Specialty fats leader Manorama Industries Q3 FY25 revenue soars 112.5% YoY

Manorama Industries Limited, a trailblazer in manufacturing specialty fats and butters, has posted exceptional financial results for the third quarter of FY25, reflecting strong operational growth and strategic advancements. The company, renowned for its bespoke solutions in the chocolate, confectionery, and cosmetics industries, continues to bolster its market position with a robust product portfolio and innovative practices.

What Drives Manorama Industries’ Q3 FY25 Revenue Growth?

In Q3 FY25, Manorama Industries achieved its highest-ever quarterly revenue of ₹2,092 million, marking a staggering 112.5% year-on-year (YoY) increase. This impressive performance is attributed to rising demand for specialty fats and the successful commercialization of its new fractionation capacity. The company’s ability to cater to both domestic and international markets has cemented its reputation as a leader in the specialty fats industry.

Expert Analysis:

Ashish Saraf, Chairman and Managing Director of Manorama Industries, commented, “The Q3 results reflect our resilient business model. The revenue growth is a testament to our innovative products and expanding global footprint. Our focus remains on delivering value to stakeholders while driving sustainable growth.”

How Did Manorama’s EBITDA and PAT Perform?

The company’s EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) surged to ₹552 million in Q3 FY25, a 253.4% YoY rise. The EBITDA margin expanded significantly by 1,051 basis points (bps), reaching 26.4%. This growth underscores the firm’s focus on operational efficiency, cost management, and leveraging economies of scale.

Similarly, Profit After Tax (PAT) saw an extraordinary jump of 296.8% YoY, reaching ₹295 million. The PAT margin rose by 656 bps to 14.1%, highlighting improved profitability and effective cost controls.

For the nine months ending December 31, 2024, the company reported cumulative revenue of ₹5,380 million, reflecting a 64.2% YoY increase. Over the same period, EBITDA grew by 141.1%, and PAT rose by 152.8%, indicating consistent performance across all quarters.

What Are the Strategic Growth Initiatives of Manorama Industries?

Looking ahead, Manorama Industries has outlined ambitious expansion plans to maintain its growth momentum. These include both forward and backward integration strategies to strengthen its supply chain and product offerings.

Key initiatives under consideration:

• Diversifying into the production of alternative cocoa butter equivalents (CBE).
• Establishing a palm mid-fraction manufacturing facility to enhance capacity.
• Developing industrial and compound chocolates to capture new market segments.
• Setting up processing units for Sal, Mango, and exotic seeds in Raipur, India.
• Expanding operations in Burkina Faso through a prepress and solvent extraction plant.

These strategic moves are aimed at increasing production efficiency, tapping into new markets, and fostering sustainable growth.

How Does Manorama Maintain Its Leadership in Specialty Fats?

Since its inception in 2005, Manorama Industries has been a pioneer in the specialty fats sector, offering customized solutions to Fortune 500 companies. The company’s state-of-the-art R&D centre, combined with its commitment to innovation, has allowed it to maintain a competitive edge.

Manorama’s focus on environmental, social, and governance (ESG) practices ensures ethical sourcing of raw materials and supports long-term growth. Its efforts in sustainable development have earned the company over 50 national and international accolades.

Chairman’s Insight:

Saraf added, “As part of our long-term vision, we are exploring new opportunities to strengthen our market position while remaining committed to ethical practices. Our success stems from a balance between innovation and responsibility.”

Why Is Manorama Poised for Sustainable Growth?

Manorama Industries is not only focused on financial growth but also prioritizes its responsibility toward environmental sustainability. By partnering with local communities and adhering to ethical sourcing practices, the company ensures long-term access to high-quality raw materials while supporting economic development in its operating regions.

Moreover, the company’s diversification into alternative cocoa butter equivalents aligns with growing consumer demand for sustainable and innovative products in the global food and cosmetics sectors.

Manorama Industries’ record-breaking Q3 FY25 results underscore its strong market position and strategic vision. With revenue growth exceeding 112%, significant EBITDA and PAT gains, and a clear focus on sustainable innovation, the company is poised to achieve its FY25 revenue target of ₹7,500 million.

As Manorama continues to expand its operations globally, its unwavering commitment to quality, sustainability, and innovation positions it as a leader in the specialty fats and butters industry.