Vadilal Industries records 14% increase in net profit at Rs 16.3 cr in FY17
Ice cream maker, Vadilal Industries has reported a 14% increase in net profit to Rs 16.33 crore in FY17 against Rs 14.35 crore in FY16. The company’s total income rose to Rs 482.34 crore in FY17 against Rs 456.43 crore in FY16.
The EBIDTA margin stood at 11.68 per cent in FY17 against 12.91 per cent in FY16. The domestic sales of the Ice Cream Division (including Dairy Products) rose to Rs 419.07 crore in FY17 against Rs 398.65 crore in FY16.
Rajiv Gandhi, CMD, Vadilal Industries Ltd, said, "We have seen strong growth in export market since last couple of years. Healthy export growth has improved our realizations and margins this year compared to last year. Going forward, the export market is likely to further grow. In the domestic market, margins have improved due to rise of impulse buying and good response to higher margin products like Gourmet, Flingo and Bada Bite all introduced two years back. With actress Parineeti Chopra as our brand ambassador, advertising campaigns have also received good response."
The company has a recommended dividend of Rs 1.25 per share for the year ended March 2017.
Vadilal Industries’ capacity expanded from 1.75 lakh litres per day (lpd) to 2.30 lakh lpd over the past one year.
Gandhi said, "Going forward, we target to grow our capacity from 2, 10,000 pieces per hour to 2, 70,000 pieces per hour. In addition to market expansion and value addition in the product profile, we will continue to focus on improving our debt leverage and cash flow generation. We remain focused on building a respected brand that is preferred by consumers in India and targeted overseas markets to deliver value."