Revenue climbs 19 per cent in the June quarter, but higher raw material expenses weigh on the dairy company’s bottom line
Chennai-based dairy products maker Hatsun Agro Product reported a 1.5 per cent year-on-year decline in consolidated profit after tax (Pat) to Rs 133 crore for the quarter ended 30 June 2026, as a sharp increase in raw material costs offset healthy revenue growth. The company’s revenue from operations rose 19 per cent to Rs 3,093 crore in the first quarter of FY27, compared with Rs 2,251 crore in the corresponding period last year, reflecting steady demand across its dairy and ice cream portfolio.
Despite the strong top-line performance, profitability came under pressure as the cost of materials consumed surged 37 per cent to Rs 2,156 crore from Rs 1,570 crore in the year-ago quarter. The increase in input costs weighed on margins, resulting in a marginal decline in quarterly earnings.
“Hatsun enters FY27 with strong momentum, driven by the enduring equity of our flagship brands, a resilient business model, and sharp operational focus. Backed by a portfolio of trusted, consumer-centric brands—including Arun Icecreams, Arokya, Hatsun, Milky Moo, HAP Daily, and Ibaco—the company continues to set industry benchmarks in quality, innovation, accessibility, and consumer trust,” said Hatsun Agro Product Chairman RG Chandramogan.
Chandramogan said the company has expanded its retail and distribution network to more than 42,000 outlets and now operates more than 22 manufacturing facilities across six states, strengthening its nationwide presence.
Shares of Hatsun Agro Product ended at Rs 928.50 on the National Stock Exchange (NSE) on Tuesday, down 0.21 per cent, or Rs 1.95, from the previous close.
