Bikaji Foods Q2 FY27 profit falls 11% to ₹70.78 crore despite 13% revenue rise
Synopsis
Bikaji Foods posted 13% revenue growth in Q2 FY27 but still saw net profit fall 11.3% to ₹70.78 crore — a margin squeeze driven by weaker packaged sweets and papad performance. The Diwali timing shift to Q3 explains part of the gap, making the next quarter's results a critical test of whether the bottom line can catch up with the top line.
Key Takeaways
Bikaji Foods International reported Q2 FY27 net profit of ₹70.78 crore , down 11.3% year-on-year from ₹79.77 crore .
Revenue from operations rose 13.1% to ₹921.44 crore , but EBITDA margin narrowed to 13% from 15% .
Western snacks segment grew 44.2% and ethnic snacks grew 19.7% year-on-year.
Packaged sweets revenue fell 11.3% due to Diwali season timing; papad declined 6.3% on supply-chain issues.
H1 FY27 revenue stood at ₹1,672.8 crore , up 12.8% , with half-year PAT at ₹128.4 crore .
Shares closed 3.4% higher at ₹489 on the NSE ahead of the results.
Bikaji Foods International Limited on Thursday reported an 11.3% year-on-year decline in net profit to ₹70.78 crore for Q2 FY27 (quarter ended September 2026), down from ₹79.77 crore in the same period last year. The dip in earnings came even as the company posted double-digit revenue growth, underscoring a margin squeeze that weighed on the bottom line.
Revenue Growth Masks Margin Pressure
Revenue from operations climbed 13.1% year-on-year to ₹921.44 crore from ₹814.9 crore in Q2 FY26, according to the company's stock exchange filing. However, EBITDA contracted 7% to ₹119 crore from ₹128 crore, pushing the EBITDA margin down to 13% from 15% in the year-ago quarter. The gap between top-line growth and profitability signals rising input or operational costs that the revenue surge could not fully offset.
Segment Performance: Snacks Surge, Sweets Slip
The company's core ethnic snacks segment was a standout, with revenue rising 19.7% year-on-year. The western snacks category posted even sharper growth of 44.2%, reflecting strong consumer demand for packaged snack formats. The packaged sweets segment, however, saw revenue decline 11.3%, which the company attributed to the timing of the Diwali festive season falling in the subsequent quarter this year — a calendar-driven headwind rather than a structural one. The papad segment also slipped 6.3% due to supply-chain challenges affecting handmade papad production.
What the Management Said
Deepak Agarwal, Chairman and Managing Director of Bikaji Foods International, said the company 'witnessed healthy volume and value growth in both the ethnic snacks and western snacks categories during the quarter.' His remarks signal confidence in the core categories even as the sweets and papad verticals faced near-term disruptions.
First-Half FY27 and Market Reaction
For the first half of FY27, Bikaji Foods reported revenue from operations of ₹1,672.8 crore, up 12.8% year-on-year, supported by volume growth of 6.2%. EBITDA for the period stood at ₹217.7 crore with a 13% margin, while profit after tax came in at ₹128.4 crore and earnings per share at ₹5.22. Shares of Bikaji Foods International closed 3.4% higher at ₹489 on the National Stock Exchange (NSE) ahead of the earnings announcement, suggesting the market had anticipated the mixed results. With the Diwali-driven sweets bump expected in Q3, the company's trajectory in the second half of FY27 will be closely watched by investors.
Point of View
But the margin compression in the core business cannot be fully explained by a calendar shift. With the western snacks segment growing at 44% — a capital-intensive, competitive space — the question is whether Bikaji is trading margin for market share. If Q3 does not deliver a meaningful margin recovery on the back of festive sweets demand, investors will start asking harder questions about structural cost discipline.
NationPress
5 Nov 2026
Frequently Asked Questions
What was Bikaji Foods' net profit in Q2 FY27?
Bikaji Foods International reported a net profit of ₹70.78 crore in Q2 FY27 (quarter ended September 2026), an 11.3% decline from ₹79.77 crore in Q2 FY26. The fall came despite a 13.1% rise in revenue from operations.
Why did Bikaji Foods' profit fall despite higher revenue?
Profitability declined primarily because EBITDA contracted 7% year-on-year to ₹119 crore, pushing the EBITDA margin down to 13% from 15%. The packaged sweets segment fell 11.3% due to Diwali falling in the next quarter, and the papad segment slipped 6.3% due to supply-chain disruptions.
Which segments performed well for Bikaji Foods in Q2 FY27?
The western snacks segment was the top performer, growing 44.2% year-on-year, while the ethnic snacks segment rose 19.7%. These two categories offset weakness in packaged sweets and papad.
How did Bikaji Foods perform in the first half of FY27?
For H1 FY27, Bikaji Foods reported revenue from operations of ₹1,672.8 crore, up 12.8% year-on-year, with volume growth of 6.2%. Profit after tax for the period was ₹128.4 crore, with earnings per share of ₹5.22.
How did Bikaji Foods shares react to the Q2 results?
Shares of Bikaji Foods International closed 3.4% higher at ₹489 on the NSE on the day of the results announcement. The pre-results rally suggests the market had partly anticipated the mixed quarterly performance.
