NHC Foods' international trading drives Rs 38.68 crore profit

NHC Foods Limited reported consolidated profit after tax of Rs 38.68 crore for the half year ended September 30, 2026, as international trading generated Rs 554.73 crore of segment revenue and Rs 30.11 crore of segment profit. Consolidated revenue from operations reached Rs 817.87 crore, compared with Rs 213.72 crore in the corresponding half year a year earlier.

How did NHC Foods perform in the first half?

NHC Foods recorded Rs 38.68 crore in consolidated profit after tax for the half year ended September 30, 2026, up from Rs 3.02 crore in the half year ended September 30, 2025. Profit before tax rose to Rs 40.99 crore from Rs 4.47 crore, while total income increased to Rs 821.46 crore from Rs 214.68 crore. The audit committee reviewed, and the board approved, the consolidated results on November 7, 2026.

Revenue from operations was Rs 817.87 crore in the first half of 2026-27, against Rs 213.72 crore a year earlier. Purchase of stock in trade was the largest reported expense at Rs 761.54 crore, followed by finance cost of Rs 6.51 crore and employee-benefit expense of Rs 2.61 crore. Tax expense totalled Rs 2.30 crore, compared with Rs 1.46 crore in the previous first half.

What did international trading contribute to NHC Foods?

International trading was NHC Foods’ largest reported segment in the first half, contributing Rs 554.73 crore of revenue and Rs 30.11 crore of segment profit for the half year ended September 30, 2026. Domestic trading generated Rs 256.66 crore of revenue and Rs 12.66 crore of segment profit. Manufacturing added Rs 9.54 crore of revenue and Rs 2.30 crore of segment profit.

International trading revenue increased from Rs 248.63 crore in the quarter ended June 30, 2026 to Rs 306.09 crore in the quarter ended September 30, 2026. Its segment profit rose to Rs 16.89 crore from Rs 13.21 crore over the same comparison. The unallocated result was a loss of Rs 4.08 crore for the first half, reducing the total segment result to Rs 40.99 crore.

How did NHC Foods' September quarter compare with June?

NHC Foods’ consolidated profit after tax increased to Rs 21.69 crore in the quarter ended September 30, 2026 from Rs 17.00 crore in the quarter ended June 30, 2026. Revenue from operations rose to Rs 448.18 crore from Rs 369.69 crore, while profit before tax increased to Rs 23.36 crore from Rs 17.63 crore in the sequential comparison.

The September-quarter increase came with purchase of stock in trade rising to Rs 418.20 crore from Rs 343.34 crore in the June quarter. Finance cost increased to Rs 3.96 crore from Rs 2.55 crore, while other income rose to Rs 3.15 crore from Rs 0.44 crore. Profit attributable to owners of the parent was Rs 21.05 crore in the September quarter and profit attributable to non-controlling interests was Rs 0.64 crore.

What does the review say about NHC Foods' overseas subsidiaries?

NHC Foods’ statutory auditor said that interim financial results and other financial information of two foreign subsidiaries had not been reviewed by their own auditors. The information was approved and furnished by management, and the auditor’s conclusion on matters relating to those subsidiaries was based solely on the unaudited interim results and information.

NHC Foods’ management converted the foreign subsidiaries’ results from accounting principles applicable in their respective countries into Indian accounting principles, and the auditor reviewed those conversion adjustments. The auditor’s review conclusion was not modified in respect of this reliance. The entities listed in the auditor’s annexure include NHC International L.L.C-FZ, Conquer Enterprises Limited, Conquer Enterprises LLC, NHC International UK Limited and NHC Foods (Liberia) Limited.

What changed in NHC Foods' balance sheet and cash flows?

NHC Foods’ consolidated total assets increased to Rs 611.88 crore at September 30, 2026 from Rs 311.04 crore at March 31, 2026. Non-current investments were Rs 229.40 crore at September 30, compared with no reported balance at March 31, while trade receivables increased to Rs 312.19 crore from Rs 251.62 crore. International trading segment assets were Rs 406.49 crore at September 30, compared with Rs 259.70 crore at June 30.

Operating cash flow was Rs 2.39 crore in the half year ended September 30, 2026, compared with an outflow of Rs 12.32 crore a year earlier. Investing activities used Rs 233.21 crore, including a Rs 232.06 crore increase in other non-current assets, while financing activities generated Rs 231.92 crore. Non-current borrowings rose to Rs 204.78 crore from Rs 2.29 crore at March 31, and cash and cash equivalents ended the half year at Rs 13.04 crore.

Conclusion

The consolidated result reflects a business mix in which international trading accounted for Rs 554.73 crore of Rs 821.46 crore in first-half segment revenue and Rs 30.11 crore of the Rs 40.99 crore total segment result. Domestic trading and manufacturing together contributed Rs 14.96 crore of segment profit, while the Rs 4.08 crore unallocated loss reduced reported profit before tax.

NHC Foods said it continues to monitor final Central and State rules and related clarifications on the labour codes notified on November 21, 2025. The company said it will evaluate and account for any additional employee-benefit impact in the period when those rules are notified or clarifications are issued.