Value-added products drive Heritage Foods profits in 2024-25

Brahmani Nara, Executive Director of Heritage Foods, said that the company registered a revenue of ₹4,134.6 crore in the financial year 2024-25.
| Photo Credit:
ANUSHREE FADNAVIS

Heritage Foods has registered its highest-ever quarterly revenues in the fourth quarter of 2024-25. It achieved ₹ 1,000 crore revenue in the March quarter. Its annual revenues was also a record high.

Brahmani Nara, Executive Director of Heritage Foods, said that the company registered a revenue of ₹4,134.6 crore in the financial year 2024-25.

“Excluding our bulk business-to-business segment, revenue growth remained consistently above 10 per cent each quarter, reflecting the strength of our core portfolio and market strategy despite industry headwinds,” she said.

VAP contribution up

The board of directors of the company recommended a final dividend of .₹2.50/ (50 per cent) per equity share for the year.

(Rs in crore)

The net profit grew by 77 per cent year-on-year to ₹188 crore, primarily driven by a growth of 2.3 per cent in contribution from value-added products (VAP), and  favourable input costs. The VAP segment continued to gain traction, delivering a 19.3 per cent year-on-year increase in revenue at Rs 336.2 crore. Its contribution to total revenue rose to 32.5 per cent, up from 30.1 per cent in the fourth quarter last year.

“We continued to strengthen our omni-channel presence, with deeper penetration across traditional trade and the fast-growing quick commerce space,” she said, commenting on the company’s performance.’

Milk procurement

The company’s average milk procurement prices stood at ₹42.9 per litre in the fourth quarter, up 3.1 per cent year-on-year. It handled an average of 1.76 million litres per day (MLPD). For the full year, the average prices declined by 3.7 per cent year-on-year to ₹41.7 a litre.

“This was driven by improved sourcing efficiencies and favorable flush season availability—supporting effective cost management despite market volatility,” the company said in a statement on Friday.

It said there had been a steady growth in milk sales volume and realisation. Milk sales rose by 4.5 per cent year-on-year to 1.16 MLPD in the year, driven by consistent consumer demand and robust distribution. The average selling price increased to ₹55.6 a litre from ₹54.8 a litre last year, reflecting stable market positioning and pricing strength.

Published on May 16, 2025