Earning Call Transcript
MODINATUR · price
▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.
Awaiting price reaction for this filing.
Modi Naturals reported H1 FY26 revenue of INR302 crores (+2.7% YoY), EBITDA of INR33 crores (+24%), and PAT of INR20.6 crores (+36.7%). Q2 revenue was largely flat at INR147 crores due to GST transition disruption in the consumer (FMCG) division, though PAT grew 32.8% to INR10.1 crores. The ethanol division remained the strongest performer, with EBITDA margins expanding 337 bps to 15.6% in H1, supported by orders worth INR400 crores from OMCs (49,700 KL). The bulk division posted a turnaround with H1 EBITDA of INR1.2 crores vs. a INR1.5 crore loss last year. Phase 2 of the 180 KLPD ethanol expansion is under trial and expected to commence in December 2025, taking total capacity to 310 KLPD. Management reiterated FY26 revenue guidance of INR850-880 crores without any upward revision.
Positive: strong ethanol order book, capacity expansion on track, bulk division turnaround, and healthy PAT growth support the growth story. Watch-out: consumer division margins remain pressured by ~30% higher ad spend (now ~10% of revenue) and GST-led disruption, while management declined to disclose volume data and key financial metrics (ROCE, blended interest cost). Ethanol offtake risk on overcapacity is a concern but mitigated by management's confidence in tenders.