HMA Agro Industries Limited — Q3 FY26 earnings call

Call held 13 Feb 2026

Management summary

HMA Agro Industries reported a strong Q3 FY26, with significant year-on-year growth in both standalone and consolidated revenue and profitability. Standalone revenue grew over 46% and consolidated PBT more than doubled. The company highlighted improved operational efficiencies, strong export demand, and stable raw material costs as key drivers. However, a substantial increase in freight costs led to a near threefold rise in other expenses quarter-on-quarter.

Highlights

  • Standalone revenue from operations for Q3 FY26 increased by 46.02% YoY to ₹1,992.77 crores, driven by improved realization, strong export demand, and enhanced operational efficiency.

  • Standalone profit before tax (PBT) for Q3 FY26 grew by 61.47% YoY to ₹71.90 crores, demonstrating improved margins and cost control.

  • Consolidated PBT for Q3 FY26 surged by 112.88% YoY to ₹87.85 crores, reflecting improved operational efficiencies and stronger subsidiary performance.

  • Consolidated EBITDA for Q3 FY26 increased by 81.33% YoY to ₹105.13 crores, indicating robust operational profitability.

  • Raw material costs saw a slight decrease, with the percentage of raw material cost to revenue at 84.03% in Q3 FY26 compared to 85.41% in Q3 FY25.

Concerns

  • Other expenses for Q3 FY26 increased nearly threefold QoQ to ₹221.70 crores from ₹83.40 crores in Q2 FY26, primarily due to higher freight costs.

  • Management was unable to provide immediate bifurcation of capacity utilization figures or detailed export revenue breakdown by country during the call, suggesting these queries be submitted in writing.

Key financials

  1. Standalone Revenue from Operations ₹1,992.773 Cr +46%YoY
  2. Standalone PBT ₹71.903 Cr +61.5%YoY
  3. Standalone EBITDA ₹82.341 Cr +55%YoY
  4. Consolidated Revenue from Operations ₹2,059.448 Cr +41.5%YoY
  5. Consolidated PBT ₹87.846 Cr +112.9%YoY
  6. Consolidated EBITDA ₹105.129 Cr +81.3%YoY

What they filed

Q1 FY27: revenue up 90.4%, net profit up 357.1% against the same quarter last year.

₹ Cr · quarterly
Line itemQ2 FY25Q3 FY25Q4 FY25Q1 FY26Q2 FY26Q3 FY26Q4 FY26Q1 FY27
Revenue1,367 1,365 1,437 1,088 2,149 +57%1,993 +46%1,538 +7%2,072 +90%
EBITDA28 28 -19 7 37 +32%42 +50%2 +111%-16 −329%
Net profit25 34 -1 7 48 +92%52 +53%19 +2000%32 +357%
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.

Guidance & targets

Capacity

  • Jabalpur Chicken Processing Plant Completion Capacity · End of FY26 · High confidence Completed
    Most probably by end of this year, it will be completed.

    — Nikhil Sundrani

New Initiatives

  • Retail Market Entry for Indian Market New Initiatives · Ongoing · Low confidence In process
    Sir, it's in process.

    — Nikhil Sundrani

New Product Mix

  • Poultry Farm Production New Product Mix · Future · Low confidence Production planned
    Actually, it's a different product mix. From there, we are planning to, like, production of poultry farm; the hens and chickens. So, it's a product mix, and, we see it's a good market for poultry farm products.

    — Nikhil Sundrani

What to watch in Q4 FY26

Jabalpur Chicken Processing Plant Commissioning

Next quarter (Q4 FY26) or by end of FY26
Current Under construction, expected completion by end of FY26
Target Commercial operations commenced

Why it matters

Successful commissioning of the new plant will contribute to capacity expansion and future revenue growth.

Most probably by end of this year, it will be completed.

Risks & concerns

  • Increased freight costs due to refrigerated container shortage

    medium

    Shortage of refrigerated containers and increased demand led to a significant rise in freight costs, impacting other expenses.

    Management acknowledged

Q&A highlights

3 direct, 2 evasive
Increase in other expenses QoQ Direct
Sir, the main reason for this is the freight cost if you compare the same figures from Q2 two to Q3. But if we compare to Q3 of 2025-2026 and Q3 of 2024-2025, the percentage remains same. That is 10.03% for 2024-2025 and 10.76% for 2025-2026. But if you compare it with the last quarter of the same year and to this current quarter, Q3, the increase in freight cost was one of the main reason for this.

Analyst questioned a significant QoQ increase in other expenses, and management attributed it to higher freight costs due to refrigerated container shortages.

