Orkla India Q2 profit rises 19% to ₹91 crore as revenue jumps

Orkla India has reported a 19.2% increase in second-quarter net profit to ₹91 crore, backed by steady consumer demand across domestic markets and robust momentum in its core spices division.

Revenue from operations jumped 19.4% year-on-year to ₹776 crore for the quarter ended September, up from ₹650 crore in the corresponding period last year.

The figures reflect expanding consumer demand across regional markets, with domestic operations leading overall growth. Domestic revenue rose 20% to ₹623 crore, while international revenue increased 11.7% to ₹145 crore.

How individual business segments performed

The company's spices portfolio, which includes brands such as MTR and Eastern, served as the primary growth driver. Spices revenue rose 25.1% to ₹498 crore from ₹398 crore a year earlier, supported by a turnaround in Kerala where growth accelerated beyond the company average.

Convenience foods recorded revenue of ₹271 crore, representing a 7.7% increase from ₹252 crore in the prior-year period. Managing Director and Chief Executive Officer Sanjay Sharma said the moderation in convenience foods was partly due to a shift in the festive calendar, with major festivals moving into the third quarter this financial year.

Margins and expansion plans

Earnings before interest, tax, depreciation and amortisation (EBITDA) rose 12.6% to ₹124 crore from ₹110 crore. EBITDA margin stood at 15.9%, compared with 16.9% a year ago, reflecting input cost pressures and expenditure on the company's internal transformation programme, Project Bolt.

Sharma said price adjustments implemented following recent industry-wide cost increases should help relieve margin pressures in subsequent quarters, with transformation expenses expected to wrap up by late 2026.

Digital sales channels continued to expand rapidly, growing 23% year-on-year to account for 10% of domestic revenue. Outside South India, digital commerce grew 33.6%.

To capture evolving consumer preferences, Orkla India introduced 15 new products during the quarter, bringing total new product launches for the first half of the financial year to 38.

For the first six months of the financial year, revenue from operations reached ₹1,435 crore, up 15.1% from ₹1,247 crore in the previous year. Profit after tax for the half-year rose 14.4% to ₹178 crore. The company said it is actively seeking acquisitions in spices and convenience foods, focusing on top-tier market brands with potential to scale.