Integ. Industrie — Q3 FY26 earnings call

Call held 13 Feb 2026

Management summary

Nurture Well Industries Limited delivered a strong performance in Q3 FY26 and 9M FY26, with significant year-on-year growth in revenue and profitability. The company is actively expanding its product portfolio and domestic market presence, with a new manufacturing unit planned to double revenues by FY29 and improve margins through a focus on premium segments. Funding for expansion will come from promoters, internal accruals, and capital markets.

Highlights

  • Revenue from operations stood at INR 289.77 crores in Q3 FY26, reflecting a growth of 45.80% year-on-year.

  • EBITDA for Q3 FY26 was INR 33.19 crores, up 93.80% year-on-year, with margins improving to 11.45% from 8.65%.

  • Net profit for Q3 FY26 came in at INR 34.60 crores, registering a growth of 95.04% year-on-year, with net profit margin improved to 10.72%.

  • Diluted EPS for Q3 FY26 stood at INR 1.19.

  • For the nine months ended FY26, revenue from operations reached INR 826.48 crores, a growth of 57.28% year-on-year.

  • Net profit for nine months FY26 rose to INR 92.32 crores, up by 104.20%.

  • The company is targeting INR 2,500 crores in total business by FY29, with the new Secunderabad unit becoming operational.

  • EBITDA margins are expected to improve from 10% to 15% in the next 2-3 years, driven by a premium product mix.

Key financials

2 periods

Q3

  • Revenue from Operations
    ₹289.77 Cr
    YoY +45.8%
  • EBITDA
    ₹33.19 Cr
    YoY +93.8%
  • EBITDA Margin
    11.4%
  • Net Profit
    ₹34.6 Cr
    YoY +95%
  • Net Profit Margin
    10.7%
  • Diluted EPS
    ₹1.19

9M

  • Revenue from Operations
    ₹826.48 Cr
    YoY +57.3%
  • EBITDA
    ₹89.38 Cr
  • EBITDA Margin
    10.8%
  • Net Profit
    ₹92.32 Cr
    YoY +104.2%
  • Diluted EPS
    ₹3.15

What they filed

Q1 FY27: net profit up 21.8% against the same quarter last year.

₹ Cr · quarterly
Line itemQ2 FY25Q3 FY25Q4 FY25Q1 FY26Q2 FY26Q3 FY26Q4 FY26Q1 FY27
Revenue14 17 13 0 0 −100%0 −100%0 −99%0
EBITDA0 0 1 -0 -0 −226%-0 −177%-0 −159%-0 −141%
Net profit0 1 1 1 1 +946%1 +77%1 +12%2 +22%
How to read this

₹ crore, as filed. The percentage beside a figure is the change against the same quarter a year earlier — never the quarter before, which would make every seasonal business look like it collapses and booms each year.

Capital allocation

high confidence
  • Capex Capex disclosed promoters' contribution, internal accruals, and capital markets (raising more equity)
    • Line additions to existing Neemrana plant ₹15 Cr
    • New manufacturing unit (Secunderabad) - capex component ₹300 Cr
    • New manufacturing unit (Secunderabad) - working capital component ₹100 Cr
    See, the existing plant, the overall the addition in the lines will take approximately INR15 crores to INR20 odd crores, that is there in the - that is already there in the company. So and for the new unit, we are considering the capex of approximately INR400 crores, wherein INR300 odd crores will be going towards the capex, and rest INR100 crores will go towards the working capital. So that is the overall capex number that we have identified for next two years. No, there will not be any debt. Yes, but it will be funded entirely through the promoters' contribution, some internal accruals, and rest will be through the capital markets. Capital market. So will be raising more equity to finance this. Correct, correct. With along alongside promoters' contribution also.

Guidance & targets

Revenue

  • Overall Top Line Revenue · FY26 · Medium confidence INR 1,150 crores
    So given the -- the good numbers we have expected in quarter four of FY 2026, so we are expecting overall top line will be roughly close to INR1,150 croress roughly. So that will be approximately a jump of approximate 50% to the last year turnover.

    — Vikas Tandon

  • Total Business Revenue Revenue · FY29 · High confidence INR 2,500 crores
    So coming up with the total number, so we are expecting roughly targeting to INR2,500 croress once the second unit is operational. So INR2,500 crores is the target for FY '29 total business.

