Following the initial validation of the consumer business in select geographies, the company is focused on aggressive scale up of its business-to-consumer (B2C) consumer franchise
Marking a healthy improvement, Lotus Chocolate Company has seen its gross revenue rise to Rs 501.4 crore in the nine months of the current financial year (9MFY26). The gross revenue was Rs 468.34 crore in the corresponding period of the previous fiscal year.
However, the revenue dipped by 14 per cent on a year-on-year (YoY) basis in the third quarter of FY26 as it came down to Rs 142.11 crore in Q3FY26 from Rs 164.67 crore in Q3FY25. The company’s earnings before interest, tax, depreciation and amortisation (ebitda) stood at Rs 22.41 crore in 9MFY26 as compared with Rs 26.25 crore in 9MFY25.
The company delivered a net turnover of Rs 134 crore in Q3FY26, compared to Rs 147 crore in Q3FY25. Gross margins stood at 9.31 per cent versus 9.78 per cent YoY, reflecting relative margin resilience despite significant market headwinds. Amid heightened commodity price volatility, the company actively hedged its exposure to commodity price dislocations to limit downside risk.
“The company is poised to transition from a commodity-led model to a consumer-led growth engine. In pursuance of this transition, the company is also undertaking a structured review of existing B2B customer contracts to ensure alignment with the evolving consumer-led and integrated business model,” stated Natarajan M Venkataraman, Whole-time Director, Lotus Chocolate Company.
Operating through an unfavourable phase of the commodity cycle and a constrained liquidity environment, the company delivered a profit before tax (PBT) of Rs 0.53 crore for the quarter compared to Rs 3.7 crore in Q3FY25.
Following the initial validation of the consumer business introduced this year in select geographies, the company is focused on aggressive scale up of its B2C consumer franchise, transitioning from a predominantly commodity-oriented cocoa ingredients business to a consumer-led, value-accretive model.
As part of the company’s long-term growth strategy, the existing plant and machinery are being modernised after systematic review to prepare the business for the next phase of growth. These upgrades, planned for execution over the next couple of quarters, will enhance capacity, improve reliability and strengthen in-house manufacturing capabilities, the company noted in a regulatory filing.
