Parag Milk Foods FY26 revenue ₹3,818 crore; PAT up 14%

Parag Milk Foods Limited told exchanges it has approved audited standalone and consolidated financial results for the quarter and year ended March 31, 2026. The update followed a Board meeting held on May 7, 2026, and was carried on May 8, 2026.

The company reported double-digit growth in FY26 revenue, an improvement in profit after tax, and continued traction in its "New Age Business" segment. The Board also recommended a final dividend and cleared an ESOP-related allotment that increased the company’s paid-up equity share capital.

Board meeting outcome and audit status

The Board of Directors met on May 7, 2026 to consider and approve the audited financial results for the quarter and full year ended March 31, 2026. The meeting started at 7:00 p.m. IST and concluded at 9:05 p.m. IST.

Parag Milk Foods said its statutory auditors, Sharp & Tannan, Chartered Accountants, issued unmodified opinions on both standalone and consolidated financial results. The company’s exchange communication also referenced an exceptional item booked during the year on a standalone basis.

FY26 consolidated revenue rises 11% year-on-year

For FY26, Parag Milk Foods reported consolidated revenue from operations of ₹3,817.50 crore. This was an 11.23% year-on-year (YoY) increase from ₹3,432.21 crore in FY25.

The filing also stated that overall volume growth for the year was 5% YoY. Separately, it noted that core categories recorded 8% volume growth, indicating stronger underlying traction in key parts of the portfolio even as overall volumes grew at a lower rate.

Profit and margins: gross profit up, PAT improves

FY26 consolidated gross profit was reported at ₹1,020 crore, up 8% YoY. Gross profit margin (GPM) was 26.7% versus 27.5% in the previous year.

Profit after tax (PAT) for FY26 came in at ₹135.05 crore, a 13.69% YoY increase from ₹118.79 crore. PAT before exceptional items was reported at ₹141 crore, reflecting 19% YoY growth.

The company also disclosed a return on capital employed (ROCE) figure of 13.6%.

New Age Business grows 91% YoY; 10% of turnover

Parag Milk Foods stated that its New Age Business grew 91% YoY. The segment contributed 10% to turnover in FY26.

Alongside this, the company highlighted 8% volume growth in core categories, pointing to ongoing scale-up in established product lines. The disclosures did not provide additional segment-wise revenue figures beyond the share of turnover for New Age Business.

Q4FY26: modest YoY growth, QoQ decline in revenue

For Q4FY26 consolidated results, revenue from operations was ₹945.34 crore. This reflected value growth of 2.95% YoY from ₹918.25 crore, but a decline of 6.65% quarter-on-quarter (QoQ) from ₹1,012.69 crore in Q3FY26.

The company also reported that the quarter saw a 5% volume decline YoY. Consolidated gross profit for Q4FY26 was ₹265 crore, up 8% YoY.

On a standalone basis, Q4FY26 revenue was ₹946.17 crore, up 5.28% YoY from ₹898.69 crore and down 3.86% QoQ from ₹984.19 crore. Standalone PAT for the quarter was ₹28.28 crore, down 12.80% YoY and 18.15% QoQ.

Dividend announced: ₹1.10 per share, subject to approval

The Board recommended a final dividend of ₹1.10 per equity share (face value ₹10 each) for the financial year ended March 31, 2026. The company described this as an 11% final dividend.

The payout is subject to shareholder approval at the upcoming Annual General Meeting (AGM), as stated in the disclosure.

ESOP allotment and changes in share capital

To implement ESOP-related actions, the Board approved the allotment of 1,000,000 equity shares (face value ₹10 each) to the Parag Milk Foods Employee Stock Option Trust.

Following this allotment, the company said its total paid-up equity share capital increased to ₹126.11 crore, divided into 12,61,09,554 fully paid-up equity shares.

The Board also re-classified Vitalia Tradeglob Private Limited from the “promoter group” to the “public” category. The company stated that Vitalia Tradeglob Private Limited currently holds zero shares.

Exceptional item linked to Labour Codes notification

Parag Milk Foods disclosed that an exceptional item of ₹5.39 crore was recognised during the year on a standalone basis. It attributed this to a one-time increase in employee benefit provisions.

The company linked the change to the Government of India’s notification of four new Labour Codes dated November 21, 2025.

Key numbers at a glance

Market context and disclosed price point

The update was positioned as an “Outcome of Board Meeting” filing, a format closely tracked by investors for audited results, dividend recommendations, and capital changes such as ESOP allotments. The same source also listed recent Board meeting dates, including July 21, 2025 (Quarterly Results) and May 2, 2025 (Audited Results and Final Dividend).

A quoted price point in the provided material put Parag Milk Foods Ltd at ₹224.66 at the time of reference. The disclosure itself focused on audited numbers, dividend recommendation, and governance items rather than providing management commentary or forward guidance.

Why the filing matters for investors

The FY26 numbers show revenue growth of over 11% alongside an increase in PAT, even as gross margins moderated year-on-year. Investors also typically watch the gap between reported PAT and PAT before exceptional items, especially when a specific one-time expense is disclosed, as in the standalone exceptional item linked to employee benefit provisioning.

The dividend recommendation of ₹1.10 per share and the ESOP allotment add two shareholder-relevant developments: one immediate (subject to AGM approval) and one structural via changes in the equity base. The company’s disclosure of New Age Business growth and its 10% share of turnover provides an additional datapoint on how the revenue mix is evolving.

Conclusion

Parag Milk Foods’ May 7, 2026 Board meeting cleared audited FY26 and Q4FY26 results, along with a final dividend recommendation of ₹1.10 per share and an ESOP trust allotment of 1,000,000 shares. The next formal step on the dividend will be shareholder approval at the AGM, as stated in the filing.