Food FMCG company Adani Wilmar Ltd on Friday (January 5) said the company's standalone sales experienced a 15% year-on-year decline, but the volumes showed resilience, recording a 6% year-on-year increase.
Despite the challenges, the company sustained overall growth, driven by the expanding reach of packaged oils and foods. The festive and wedding season contributed to the best-ever volumes in branded oil and foods, witnessing growth over a strong base quarter.
Rural sales remained robust, reflecting sustained demand for branded staples. Branded products in the oil and foods segments, constituting around 80% of the business, continued to grow at a faster rate. The industry essentials business remained flat year-on-year in revenue, but volumes exhibited a notable 15% year-on-year increase.
The edible oil business encountered headwinds, experiencing a 21% year-on-year decline, even though volumes remained stagnant. Despite this, the branded products within the edible oil segment witnessed a 4% year-on-year growth, contributing to an improvement in market share.
However, the overall sales volume stayed flat year-on-year, primarily attributed to subdued demand from institutional customers. The segment faced destocking challenges in December, impacting sales volume.
The wheat business, focusing on southern states, witnessed interventions and increased milling capacity, resulting in improved volume offtake. The company plans to leverage its strong product portfolio, including Fortune Sunflower Oil and Fortune Chakki Fresh Atta, to further enhance its presence in the southern market.
Despite export restrictions on rice, the food & FMCG business at Adani Wilmar showcased remarkable resilience, achieving a stellar 28% year-on-year growth in revenue and an impressive 18% year-on-year surge in volumes.
The company plans to leverage its strong product portfolio, including Fortune Sunflower Oil and Fortune Chakki Fresh Atta, to further enhance its presence in the southern market.
