Gopal Snacks Q2 Results: Net profit zooms nearly 2-fold on higher sales and exceptional gain

Rajkot-based Gopal Snacks Ltd on Monday (November 2) reported a 78.9% year-on-year (YoY) increase in net profit to ₹45.8 crore in the second quarter of financial year 2026-27, compared to ₹25.6 crore in the corresponding quarter last year. The Q2FY27 profit included an exceptional gain of ₹35.3 crore.

The company reported its highest-ever quarterly revenue from operations at ₹461.5 crore in Q2FY27, registering a 22.9% year-on-year increase from ₹375.6 crore. EBITDA rose 72.3% to ₹41.6 crore from ₹24.1 crore in Q2FY26, while the EBITDA margin expanded to 9% from 6.4% in the year-ago quarter.

Profit before tax (PBT), before exceptional items, rose 93% year-on-year to ₹25.9 crore, accounting for 5.6% of sales, against ₹13.4 crore, or 3.6% of sales, in the corresponding quarter last year.

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On a sequential basis, EBITDA excluding subsidy increased 22% to ₹37.4 crore, or 8.2% of sales, compared with ₹30.8 crore, or 7.3% of sales, in the previous quarter.

H1

For the first half of FY27, revenue from operations stood at ₹883.9 crore, up 26.7% year-on-year. H1 EBITDA increased 85.7% to ₹73.1 crore, accounting for 8.3% of sales, compared with ₹39.4 crore, or 5.6% of sales, in H1FY26.

Profit before tax, before exceptional items, rose 138.1% year-on-year to ₹44.5 crore in H1FY27, accounting for 5% of sales, against ₹18.7 crore, or 2.7% of sales, in the corresponding period last year.

Gathiya, wafers and snack Pellets drive growth

Gopal Snacks recorded growth across all geographical segments, with sales in its core states increasing 15.5% year-on-year, focus states growing 34.7% and other states registering 94% growth.

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Among product categories, the Gathiya segment grew 25.6%, wafers increased 40%, and snack pellets rose 23.6%, driven by consumer demand and production efficiency.

Distributor Network Expands

The company expanded its distribution network to 1,057 distributors in Q2FY27 from 858 in the corresponding quarter last year, strengthening its market reach and providing visibility for multi-quarter revenue growth. As of September 26, it had 1,057 active distributors, with steady expansion across core, focus and new markets, along with 150 micro-distributors.

Gopal Snacks has a diverse product portfolio comprising 103 products and 345 stock keeping units (SKUs), including 17 SKUs focused on the hotels, restaurants and catering (HORECA) segment, enabling wider market reach and customer penetration.

The company commissioned a besan manufacturing unit at its existing Nagpur facility in September to strengthen its backwards-integrated manufacturing operations. The unit has an installed capacity of 19,642 metric tonnes per annum (MTPA) and is expected to generate recurring savings in transportation costs.

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Gopal Snacks received the full and final insurance claim of ₹36.4 crore relating to the Rajkot fire incident, taking the aggregate insurance recovery to ₹77.4 crore.

Interim dividend

The company's board of directors declared a first interim dividend of ₹0.50 per equity share of face value ₹1 for FY27, translating into a dividend of 50%. The interim dividend will be paid on or before November 30, 2026. The board has fixed Friday, November 6, 2026, as the record date to determine the eligible shareholders for payment of the interim dividend.

Bipinbhai Hadvani, Chairman and MD, said, "Q2 FY2027 is an exceptional quarter for us, with revenue growing by 23% YOY and EBITDA Margin of 9% for the quarter. Revenue and Profitability growth demonstrate strong traction of the brand with a clear focus on the forward journey of Profitable growth. The company continues to take necessary steps to maintain margins while sustaining revenue growth in a commodity inflationary environment.

Revenue from operations increased by 22.9% YoY to ₹461.5 crores in Q2 FY2027, with Gathiya sales growing by 25.6%, Wafers by 40.0%, and Pellets & Extruded Snacks by 23.0%. Wider distribution coverage, with the network reaching 1,057 distributors, helped improve product availability across
markets.

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EBITDA grew by 72.3% YoY to ₹41.6 crore, with the margin expanding to 9.0% from 6.4%. For H1 FY2027, revenue increased by 26.7% to ₹883.9 crore, while EBITDA grew by 85.7% to ₹73.1 crore, reflecting improved manufacturing efficiency and disciplined cost management."

Shares of Gopal Snacks Ltd ended at ₹252.85, up by ₹10.30, or 4.25%, on the BSE.