits down sharply due to margin squeeze. FMCG ambitions are fine, but edible oil volatility still rules the P&L.
5. Valuation (Fair Value RANGE only)
P/E Method:EPS (TTM) = ₹33.7Industry P/E (FMCG / Edible Oil peers mix) = 28–35FV Range = ₹940 – ₹1,180
EV/EBITDA Method:EV = ₹64,487 CrEBITDA (TTM) ≈ ₹1,979 CrIndustry EV/EBITDA = 20–25FV Range = ₹1,095 – ₹1,370
