Milky Mist shares rally over 9% after Q1 profit surges nearly tenfold

Milky Mist Dairy Food shares jumped more than 9% during Tuesday’s trading session on the National Stock Exchange (NSE) after the recently listed company reported a sharp increase in June-quarter profit, supported by strong revenue growth and wider operating margins.

The stock opened at Rs 230.79, up 9.4% from its previous close of Rs 210.94, and touched an intraday high of Rs 230.79.

The rally followed Milky Mist’s first quarterly earnings announcement since its stock-market debut. The company’s profit after tax rose nearly tenfold to Rs 65 crore in Q1, compared with Rs 6.53 crore in the same quarter last year. Revenue from operations grew 43.6% year-on-year to Rs 973.45 crore from Rs 678.09 crore.

Tuesday’s rally added to Milky Mist’s post-listing gains. At Rs 226.05, the stock was up about 61% from its issue price of Rs 140 and 37% from its debut price of Rs 165.

Milky Mist listed on both NSE and BSE on August 18 following its Rs 1,553-crore IPO, which comprised a fresh issue of 10.20 crore shares worth Rs 1,428 crore and an offer for sale of 89 lakh shares valued at Rs 125 crore. The stock debuted at Rs 165, a 17.9% premium to its issue price of Rs 140.

The dairy products maker said growth during the quarter was broad-based, with its summer-focused categories benefiting from an extended hot season, particularly in South India. Higher volumes, an improved product mix and better pricing ability also supported the performance.
Gross profit increased 56.1% year-on-year to Rs 333.02 crore, while the gross margin expanded to 34.21% from 31.46%. Earnings before interest, taxes, depreciation and amortisation rose 74.5% to Rs 144.89 crore from Rs 83.02 crore. The EBITDA margin improved to 14.88% from 12.24%.Paneer remained Milky Mist’s largest revenue contributor, recording growth of 34% from a year earlier. Cheese revenue increased 38%, and curd grew 27%. Ice-cream sales climbed 60%, while yoghurt was the best-performing category, registering 153% growth.

“As we look ahead to FY27, our focus will remain on driving profitable growth through portfolio expansion, operating discipline and investments in our manufacturing and distribution capabilities,” whole-time director and CEO K Rathnam said.

Milky Mist’s revenue grew at a compound annual rate of 31.26% between FY24 and FY26, reaching Rs 3,138.36 crore in FY26. In FY26, the company was India’s largest private packaged paneer brand in the organised market, the largest private packaged cheese brand in South India, and one of the country’s top two private packaged yoghurt brands.

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