Image Source: Bulkaroma
S H Kelkar and Company Ltd (Keva), India's robust fragrance and flavour company, posted consolidated revenues of ₹574 crore in Q1 FY26, reflecting robust performance amid macroeconomic headwinds and operational blips.
Key Highlights:
Revenue Performance: Q1 revenue increased by 11.3% YoY on the strength of strong domestic demand and consistent European operations. Sales in the core fragrance and flavour business were good.
European Business: European business was stable, boosted by the opening of Keva Germany GmbH, which is the company's innovation and development center. The center is likely to spearhead business growth in Europe and the Middle East in the future.
Operational Recovery: Despite a fire incident in the Vashivali plant in FY25, Kelkar ensured business continuity through production diversion to its other locations in Mulund. Regular service was resumed with capacity being reinstated to meet all customer orders.
Profitability Metrics: EBITDA stood at ₹78.3 crore, a 15.2% increase YoY. One-off losses of ₹119.9 crore for the fire, however, impacted net income, which fell to ₹86.6 crore in the red.
Adjusted PAT: Excluding exceptional items, adjusted profit after tax was ₹33.3 crore, a 24% YoY increase.
Strategic Outlook: The company is expecting over 12% top-line expansion in FY26 driven by international MNC orders, backward integration, and cost cutting. Capex plans to expand in Europe and the Vanavate plant are progressing.
S H Kelkar's resilience against adversity and continuous international drive are tributes to its strategic flexibility and dedication to long-term expansion.
Source: Economic Times, Marketshost, Moneycontrol
Advertisement
Advertisement