Prataap Snacks gains after Q1 profit more than triples to Rs 2 cr

Prataap Snacks advanced 1.21% to Rs 1171 after the packaged snacks maker reported a sharp improvement in earnings for the quarter ended 30 June 2026, aided by strong revenue growth and improved operating efficiencies.

The company's standalone net profit surged 257.97% year-on-year to Rs 2.47 crore in Q1 FY27, from Rs 0.69 crore in the corresponding quarter last year. Sales from operations increased 19.93% to Rs 490.43 crore

Profit before tax (PBT) climbed 222.12% to Rs 3.35 crore in Q1 FY27 compared with Rs 1.04 crore posted in Q1 FY26.

Operating EBITDA rose 5.76% year-on-year to Rs 19.04 crore in Q1 FY27. However, the EBITDA margin declined to 3.9% from 4.4% a year ago. The company said it mitigated a significant portion of the cost inflation through price and grammage revisions, productivity improvements and strict cost control measures.

Amit Kumat ? MD, Prataap Snacks said, ?The quarter marks a return to our long-term growth trajectory and reflects the cumulative impact of the multiple strategic initiatives undertaken recently. Growth was broad-based, driven by improving consumption trends across our key markets, encouraging consumer response to recently launched products, continued momentum in our Namkeen and potato chips portfolio, deeper distribution expansion and growing traction across emerging channels, particularly quick commerce. These multiple growth levers are now translating into tangible and sustainable business outcomes

We continue to strengthen our execution capabilities through technology-led initiatives, including Sales Force Automation and other digital interventions, which are enhancing productivity, improving market responsiveness and enabling sharper execution across our distribution network. We are also encouraged by the positive response to the pipeline of new products across our portfolio, while our quick commerce strategy continues to progress well through wider platform presence, expanding product assortment and improving consumer traction.

The ongoing Iran-USA War has caused significant inflationary pressures across key inputs, particularly palm oil and packaging laminate which have risen by around 20% YoY. In addition to core inputs, we witnessed higher freight and packaging costs. Through calibrated price and grammage interventions, disciplined cost optimisation, productivity improvements and continued operational efficiencies, we were able to substantially mitigate the impact of input cost inflation and protect our margins.

The demand environment continues to improve, our growth initiatives are gaining momentum and our execution capabilities are stronger than ever. We remain confident of delivering doubledigit revenue growth during FY27 while maintaining healthy margin levels through continued innovation, deeper market penetration, disciplined execution and sustained focus on operational excellence.?

Meanwhile, the company?s board approved the acquisition of 100% of the issued, subscribed and paid-up share capital of RLOP Food Processing from its existing shareholders, for an aggregate cash consideration of up to Rs 16.50 crore. The acquisition will provide access to government-allotted leasehold land for the company's proposed greenfield manufacturing project.

In addition, the board also approved the re-appointmet of Amit Kumar as managing director and chief executive officer for a further period of 5 years with effect from 23 September 2026.

Prataap Snacks (PSL) is a leading Indian snacks food company. It offers multiple variants of products across categories of potato chips, extruded snacks, namkeen and cakes under the popular and vibrant Yellow Diamond and Avadh brands.

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