💰 Financial Performance

Revenue Growth by Segment

Consolidated revenue from operations decreased by 27.06% YoY to INR 1,006.42 Cr in FY25. On a standalone basis, revenue fell 30.10% to INR 886.74 Cr. This decline was primarily driven by a normalization of global fish meal prices and a sales slowdown, following a period of high growth where the company saw a 28% CAGR between FY19 and FY24.

Geographic Revenue Split

The company maintains a robust international footprint across Asia, Europe, and the Middle East. While specific regional percentages for FY25 are not disclosed, the company is ranked 311th in the FT1000 High Growth Companies Asia-Pacific 2025, indicating significant regional contribution. Exports represent a healthy proportion of the revenue mix, reducing single-location exposure.

Profitability Margins

Consolidated Profit After Tax (PAT) decreased by 35.27% to INR 48.10 Cr in FY25. Standalone Net Profit Margin declined from 4.95% to 4.70% due to decreased profits. However, Standalone Operating Profit Margin improved from 5.97% to 7.92% in FY25, reflecting better cost management despite lower volumes.

EBITDA Margin

The PBILDT margin stood at 9.45% in H1 FY25, an improvement from 8.26% in FY24 and 4.96% in FY20. This long-term margin expansion is attributed to economies of scale and a favorable product mix, though H1 FY25 saw a 46% YoY decline in operating income to INR 327.7 Cr due to price normalization.

Capital Expenditure

The company is planning a fundraise of INR 98.0 Cr through a preferential allotment of equity shares. These funds are specifically earmarked for acquisitions and expansion towards business and product diversification, including the acquisition of a 68% stake in United Gulf Fishery Products LLC.

Credit Rating & Borrowing

CARE Ratings assigned a 'CARE BBB+; Stable / CARE A2' rating to bank facilities totaling INR 360 Cr (enhanced from INR 100 Cr) in January 2025. Interest coverage ratio decreased from 3.96 to 2.53 times in FY25 due to increased interest costs associated with higher working capital borrowings.

⚙️ Operational Drivers

Raw Materials

Raw fish is the primary raw material, used to produce fish meal and fish oil. While the exact percentage of total cost is not specified, it is the dominant cost driver, and the company is exposed to price volatility and seasonal availability of fish.

Import Sources

Sourcing is concentrated along the western coastline of India to ensure timely availability. The company is also expanding its sourcing footprint to Oman through the acquisition of United Gulf Fishery Products LLC to diversify its raw material base.

Key Suppliers

Not specifically named in the documents, but the company maintains established relationships with a wide network of suppliers across multiple coastlines to secure raw fish in sufficient quantities.

Capacity Expansion

The company currently operates 10 manufacturing facilities, 3 blending facilities, and 5 storage facilities. Expansion is planned through the acquisition of a 68% stake in United Gulf Fishery Products LLC and a planned INR 98 Cr investment in product diversification.

Raw Material Costs

Raw material costs are subject to inherent seasonality and volatility. The company utilizes a diversified sourcing strategy and optimizes production processes to mitigate these costs, which are impacted by government fishing bans and environmental factors.

Manufacturing Efficiency

The company utilizes sophisticated blending processes and stringent quality systems. Efficiency is supported by a workforce of 314 employees as of March 31, 2025, who undergo regular training to maintain competitive edges in production.

Logistics & Distribution

Not disclosed as a specific percentage of revenue, but the company notes that its geographically diversified production facilities reduce exposure to single-location logistics risks.

📈 Strategic Growth

Expected Growth Rate

28%

Growth Strategy

Growth will be achieved through a 68% stake acquisition in United Gulf Fishery Products LLC in Oman, a planned INR 98 Cr fundraise for product diversification, and leveraging its status as a high-growth Asia-Pacific company to expand its international footprint in Europe and the Middle East.

Products & Services

Fish meal, fish oil, and fish soluble paste, which are used as essential ingredients in aquaculture feed, poultry feed, and livestock raising.

Brand Portfolio

Mukka Proteins Limited; the company also operates through various subsidiaries and associates under the Mukka Group umbrella.

New Products/Services

The company is expanding into 'product diversification' supported by a planned INR 98 Cr fundraise, though specific new product names are not yet detailed.

Market Expansion

Targeting the Middle East through the STA (Share Transfer Agreement) for United Gulf Fishery Products LLC in Oman, signed on December 10, 2025.

Market Share & Ranking

Ranked 311th in the FT1000 High Growth Companies Asia-Pacific 2025 edition.

Strategic Alliances

Entered a Share Transfer Agreement with Mr. Saif Salim Ahmed Al-Rawahi to acquire 68% of United Gulf Fishery Products LLC. It also uses contractual arrangements with third-party manufacturing units to increase its presence on the western coastline.

🌍 External Factors

Industry Trends

The industry is shifting toward sustainable sourcing and high-quality standards (QEHS). Mukka is positioning itself by obtaining environmental clearances and pollution control licenses to meet stringent international customer validations.

Competitive Landscape

Mukka is a dominant player in the Indian fish meal/oil industry, competing based on its multi-coastline manufacturing presence and ability to meet international quality standards.

Competitive Moat

The company's moat is built on 50+ years of promoter experience and a dominant market position in the fish meal industry. This 'vintage' provides established customer relationships and a specialized manufacturing network that is difficult for new entrants to replicate quickly.

Macro Economic Sensitivity

The company is sensitive to the global economic outlook, which projects a slowdown to 2.3% growth in 2025. This impacts global demand for aquaculture and livestock feed, indirectly affecting Mukka's sales volumes.

Consumer Behavior

Increased global focus on protein-rich diets and aquaculture sustainability is driving long-term demand for high-quality fish meal and oil.

Geopolitical Risks

Exposure to international trade regulations and country-specific export licenses. The acquisition in Oman introduces risks related to Foreign Exchange Management (Overseas Investment) Regulations.

⚖️ Regulatory & Governance

Industry Regulations

Operations are governed by the Export Inspection Council, pollution control boards, and country-specific export licenses. Any adverse change in Government of India export incentive rates would significantly hamper the business profile.

Environmental Compliance

Manufacturing facilities are subject to audit for pollution control and environment clearances. The company emphasizes 'environmental stewardship' as part of its risk management framework.

Taxation Policy Impact

The company complies with the Companies Act, 2013 and Indian Accounting Standards (Ind AS). Specific tax rate percentages are not disclosed, but the company noted a decrease in PBT of 31.09% and PAT of 35.27% for FY25.

Legal Contingencies

The auditor's report for FY25 is unmodified, and there are no 'Key Audit Matters' reported. No specific pending court case values in INR were disclosed in the provided documents.

⚠️ Risk Analysis

Key Uncertainties

The primary uncertainty is the volatility of raw fish prices and global fish meal demand, which led to a 27.06% revenue decline in FY25. Environmental factors like fishing bans also pose a risk to raw material security.

Geographic Concentration Risk

While production is diversified across the western coastline of India, the company is expanding to Oman to reduce geographic concentration risk in raw material sourcing.

Third Party Dependencies

The company relies on contractual arrangements with third-party manufacturing units to supplement its own 10 facilities, creating some dependency on external production standards.

Technology Obsolescence Risk

The company uses sophisticated blending processes and has maintained an audit trail in its accounting software, with no instances of tampering found by auditors, indicating low digital risk.

Credit & Counterparty Risk

Debtors' turnover ratio decreased from 10.09 to 5.95 times in FY25, indicating a slowdown in collections and potential increase in credit risk from dealers who are offered sizeable credit periods.