Adani Wilmar revenue rises 14% to ₹55,000 cr in FY23

Its food and FMCG business grew 55% from a year earlier to around ₹3,800 crore in FY23, Adani Wilmar informed the exchanges on Thursday. The firm sells the Fortune brand of edible oil and other food products, and industry essentials.

Although the firm’s edible oil volumes growth remained flat during the March quarter and in low single-digits for the full year, food and FMCG sales grew by more than 40% in Q4.

“The food business is scaling up well and in line with our expectations. We have been making good progress in all enablers like sourcing, manufacturing, distribution, brand building and strengthening the teams for the new products,” the company added.

Its industry essentials portfolio, comprising oleochemicals or natural fat and oils used as raw material for lubricants and personal care products grew by over 60% during the March quarter, and was up by 30% in FY23.

However, standalone operations declined in the March quarter in value terms. “Edible oil operations declined in mid-teens, while food and FMCG operations grew by 60%, and industry essentials rose in low teens,” it added.

“We expect the demand for packaged oils and staple foods to remain healthy despite the various macroeconomic and geopolitical events. With our expertise in commodities and strong sourcing partnerships, we will continue to navigate price volatilities and any supply disruptions,” it said. Adani Wilmar shares ended Thursday’s trading session up 3.09% to ₹409.20 apiece on the NSE.

The company made good progress in scaling up its operations to gain market share across food products,” it said.

“We closed 2022-23 with around ₹3,800 crore of revenue in the food and FMCG segment, registering growth of 40% year-on-year) in volumes and ~55% in revenue, while seeding multiple new avenues of growth during the year.”

Adani Wilmar said supplies of imported edible oils eased during Q4FY23 compared to the earlier part of the year.

Prices have cooled from historically highs and have been stable, stimulating higher consumer demand, particularly in the rural population strata, it said. Edible oils sales grew 4% in Q4 on rising demand on the back of softening prices.