Prataap Snacks Limited recorded a year-after-year decline of 2.4 percent in the first quarter of FY26, which was ₹ 408.94 crore. The company’s net profit was ₹ 6.9 crore, which was ₹ 94.4 crore in the same quarter last year. The company registered a 3 percent increase on a quarterly basis.
| scale | Q1 FY26 | Q1 FY25 | Yoy change (percent) |
|---|---|---|---|
| Sales/Revenue | 408.94 | 419.13 | -2.4 percent |
| Total revenue | 411.00 | 421.44 | -2.5 percent |
| Gross profit | 117.44 | 131.57 | -10.7 percent |
| Ebitda | 18.01 | 30.03 | -40.0 percent |
| Profit after tax | 0.69 | 9.44 | -93.0 percent |
| Dilute EPS (₹) | 0.29 | 3.95 | -92.7 percent |
Financial results
In Q1 FY26, Prataap Snacks faced challenging market conditions, which affected consumption trends, which led to a decrease in revenue from year to year. However, in the latter half of the quarter, demand trends accelerated, indicating positive sentiments in the market for discretionary expenses.
The gross margin in Q1 FY26 was 29 percent, which was affected by inflation pressure in the input, especially palm oil. The initiative to improve margin helped reduce this effect to some extent. The company hopes that the softening trend in the prices of major raw materials will remain intact, in view of which the monsoon is likely to be quick and rich.
Ebitda margin came due to a decline, weak demand and more input prices, especially the combination of palm oil. However, the EBITDA margin improved on a quarterly basis due to the decrease in prices of major agricultural assets and the initiatives to improve margin. The company hopes that the EBITDA margin will further improve the improvement in gross margin, which will support constant cost adaptation initiatives.
The effect on Gross Margin and Ebitda has gone into PAT. The prices of major agriculture-regular goods have already decreased somewhat and are expected to reduce the monsoon and reduce, making the possibility of improving margin and profits.
The company recorded positive cash profit in Q1 FY26. On the YOY base, the cash profit is low in accordance with the trend of gross margin and ebitda. However, on the QOQ basis, Q4Fy25 has increased by ₹ 4.4 crore to ₹ 17.8 crore in Q1Fy26 by 4 times. Cash EPS remains strong.
Operating observation
Namkeen and pellets continue to grow, which are showing encouraging speed, which is getting the support of comprehensive retail access and data-operated sales strategies in more areas. The launch of new salty sku and other product variants in the pipeline will help maintain the speed of this growth in the rest of this year.
PSL is working on further measures for development and structural growth of margin. Distribution expansion, promoted distribution channels, deep integration of data and analytics in sales function, and implementation of a market partition structure are ready to strengthen the foundation of long -term development. These will be supported by the launch of large packs as well as the launch of many new and exciting product variants that complement new distribution channels of export and modern trade, while enjoying a rich margin profile. In addition, comprehensive cost adaptation measures and technology-based intervention that will promote efficiency and cost control are expected to result in structural growth of margin.
Message of MD and CEO
The managing director and CEO of Prataap Snacks Limited, Mr. Amit Kumat commented on the results of Q1 FY26, saying that the company is happy to report a positive start of the financial year with a revenue of 3 percent on a quarterly -rate quarter basis. He said that revenue declined by 2.4 percent on a year-on-year basis, mainly due to frequent comprehensive economic challenges affecting overall consumption in low-income groups. However, they are excited by a significant improvement in demand trends in the latter of the quarter, indicating better sentiments in the market for discretionary expenses. He also highlighted the improvement in margins, which is mainly inspired by the fall in input prices and supported by the positive effects of the ongoing initiatives of gramgery rationalization and process growth. He mentioned that the company has expanded the access to pellets and salty products, increased availability in major touchpoints, and announced the launch of the new salty SKU designed to resonate with consumer priorities in the eastern region. He hoped to maintain this speed in the remaining part of this financial year, focusing strategic focus on innovation, operational excellence and market expansion, supported by greater integration of technology.