Patanjali Foods shares gain 7% as GQG Partners ups stake in Q4

Shares of Patanjali Foods gained nearly 7%  in the afternoon session today after the shareholding data show GQG Partners raised their stake to 11.48% in the March 2024 quarter. The investment management firm’s stake in the December 2023 quarter stood at 3.3%. The shares of Baba Ramdev-led FMCG firm gained 6.62% intraday to Rs 1424.10  against the previous  close of Rs 1335.50 on BSE. Later, shares of Patanjali Foods ended 5.41% higher at Rs 1407.70 on BSE. 

Patanjali Foods shares have gained 45% in a year and lost 10.40% since the beginning of this year.  The stock has risen 6.57% in six months. Total 0.70 lakh shares changed hands amounting to a turnover of Rs 9.80 crore on BSE. Market cap of the firm rose to Rs 50,856 crore.

In its fourth quarter business update on April 12, the company said its quarterly performance was stable and led by good results in the food & FMCG and edible oil segments. 

The Food & FMCG segment's revenue held strong in the March quarter, with high single-digit growth and steady EBITDA margins.

Edible Oils 

In the March quarter, the prices of edible oils in India remained stable and rebounded from the low levels witnessed in the previous quarter. 

Revenue from the edible oil segment in Q4 showed modest single-digit growth compared to the previous quarter, accompanied by a favorable EBITDA margin. The segmental volume in Q4 experienced mid-single-digit growth year-on-year, while FY24 witnessed double-digit growth.

In Q4 FY24, branded sales continued to account for over 77% of the total edible oil sales value. 

Food & FMCG

The Food & FMCG segment accounted for more than 30% of revenue from operations, compared to around 23% in Q4’FY23. The segment’s contribution remained consistent with Q3’FY24 and Q2’FY24 at 32% and notably higher than Q1’FY24 of 25%.