Parag Milk Foods Ltd. has reported a standalone net profit of ₹26 crore for Q4 FY24, signaling a turnaround in operational efficiency and cost controls within the private dairy sector. EBITDA improved by 69% to Rs 75 crore in Q4 FY25 from Rs 45 crore in Q4 FY24. EBITDA margin was 8.2% in Q4 FY25 as against 5.6% in Q4 FY24.The company’s EBITDA margin rose to 8.2%, up from 7.7% in the previous quarter, reflecting strategic pricing, better milk procurement, and improved product mix.
Revenue from operations for the quarter stood at ₹730 crore, while total income, including other sources, reached ₹734.4 crore. The full-year (FY24) revenue was ₹2,856 crore, with a PAT of ₹52 crore. The company declared a dividend of ₹1 per share, subject to shareholder approval.
Cash flow from operations generated in FY25 was Rs 212 crore.Parag Milk has also undertaken a rebranding exercise, unveiling a new logo and packaging under the brand name “Pride of Cows,” which it plans to extend across multiple value-added dairy categories. The company emphasized its focus on premiumization, expanding distribution reach, and enhancing digital commerce capabilities.
As per the latest IMARC report 2024; the flagship brand Gowardhan Ghee commands an 22% market share in the branded cow ghee segment (No. 1 position), while the brand Go Cheese commands 35% market share in the Cheese category (No. 2 position).
The average milk prices during Q4 FY25 were at Rs 37 per litre; up 12% YoY, and FY25 milk prices were at Rs 34 per litre; almost at par YoY while the company handled and average of nearly 15 lac liters of milk per day. Despite volatility in milk prices during the period, the company has improved its gross margins.
Gross profit margins (GPM) expanded by 130 basis points YoY during FY25 to 25.8% as against 24.5% in FY24, led by improved product mix and the ability of its brands to pass on the input cost increase and command a price premium vs competition.
The announcement comes at a time when India’s private dairy players are regaining profitability amid high raw milk prices and volatile consumer demand. Parag’s efficient milk sourcing, brand-led strategy, and growing share in value-added categories such as cheese, ghee, and paneer have helped buffer margin pressures.
Industry Insight:
This result signals improving resilience among private dairies through brand diversification and product premiumization—an encouraging trend for dairy entrepreneurs and B2B buyers tracking procurement strategies and category profitability.This signals opportunity for dairy entrepreneurs to explore high-growth categories like whey, cheese, and fortified milk.
Source : Dairtynews7x7 May 3rd 2025 Business standard