AWL Agri Business Q1 profit jumps 48% as margins improve, FMCG business shines

AWL Agri Business Ltd. reported a 48.2% year-on-year increase in consolidated net profit for the first quarter of FY27, helped by higher revenue and a sharp improvement in operating profitability.

The company's consolidated net profit rose to ₹350.3 crore for the quarter ended June 30 from ₹236.4 crore a year earlier.

Revenue from operations increased 17.5% to ₹20,048.1 crore from ₹17,058.7 crore.

EBITDA surged 89.5% to ₹693.3 crore from ₹365.9 crore, while the EBITDA margin expanded to 3.5% from 2.1% in the corresponding quarter last year.

The sharp improvement in margins suggests the company generated significantly higher operating profit despite operating in a business that typically runs on relatively thin margins.

Cost discipline and product mix support earnings

AWL said profit after tax increased 48% to ₹351 crore, driven by strong execution across businesses, disciplined cost management, an improving product mix and healthy contributions from all business segments.

A better product mix generally means a higher share of premium or higher-margin products, helping companies improve profitability even if overall sales growth remains moderate.

Underlying volume growth stood at 7% during the quarter, indicating that growth was supported by higher sales volumes and not just price increases.

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Food & FMCG business gathers pace

The company's Food & FMCG business reported revenue of ₹1,726 crore, up 22% year-on-year, with segment EBITDA crossing ₹100 crore.

Alternate channels—including e-commerce, quick commerce and modern trade—grew 27% during the quarter.

Quick commerce revenue surged 56%, while the Hotel, Restaurant and Catering (HoReCa) business expanded 30%.

Branded export volumes also doubled compared with a year ago.

The strong growth across quick commerce and modern retail reflects changing consumer buying habits, with more households purchasing packaged food through online and organised retail channels.

Rice leads growth, edible oils stay resilient

Within the Food & FMCG portfolio, rice remained the fastest-growing category, registering more than 40% year-on-year growth.

Core staples, including wheat flour, pulses, besan and poha, also continued to witness healthy demand.

Meanwhile, the company's edible oils business maintained robust profitability despite volatility in global edible oil prices, highlighting its ability to manage pricing and procurement effectively.

The Industry Essentials segment reported 13% volume growth and a 28% increase in revenue.

The broad-based growth across staples, edible oils, food products and industrial ingredients suggests AWL's expansion is no longer dependent on a single product category, making its earnings profile more diversified.

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