Bikaji Foods Q3 Profit Doubles, Revenue Jumps 11.5%

Introduction

Bikaji Foods International announced a remarkable performance for the third quarter ending December 31, 2025, with its consolidated net profit more than doubling. The company reported a 122% year-on-year increase in net profit, underscoring significant operational efficiency and strong market demand. This robust bottom-line growth was supported by a healthy rise in revenue and a substantial expansion in operating margins, positioning the company for sustained momentum.

Q3 FY26 Financial Highlights

In the third quarter of fiscal year 2026, Bikaji Foods' net profit surged to ₹62.6 crore, a significant leap from the ₹28.7 crore recorded in the same period of the previous year. Revenue from operations also saw a solid increase, growing by 11.5% to ₹775.8 crore from ₹696 crore in Q3 FY25. The company's total income for the quarter stood at ₹801.36 crore, compared to ₹696.07 crore in the corresponding period last year. This consistent top-line growth reflects the company's strong brand equity and expanding market reach.

Significant Margin Expansion

The company's operating performance improved substantially during the quarter. Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) stood at ₹84 crore, more than double the ₹38 crore reported a year ago. Consequently, the EBITDA margin expanded significantly to 10.8% from 5.5% on a year-on-year basis. This improvement in profitability was driven by effective cost management, with total expenses for the quarter recorded at ₹719.79 crore, resulting in a profit before tax of ₹81.57 crore.

Sustained Growth Momentum

The strong Q3 performance follows a positive trend set earlier in the financial year. In the preceding quarter (Q2 FY26), the company had already demonstrated resilient growth with a 15.2% year-on-year increase in revenue, driven by strong performance in its packaged sweets and exports segments. The packaged sweets category grew by 32.3%, while the exports business delivered a remarkable 77.3% growth, highlighting increasing global acceptance of its products. This sustained performance across multiple quarters points to a robust underlying business momentum.

Navigating Market Changes

Bikaji has effectively navigated recent market changes, including the GST Council's decision to reduce the tax rate on its products from 18% to 12%. While this move caused a temporary de-stocking among distributors in the previous quarter, management has indicated that demand has since normalized. The GST rate rationalization is viewed as a progressive step that makes quality food products more affordable for consumers and supports growth in the organized snacks sector. The company has witnessed a healthy uptick in sales post-transition.

Strategic Investments and Future Outlook

Looking ahead, Bikaji's board has approved several strategic initiatives to fuel future growth. This includes an additional investment of up to ₹50 crore in its wholly-owned subsidiary, Bikaji Foods Retail Limited, to expand its retail footprint. The company is also entering a joint venture with the founder of the Bakemart brand to establish a frozen and bakery business in India. Furthermore, a loan agreement of up to ₹5 crore has been approved for its subsidiary, Petunt Food Processors Private Limited. These investments signal the company's commitment to diversifying its product portfolio and strengthening its market presence.

Stock Performance

The company's strong financial results have been reflected in its stock performance. On January 27, 2026, shares of Bikaji Foods International Ltd touched an intraday high of ₹677.25 on the NSE. The stock closed the day at ₹649.05. The positive market sentiment is supported by the company's consistent execution and growth, which analysts at JM Financial believe will help sustain its premium valuations compared to listed peers.

Conclusion

Bikaji Foods International's Q3 FY26 results demonstrate strong financial health, characterized by a doubling of net profit and significant margin expansion. The company has successfully managed market transitions while pursuing strategic investments for long-term growth. With a positive outlook, ongoing expansion in retail and new ventures, and strong brand loyalty, Bikaji is well-positioned to continue its growth trajectory in the competitive packaged foods industry.