Parag Milk Foods reports record revenue, strong profitability in Q2 FY26

Parag Milk Foods Limited announced its unaudited financial results for Q2 and H1 FY26, reporting a record quarterly revenue of INR 1008 Cr, up 16% year-over-year. This growth was driven by a 10% underlying volume increase and a 14% volume growth in core categories (Ghee, Cheese, Paneer). The company’s Profit After Tax (PAT) for Q2 FY26 increased by 56% to INR 46 Cr, with a PAT margin of 4.5%. Consolidated Net Debt to EBITDA improved to 1.4 times, and Net Debt to Equity reduced to 0.4 times, partly due to the conversion of outstanding FCCBs into equity.

For the first half of FY26, total revenue reached INR 1,859 Cr, representing a 14% year-over-year increase, with PAT growing by 30% to INR 73 Cr. The company's new-age businesses, Pride of Cows and Avvatar Sports Nutrition, grew by 79% in Q2 FY26 and now contribute 9% to overall business revenue. Strong brand-building initiatives, including partnerships with KBC and various digital campaigns, supported this performance.

Despite a 16% YoY increase in milk prices to an average of INR 38/litre in Q2 FY26, Parag Milk Foods maintained its EBITDA margin at 8.9% by effectively managing costs and improving its product mix. The company procured an average of 14 lakh litres of milk daily during Q2 FY26, demonstrating its robust procurement network and consistent supply.