UMAEXPORTS - Uma Exports

📊 NSE: UMAEXPORTS 🏢 Trading 📅 Last Updated: 12/14/2025 14:41

💰 Financial Performance

Revenue Growth by Segment

Consolidated revenue grew by 12.5% YoY, reaching INR 1,724.04 Cr in FY25 compared to INR 1,532.43 Cr in FY24. Standalone revenue increased by 20.37% to INR 1,668.38 Cr, driven by a strategic shift toward domestic trading and imports.

Geographic Revenue Split

The company is transitioning from an export-heavy model to domestic markets; exports accounted for approximately 22% of revenue in Q1 FY24, but the focus has shifted to local manufacturing and processing to mitigate regulatory risks in international trade.

Profitability Margins

Profitability has significantly declined; Consolidated PAT dropped 65.6% to INR 3.50 Cr in FY25 from INR 10.18 Cr in FY24. The company reported a net loss of INR 1.06 Cr in H1 FY26, compared to a PAT of INR 4.82 Cr in H1 FY25, due to elevated finance costs and thin trading margins.

EBITDA Margin

EBITDA margins are thin due to the low-value-additive nature of trading; interest coverage ratio moderated sharply from 1.70x in FY24 to 0.52x in FY25, and stood at 0.76x in H1 FY26, indicating weakened ability to service debt from core operations.

Capital Expenditure

The company is investing in processing infrastructure, including the installation of a 100,000 MTPA Masoor (lentils) processing unit and a 50,000 MTPA edible oil facility to capture higher value-added margins.

Credit Rating & Borrowing

Ratings were downgraded in June 2025 to 'IVR BBB-/ Stable' (Long Term) and 'IVR A3' (Short Term) from 'IVR BBB/ Stable' and 'IVR A3+' respectively, reflecting moderated debt protection metrics and a total rated facility of INR 190.00 Cr.

⚙️ Operational Drivers

Raw Materials

Agro-commodities including Sugar, Masoor (Lentils), and Edible Oils represent the primary cost of goods sold, typically exceeding 95% of total expenditure in the trading model.

Import Sources

The company is shifting toward importing commodities for domestic processing, sourcing globally to meet Indian demand-supply gaps in pulses and edible oils.

Key Suppliers

Maintains a diversified supplier base of agricultural producers and international commodity aggregators; specific company names are not disclosed in the available documents.

Capacity Expansion

Current focus is on transitioning from pure trading to processing with a planned capacity of 100,000 tons per year for Masoor and 50,000 tons per year for edible oils to improve margins by 1.5% to 2%.

Raw Material Costs

Purchase of stock-in-trade and raw materials accounted for the bulk of the INR 1,732.38 Cr total consolidated expenditure in FY25, with margins highly sensitive to volatile global commodity prices.

Manufacturing Efficiency

Efficiency is currently measured by inventory turnover; the company aims to improve efficiency through local processing which adds a 'processing margin' on top of standard trading spreads.

Logistics & Distribution

Freight and handling expenses are a key cost component; for the quarter ended Sept 30, 2025, these costs are integrated into the overall expenditure to maintain competitive pricing in the domestic market.

📈 Strategic Growth

Expected Growth Rate

12.50%

Growth Strategy

The company is executing a pivot from international exports to domestic processing and import-substitution. By installing 150,000 MTPA of total processing capacity for pulses and oils, they aim to increase net profit margins by 1.5% to 2% through value addition rather than volume-based trading alone.

Products & Services

Traded and processed agricultural commodities including sugar, lentils (Masoor), food grains, and edible oils sold to domestic wholesalers and industrial buyers.

Brand Portfolio

Uma Exports Limited operates primarily as a B2B commodity trader and processor; specific consumer brand names were not disclosed.

New Products/Services

New focus on processed Masoor and refined edible oils, which are expected to contribute an additional 1.5-2% to the bottom-line margin compared to raw commodity trading.

Market Expansion

Aggressive expansion into the Indian domestic market to leverage rising local demand, reducing reliance on the export segment which previously accounted for 22% of revenue.

Market Share & Ranking

Operates in a highly fragmented industry with intense competition from both organized and unorganized players; specific market share percentage is not disclosed.

Strategic Alliances

The company operates through associates and joint ventures, which contributed a small share of profit (INR 0.47 Cr in FY25) to the consolidated results.

🌍 External Factors

Industry Trends

The industry is shifting toward organized processing and value addition; Uma Exports is positioning itself by moving away from volatile export markets (growing domestic demand) and investing in local processing infrastructure.

Competitive Landscape

Faces intense competition from numerous unorganized players and large organized trading houses, which limits bargaining power and keeps profit margins thin.

Competitive Moat

The company's moat is based on a 30-year operational track record and established supplier relationships, though this is tempered by low product differentiation and high industry competition.

Macro Economic Sensitivity

Highly sensitive to food inflation and GDP growth, as these drive domestic consumption of staples like sugar and pulses.

Consumer Behavior

Increasing domestic demand for processed and packaged agro-staples is driving the company's shift toward local manufacturing.

Geopolitical Risks

Trade barriers and global demand-supply dynamics for agro-commodities pose significant risks to the sourcing and pricing of imported goods.

⚖️ Regulatory & Governance

Industry Regulations

Operations are strictly governed by government regulations on essential commodities, including stock limits, export bans, and fluctuating import duty structures.

Environmental Compliance

ESG and environmental compliance costs are not specifically quantified but are relevant as the company expands into physical processing and manufacturing.

Taxation Policy Impact

Effective tax rate is influenced by deferred tax adjustments; in FY25, the company recorded a consolidated current tax of INR 0.37 Cr against a PBT of INR 3.75 Cr.

Legal Contingencies

The company monitors demand notices and litigations quarterly; however, specific case values in INR were not disclosed in the provided summary reports.

⚠️ Risk Analysis

Key Uncertainties

Government policy shifts regarding agro-commodity trade represent the highest uncertainty, with the potential to impact 100% of specific product line revenues overnight.