    — Vikas Tandon

  • Indian Business Revenue Revenue · FY29 · High confidence INR 1,200-1,300 crores
    So Indian business is expected to contribute roughly close to INR 1,200 crores to INR 1,300 crores over and in the overall INR2,500 crores business.

    — Vikas Tandon

  • Domestic Contribution to Total Turnover Revenue · next two to three years · Medium confidence 50-60%
    And as regard to the expansion of the domestic contribution to the total sales, yes, we are in line with that. And that's why the new unit is also expected to increase the domestic contribution to at least 50% to 60% of the total turnover in next two to three years.

    — Vikas Tandon

  • Domestic Revenue Revenue · next financial year · Medium confidence INR 230-250 crores
    So, we are expecting that for next financial year, the domestic contribution is going to increase from 125 to 30 to approximately INR250 crores to INR230 crores

    — Vikas Tandon

  • Current Plant Revenue (100% utilization) Revenue · ongoing · High confidence INR 200-225 crores
    See, in terms of the existing setup at Neemrana, we are operating at a 65% of the capacity, so given the 100% capacity utilization, we will reach INR200 crores to INR225 crores.

    — Vikas Tandon

  • Current Plant Revenue (with new lines, 100% utilization) Revenue · future · High confidence INR 300-350 crores
    But in next year, we are planning to add two to three lines in the business setup, so given the 100% utilization for those capacities also, we can reach up to INR300 crores to INR350 crores.

    — Vikas Tandon

  • Revenue Mix (Indian vs. Overseas) Revenue · three years from now · High confidence 50-50%
    By three years we will have approximately 50-50% of the contribution of Indian as well as the overseas customer overseas business.

    — Vikas Tandon

Profitability

  • EBITDA Margin Profitability · next 2 to 3 years · High confidence 15%

    From 10% today

    EBITDA margins that I am talking. EBITDA margin 10 to from 10, it will be rising to 15%.

    — Vikas Tandon

  • Gross Margin (Indian Market, New Setup) Profitability · future · High confidence 25-30%

    From 10-13% today

    See, presently the gross margin that we have in the Indian market is approximately 10% to 12%, 13% and with the new setup coming up, it will go almost double, it will go up to 25% to 30% because of the premium nature of the segment that we are going to enter into.

    — Vikas Tandon

  • ROE Profitability · once capacity expansion is done · Medium confidence 24-25%
    ROE number going forward for, let's say, once this capacity expansion is done, so we are targeting approximately 24% to 25% going forward.

    — Vikas Tandon

  • Indian Segment Margin (New Unit, Premium) Profitability · future · High confidence 16-18%

    From 6-8% today

    See, as of now, in Indian segment we are we are generating a margin of 6% to 8% the overall margin and the overseas subsidiary is giving us a margin of 10%. So with the new unit with premium segment, the Indian contribution of the margin will go up to roughly 16% to 18%, giving us an overall margin of 15%.

    — Vikas Tandon

  • Overseas Margin Profitability · future · Medium confidence 11-11.5%

    From 10% today

    So we are expecting an increase from 10% to 11%. 1%, 1.5% the cost reduction that is again possible, so that will increase our margin in the overseas market also.

    — Vikas Tandon

Capacity

  • New Secunderabad Plant Commercial Operations Capacity · FY28-29 · High confidence FY28-29
    Okay. Starting with your first question, commercial operations from the new unit is expected to start from 18 to 24 months from now on. So technically, we are expecting the revenues to commence from the new unit in financial year 2028-2029 roughly, that is one part.

    — Vikas Tandon

  • New Secunderabad Plant Trial Runs Capacity · End of FY27 · High confidence End of FY27
    We will start from by the end of FY '27, the trial runs will be done, but yes, for entire 12 months will be FY '28-29.

    — Vikas Tandon

  • Current Plant Capacity Utilization Capacity · ongoing · High confidence 80-85%

    From 65-70% today

    The current capacity is expected to operate at 80% to 85% and the new capacity also in line with that, 80% to 85%.

    — Vikas Tandon

New Products

  • Official Launch of New Products (Noodles, Cornflakes, Chocolate) New Products · next one month or two months · High confidence Next 1-2 months
    So, now we are officially launching it in next one month or two months.

