Modi Naturals targets Rs 880 crore revenue in FY26, focuses on FMCG growth

Modi Naturals reported a sharp turnaround in its financial performance for FY25, with revenue from operations rising 65.8% year-on-year to Rs 663 crore. The company posted an EBITDA of Rs 56 crore, up 517% from the previous year, with margins improving to 8.4%. Profit After Tax (PAT) turned positive at Rs 31 crore, compared to a loss of Rs 1.4 crore in FY24.

Cash flow from operations also improved significantly, coming in at Rs 48.8 crore against negative cash flow of Rs 6.8 crore a year ago. Return on Capital Employed (ROCE) stood at 18.3%, a sharp rise from 2.1% in FY24.

The company’s ethanol division continued to act as a key growth engine and strategic enabler, generating strong cash flows that are being reinvested into expanding its FMCG portfolio, distribution network, and brand equity, according to its annual report.

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For FY26, Modi Naturals has guided for revenue in the range of Rs 850–880 crore, EBITDA of Rs 80–85 crore, and PAT between Rs 42–48 crore.

The company, engaged in the manufacturing and marketing of edible oils and FMCG products, has a portfolio spanning edible oils, popcorn, pasta, peanut butter, and instant drink mixes. This summer, it soft-launched ready-to-mix beverages under the brand Jynx.

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Modi Naturals noted that past fiscal year was a challenging year for its consumer division due to a significant reduction in branded oil prices. However, demand has started to recover in both branded oil and food segments. EBITDA improvements were driven by better supply chain efficiencies, manpower optimization, and lower advertising and promotion spends.

Industry reports (CRISIL, IBEF) suggest India’s FMCG sector is expected to grow at a CAGR of 27.9% between 2021 and 2027, reaching nearly $616 billion. Rising rural demand, stable urban consumption, and growing online penetration—projected to account for 11% of FMCG sales by 2030—are expected to drive the industry’s next phase of growth.