💰 Financial Performance

Revenue Growth by Segment

Net operational revenue grew 14% YoY to INR 1,059.22 Cr in FY 2024-25. For the six months ended September 30, 2025, the Spirit segment generated INR 948.61 Cr (up 24.1% from INR 764.28 Cr) and the Marine segment generated INR 122.94 Cr (up 103.3% from INR 60.45 Cr).

Geographic Revenue Split

Not explicitly disclosed in percentages, but the company operates domestic alcohol bottling in India and is expanding marine exports through its Vietnam step-down subsidiary, IFB Vietnam Company Ltd, which is targeting international markets.

Profitability Margins

Net Profit Margin for FY 2024-25 was 2.4% (INR 25.47 Cr profit on INR 1,059.22 Cr net revenue), recovering from a net loss of 1.2% in FY 2023-24. For Q2 FY26, the standalone profit was INR 23.79 Cr, a significant increase from INR 2.77 Cr in Q2 FY25.

EBITDA Margin

EBITDA margin improved significantly to 5.59% (INR 59.24 Cr) in FY 2024-25 from 0.92% (INR 8.58 Cr) in FY 2023-24, driven by operational efficiencies and volume growth in the spirit segment.

Capital Expenditure

The company executed a major acquisition of Cargill's shrimp and fish feed business for INR 144.77 Cr effective August 1, 2025. Additionally, it invested in a capex-light model in Vietnam by installing key machinery in a third-party plant.

Credit Rating & Borrowing

Finance charges decreased by 34.6% YoY to INR 0.98 Cr in FY 2024-25 from INR 1.50 Cr, suggesting reduced debt levels or improved borrowing terms. Specific credit ratings were not disclosed.

⚙️ Operational Drivers

Raw Materials

Non-edible grain (primary for ENA/Alcohol) and shrimp/fish feed (Marine segment). Grain represents a significant portion of the distillery cost structure.

Import Sources

Sourced primarily from domestic Indian states for the alcohol business; marine feed operations are being bolstered by the acquisition of Cargill's Indian feed assets.

Key Suppliers

Cargill (acquired their feed business for INR 144.77 Cr); other grain suppliers are local agricultural vendors.

Capacity Expansion

The Vietnam value-added seafood plant completed trial production in FY 2024-25 and is expected to reach full capacity by Q3 FY 2025-26. The Cargill acquisition added substantial feed manufacturing capacity.

Raw Material Costs

Raw material costs are under pressure; grain prices are rising due to high demand from Ethanol plants, which is expected to impact distillery margins in the current fiscal year.

Manufacturing Efficiency

The company is shifting toward a 'capex-light' model in Vietnam to improve asset turnover and reduce fixed cost burdens.

Logistics & Distribution

Distribution is handled through a network for branded alcoholic beverages and export channels for marine products; costs are bundled in operational expenses.

📈 Strategic Growth

Expected Growth Rate

14%

Growth Strategy

Growth is driven by the INR 144.77 Cr acquisition of Cargill's feed business to dominate the marine feed market, and the operationalization of the Vietnam plant for value-added seafood exports to international markets.

Products & Services

Branded alcoholic beverages (IMFL), Extra Neutral Alcohol (ENA), processed marine foods (shrimp), and fish/shrimp feed.

Brand Portfolio

IFB Agro (Corporate Brand); specific liquor brand names were not listed in the provided text but fall under 'Spirituous beverages'.

New Products/Services

Value-added seafood products from the Vietnam facility and specialized aquatic feed from the newly acquired Cargill business units.

Market Expansion

Expansion into Vietnam for seafood processing and deepening the domestic footprint in the Indian aquatic feed market via acquisition.

Market Share & Ranking

Not disclosed, but the Cargill acquisition is intended to significantly increase market share in the Indian shrimp feed sector.

Strategic Alliances

Business Transfer Agreement with Cargill India for their feed business; third-party plant partnership in Vietnam for seafood manufacturing.

🌍 External Factors

Industry Trends

The industry is shifting toward Ethanol production, which competes for the same grain feedstock used in potable alcohol, causing a structural increase in raw material costs.

Competitive Landscape

Faces competition from large-scale ethanol producers for raw materials and global seafood processors in the marine segment.

Competitive Moat

Moat is based on a diversified business model (Alcohol + Marine) and recent vertical integration into feed; however, it is vulnerable to state-level regulatory changes in the liquor industry.

Macro Economic Sensitivity

Highly sensitive to agricultural commodity prices (grains) and global seafood demand trends.

Consumer Behavior

Shift toward branded alcoholic beverages and increasing global demand for processed, value-added seafood.

Geopolitical Risks

Trade barriers in seafood export markets and regulatory shifts in Vietnam could impact the step-down subsidiary's performance.

⚖️ Regulatory & Governance

Industry Regulations

Subject to state excise policies for alcohol and international food safety standards for marine exports. The company must comply with the Companies Act 2013 and SEBI LODR regulations.

Environmental Compliance

Not disclosed in absolute INR, but the company maintains a Risk Management Committee to monitor compliance.

Taxation Policy Impact

Effective tax rate for FY 2024-25 was approximately 35% (INR 13.71 Cr tax on INR 39.18 Cr PBT).

Legal Contingencies

The company denied any undisclosed price-sensitive information in response to exchange queries regarding share price movement in October 2025. No major pending court case values were disclosed.

⚠️ Risk Analysis

Key Uncertainties

Volatility in non-edible grain prices and the successful integration of the INR 144.77 Cr Cargill acquisition.

Geographic Concentration Risk

Heavy concentration of alcohol manufacturing in West Bengal; marine business is diversifying into Vietnam.

Third Party Dependencies

The Vietnam project relies on a 'capex-light' model using a third-party plant, creating dependency on that partner's operational stability.

Technology Obsolescence Risk

Low risk in core products, but digital transformation of internal financial controls is ongoing.

Credit & Counterparty Risk

Trade receivables increased to INR 63.64 Cr in the half-year ended September 2025, reflecting higher credit exposure following the feed business acquisition.