    — Sanidhya Garg

What to watch in Q4 FY26

New Secunderabad Plant Progress

Next 12-15 months for completion, trial runs end FY27
Current Land acquired, internal work in process, building approval pending
Target Building approval received, erection work started

Why it matters

The new plant is crucial for achieving the targeted revenue doubling by FY29 and improving overall margins through premium product offerings.

See the land has already been acquired and the internal working as regard to the production line, setting up of the line, interiors, then that is already under process. So there are certain building approval plan that is pending. So for that, unless we receive that, we cannot start the erection work. So we are very much in line with that, I think we are scheduled as per target we will be able to complete the entire setup by next - by another roughly 12 to 15 months. So we will catch up with the production soon.

Risks & concerns

  • Delay in New Plant Construction due to Building Approvals

    medium

    Building approval plan for the Secunderabad plant is pending, which is delaying the start of erection work. However, management expects to catch up and complete the setup within 12-15 months.

    Management acknowledged

  • Customer Concentration in Overseas Business

    low

    Analyst noted 75% of FY25 overseas revenue from one customer. Management explained this is due to a consolidator model where super stockists distribute to many end-customers, and this concentration is reducing to 50-55% in the current year.

    Analyst downplayed

  • Investor Relations Contactability

    low

    An individual investor reported difficulty contacting the company via phone or email. Management stated that contact channels are working and committed to investigating the issue and responding to queries.

    Analyst acknowledged

Q&A highlights

5 direct
Domestic Expansion Geographies Direct
Yes, we are. We are trying to expand into the UP market, which is a really big market. Plus, we are also looking at MP and Bombay as well. No, not as... not as of right now.

Clarifies the immediate domestic market expansion strategy, focusing on specific states and excluding others for now.

Asked by Snehadeep Aich

New Manufacturing Plant Commencement Timeline Partial
commercial operations from the new unit is expected to start from 18 to 24 months from now on. So technically, we are expecting the revenues to commence from the new unit in financial year 2028-2029 roughly... So there are certain building approval plan that is pending. So for that, unless we receive that, we cannot start the erection work. So we are very much in line with that, I think we are scheduled as per target we will be able to complete the entire setup by next - by another roughly 12 to 15 months.

Provides a detailed timeline for the new plant's operations and identifies pending building approval as a current bottleneck, while reassuring that the overall target remains on track.

Asked by Shushant Kwatra

India vs. Export Business Mix and Growth Strategy Direct
the overseas business includes the contract manufacturing, which we are getting it done through Malaysia and catering to the Middle East and other African countries directly from there. And the overall contribution of the overseas manufacturing is approximately close to 80% roughly and rest 20% is coming from the Indian manufacturing unit. And as regard to the expansion of the domestic contribution to the total sales, yes, we are in line with that. And that's why the new unit is also expected to increase the domestic contribution to at least 50% to 60% of the total turnover in next two to three years.

Clearly outlines the current revenue split between domestic and international markets and the strategic intent to significantly increase domestic contribution with the new capacity.

Asked by Shushant Kwatra

Domestic Revenue Performance Direct
No, no, I think you have some incorrect figures. The domestic revenue is also increasing. Yes, but -- no, no, there is an increase in the domestic revenue also and precisely if I -- if I see, last year the domestic turnover was approximately INR35 croress to INR40 croress on a quarter basis, and the similar line, at least 10% jump is there in the domestic revenue also as well in this quarter.

Corrects an analyst's misconception about declining domestic revenue, confirming positive growth in the Indian market.

Asked by Ritik

Overseas Business Customer Concentration Partial
See, basically how our business model is set up now, you have to understand that we are doing through the consolidators and super stockists located in UAE and other Middle East countries so they onward cater to the African markets so that we don't need to worry about the realizations. So that is the business model which is being deployed by the other industry players also. So we operate through the consolidators, so these consolidator normally take chunk of the production or the inventory and then they cater to the various customers.

Explains the overseas distribution model, addressing concerns about customer concentration by clarifying the role of consolidators in reaching a broader end-customer base.

Asked by Sonia Keswani

Low Tax Rate and Future Margin Profile Direct
Yes, because the overseas business is tax-exempted because of the low offshore income for that particular country. So that's why there is no tax on that income. And we are paying taxes only corresponding to the Indian income. So that is why the taxation level in terms of amount as well as the percentage is low. Yes, the moment the Indian contribution is expected to grow, the taxation will increase, but again, the overall contribution to the total profits is also expected to grow because of the increased profits we are expecting from the premium segment which we are more profitable which will be catering from the new unit.

