Earnings|Adani Wilmar Limited (NSE:AWL): Q3FY23 Results Out; Total Income rise 7% YoY

Adani Wilmar Limited (NSE:AWL) is a joint venture between the Adani Group and Wilmar International, and is one of the largest FMCG companies in India. It is primarily engaged in the business of manufacturing, packaging, and distribution of edible oils, specialty fats, and oleochemicals. The company’s flagship brand, Fortune, is a leading edible oil brand in India, and it also exports its products to more than 50 countries.

Adani Wilmar Limited (AWL) reported its Q3FY23 results, recording a 16% growth in volume and 7% growth in revenue, with a 16% YoY increase in profit after tax. The company witnessed growth in both volume and revenue for the first 9 months of FY23 at 13%. The Food & FMCG segment is the new growth engine of the company, contributing 15% by volume to overall sales, clocking Rs ~2,900 crore of revenue in the first 9 months and expected to register around Rs 4,000 crore revenue for the full year FY23. In the edible oil segment, AWL recorded a 50% YoY growth in Mustard Oil volume, and the ‘Fortune’ brand remains the no.1 player in ‘Kachi Ghani’ Mustard Oil. AWL also continued its leadership position in Castor Oil exports, increasing its market share to 32% in Q3 FY23.

The alternate channel registered a strong YoY volume growth of 32% & 26% in Q3FY23 and 9M FY23, respectively. The company is progressing well in the forward integration of its Industry essential business, resulting in growth in sales of specialty chemicals, in addition to the growth in basic oleochemicals from capacity expansion. The standalone volume grew by 17% to 1.41 mn MT in Q3, leading to EBITDA growth of 23% and PAT growth of 15%. AWL reported consolidated revenue at Rs 15,438 crore, and on a standalone basis, registered revenue of Rs 14,714 crore, EBITDA of Rs 623 crore and PAT of Rs 277 crore in Q3.

Commenting on the results, Mr. Angshu Mallick, MD & CEO, Adani Wilmar Limited said: “We have been witnessing a consistent demand for safe, hygienic, and nutritious packaged staple food. We are leveraging the distribution network, manufacturing facilities, logistics and customer relationships of edible oil business to grow rapidly in Food & FMCG business, which offers a much larger opportunity compared to our well-established edible oil business. We are also expanding our product portfolio with region specific products, ready-to-cook products, and category adjacencies. The Company is progressing well in the forward integration of its Industry essential business, resulting in the growth in sales of specialty chemicals, in addition to the growth in basic oleochemicals from capacity expansion. In Q3, the standalone volume grew by 17% to 1.41 mn MT, leading to EBITDA growth of 23% and PAT growth of 15%. For the quarter, the Company recorded consolidated revenue at Rs 15,438 crore and on standalone basis, registered revenue of Rs 14,714 crore, EBITDA of Rs 623 crore and PAT of Rs 277 crore in Q3.”