Mrs Bectors

Mrs Bectors reported a consolidated revenue from operations of INR 533.3 crores in Q3 FY26, marking an 8.4% year-on-year growth. EBITDA stood at INR 68.4 crores, growing 11.4% YoY, with EBITDA margins improving by 44 bps to 12.9%. Net profit for the quarter was INR 38.1 crores, a 10.1% increase YoY, resulting in a PAT margin of 7.1%. For the nine months ending Q3 FY26, consolidated revenue reached INR 1,557.7 crores, a 9.1% growth, with an EBITDA margin of 12.6%.

The bakery vertical demonstrated strong performance, growing 13.2% year-on-year to INR 198 crores in Q3 FY26, primarily driven by the English Oven brand. This segment has grown 36% over Q3 FY24. The biscuits vertical delivered a resilient 5.7% year-on-year growth, reaching INR 325 crores, but was impacted by the GST 2.0 transition and punitive tariffs. Despite challenges, the biscuits segment has grown 21% over Q3 FY24.

The company successfully commissioned its Kolkata plant in January, marking its entry into East India. Further expansion includes the English Oven brand's entry into the Hyderabad market. The Khopoli plant is targeted for commissioning in the next few months, which will significantly enhance capacity and operational flexibility, with planned capacities of 132,000 breads and 1 million buns per day. These initiatives are expected to strengthen presence across key markets and support sustained growth.

The proposed trade agreement between India and the United States is expected to significantly benefit the company's exports, reducing punitive tariffs from 50% to 18%. Management anticipates export growth to return to mid-teens to high-teens. However, the suspension of export incentives since August 2025 impacted margins by nearly 1% of overall revenue. The company is mitigating this by importing duty-free raw materials against advance licenses, expecting to recover damages within six months.

Mrs Bectors is focusing on building a health-oriented portfolio with the full rollout of its Zero Maida range and NaturBaked products. The company is also expanding into ready-to-eat desserts under the frozen range. In biscuits, successful Diwali season saw gifting portfolio growth over 20%, with new introductions like Golden Bites and Pista Almond cookies. Distribution is being deepened within a 400-500 km radius from both Indore and Punjab plants.

EBITDA margins for Q3 FY26 stood at 12.9%, an improvement of 44 bps YoY. Management expects margins to reach the 14% range starting from Q1 FY27, or at least in H1 FY27. The domestic biscuit segment's profitability and growth were adversely affected by the GST 2.0 transition, commodity price spikes (especially palm oil from Oct-Nov '24), and intense competition. The company is focused on correcting margins and driving growth in this segment.

Quick-commerce has emerged as a significant channel, with English Oven's contribution reaching 33-34% of its revenues, having doubled over the last 12 months. The B2B business, including exports and B2B bakery, contributes approximately 45-47% of total revenue. The frozen business, a part of B2B bakery, has grown to almost 20% of the B2B bakery segment and shows strong growth potential.