Asked by Abin Banerjee

Capacity utilization figures (Q2 vs Q3) Evasive
Sir, actually, this question is related to, Mr. Gulzeb, and currently, he's not available. So if you can write, we can give you a brief reply on that.

Management was unable to provide specific capacity utilization data, indicating a potential lack of immediate access to detailed operational metrics or a deferral of the question.

Asked by Kapil Adwani

Breakdown of revenue contribution from top five export markets Partial
Sir, for that, you need to write us so that we can give you the detail at what percentage comes from which country.

Management identified the top export markets but could not provide a percentage breakdown, suggesting a need for more detailed segment reporting or data availability.

Asked by Kapil Adwani

Raw material cost trend and supply constraints for livestock Direct
No. No. We are not facing any kind of supply constraint. Even the raw material prices are stable. There's no such kind of variation in the raw material prices. Because of this only, we have achieved this much of good profit. If we compare it with the previous year, the same quarter, the raw material cost in the previous year, in the same quarter, Q3, was 85.41%, and for this year, it's 84.03%. So, it's a slight difference of 1.38%. In fact, we should say a slight decrease in the prices of raw material.

Management confirmed stable raw material prices and no supply constraints, which is a positive for cost management and profitability.

Asked by Kapil Adwani

Update on retail market entry for Indian market Partial
Sir, it's in process.

Analyst inquired about progress on a previously discussed strategic initiative, but management provided a vague update, indicating slow or unquantified progress.

Asked by Kapil Adwani

Status and commercial operations start for Jabalpur Chicken Processing Plant Direct
Most probably by end of this year, it will be completed.

Management provided a timeline for the completion of a new processing plant, which is a key capacity expansion project.

Asked by Kapil Adwani

Expected revenue contribution from new poultry farm product mix by FY27 Evasive
See, as of now, it would be too early to comment on this.

Management declined to provide quantitative guidance on the financial impact of a new product segment, suggesting uncertainty or early stages of planning.

Asked by Kapil Adwani

2 min read 5 chapters

Detailed narrative

Strong Financial Performance in Q3 and 9M FY26

HMA Agro Industries reported robust financial results for Q3 and the nine months ended December 31, 2025. Standalone revenue from operations for Q3 FY26 grew by 46.02% YoY to ₹1,992.77 crores, while standalone PBT increased by 61.47% YoY to ₹71.90 crores. On a consolidated basis, revenue for Q3 FY26 rose by 41.55% YoY to ₹2,059.45 crores, and consolidated PBT saw a remarkable 112.88% YoY increase to ₹87.85 crores. The nine-month period also showed strong growth, with consolidated revenue up 46.91% to ₹5,337.40 crores and consolidated PBT up 96.90% to ₹206.29 crores.

EBITDA Expansion Driven by Operational Efficiency

The company demonstrated significant EBITDA expansion across both standalone and consolidated operations. Standalone EBITDA for Q3 FY26 grew by 54.96% YoY to ₹82.34 crores, outpacing revenue growth and indicating improved operating leverage. Consolidated EBITDA for the quarter increased by 81.33% YoY to ₹105.13 crores. For the nine-month period, consolidated EBITDA grew by 74.10% to ₹253.27 crores, reflecting enhanced operational efficiencies, better cost absorption, and improved realization in export markets.

Impact of Freight Costs on Other Expenses

A notable point of discussion was the substantial increase in 'other expenses' for Q3 FY26, which surged to ₹221.70 crores from ₹83.40 crores in Q2 FY26. Management attributed this nearly threefold quarter-on-quarter increase primarily to higher freight costs. This was explained by a shortage of refrigerated containers and increased demand, which led to higher container and shipping line costs, impacting the overall expense structure.

Stable Raw Material Prices and Export Market Focus

Management highlighted that raw material prices remained stable, with no significant supply constraints for livestock. The raw material cost as a percentage of revenue slightly decreased to 84.03% in Q3 FY26 from 85.41% in Q3 FY25, contributing positively to profit margins. The company's top five international export markets were identified as Vietnam, Egypt, Malaysia, Indonesia, and Iraq, underscoring a strong export demand and global footprint.

Strategic Expansion and New Initiatives

HMA Agro Industries is pursuing diversification initiatives to broaden its product portfolio and strengthen revenue streams. The Jabalpur Chicken Processing Plant is expected to be completed by the end of FY26, marking a key capacity expansion. The company is also testing retail products for the Indian market, with this initiative currently 'in process.' Additionally, there are plans for production in the poultry farm segment (hens and chickens), which management views as a good market, though it is too early to quantify its revenue contribution.

This is an AI-generated summary of a publicly available earnings call transcript.
View original transcript

More Fast Moving Consumer Goods earnings calls