Clarifies the reasons for the current low tax rate and explains how the shift towards higher-margin domestic premium products will boost overall profitability despite a potential increase in the effective tax rate.

Asked by Sonia Keswani

Management Experience and Industry Competitiveness Direct
See, the management is already a very experienced management, they were previously -- they were they started with the steel industry and they have been doing very well there also. And thereafter in 2023, they started with setting up of the unit for the biscuit manufacturing and there also they have been doing very well. So apart from that, they have a interest in the telecom sector also, there they are doing extremely well also.

Provides background on the management team's diverse industry experience, addressing potential concerns about their capability to succeed in a competitive FMCG market.

Asked by Sonia Keswani

Company Contactability Issues Partial
I think some voice issue he had, but whatever I could understand I will try to explain. The email IDs are totally working, phone number is working, and if you are not been able to contact on that phone number or something, we will definitely look into it, but at least you can drop a mail, the reply will definitely come from our office, that is not an issue.

Addresses a direct complaint from an individual investor regarding difficulty in contacting the company, indicating a commitment to investor relations despite potential technical issues.

Asked by Rangan

3 min read 5 chapters

Detailed narrative

Strong Financial Performance in Q3 FY26 and 9M FY26

Nurture Well Industries Limited reported robust financial results for Q3 FY26, with revenue from operations growing by 45.80% year-on-year to INR 289.77 crores. EBITDA saw an even stronger increase of 93.80% to INR 33.19 crores, leading to an EBITDA margin expansion to 11.45% from 8.65% in the prior year. Net profit surged by 95.04% to INR 34.60 crores, with diluted EPS at INR 1.19. For the nine months ended FY26, revenue reached INR 826.48 crores (up 57.28% YoY) and net profit rose by 104.20% to INR 92.32 crores, demonstrating consistent growth across the fiscal year.

Strategic Expansion in Domestic Market and Product Portfolio

The company is actively pursuing expansion in the domestic market, targeting new geographies such as Uttar Pradesh, Madhya Pradesh, and Bombay. This is complemented by a significant broadening of its product basket, including the addition of donuts, rusk, khari biscuits, kulcha, bread, and puff variants. Management also indicated plans to introduce noodles, cornflakes, and chocolate products, with trial runs already underway and official launches expected within the next 1-2 months. This strategy aims to enhance opportunities across both retail and institutional channels.

Capacity Expansion Plans and Funding

To support its growth ambitions, Nurture Well Industries is undertaking substantial capacity expansion. The existing Neemrana facility, currently operating at 65-70% utilization (2,000 tons/month), is targeted to reach 80-85% utilization and will see additions of 2-3 new lines in FY26-27, costing INR 15-20 crores. A new manufacturing unit in Secunderabad is planned with a total investment of INR 400 crores (INR 300 crores for capex and INR 100 crores for working capital). This new unit is expected to commence commercial operations in FY28-29, with trial runs by the end of FY27. The total capex for the next two years is projected at INR 400-450 crores, to be funded through promoters' contributions, internal accruals, and capital market equity raises, with no long-term debt planned.

Overseas Business Model and Margin Profile

The company's overseas business, primarily contract manufacturing in Malaysia, currently accounts for approximately 80% of total revenue. It operates through consolidators and super stockists in the UAE and Middle East, who then cater to African markets. While the overseas segment currently yields a 10% margin and is tax-exempt, the Indian segment's margin is 6-8%. With the new unit focusing on premium products, the Indian gross margin is expected to jump from 10-13% to 25-30%, leading to an overall EBITDA margin improvement from 10% to 15% in the next 2-3 years. The overseas margin is also targeted to increase to 11-11.5%.

Long-Term Vision and Revenue Targets

Nurture Well Industries has set an ambitious target of achieving INR 2,500 crores in total business by FY29, once the new Secunderabad unit is fully operational. The Indian business alone is projected to contribute INR 1,200-1,300 crores to this total. The company aims to shift its revenue mix to a 50-50 split between Indian and overseas business within three years, significantly increasing the domestic contribution from the current 20% to 50-60% of total turnover. This strategic pivot towards the higher-margin domestic market, coupled with new product introductions, is expected to drive substantial growth and profitability.

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