India Gate basmati rice maker KRBL's Q3 profit soars on strong demand

KRBL

03/02/2023 13:53

BENGALURU, Feb 3 (Reuters) - India's KRBL Ltd  KRBL.NS 
on Friday reported third-quarter profit that nearly tripled due
to strong demand for its India Gate-branded basmati rice in the
Middle East and domestic markets.
    The company's consolidated net profit rose to 2.05 billion
rupees ($25.1 million) in the three months ended Dec. 31, from
733.6 million rupees a year ago.
    Total consolidated revenue from operations grew 33.2% to
15.36 billion rupees.
    KBRL's export revenue grew 38%, with the Middle East
accounting for 80% of the total. Apart from basmati rice, it
exported quinoa, flaxseed, chiaseed, and brown rice to its key
markets in UAE and Saudi Arabia.
    India's premium basmati rice exports are likely to jump 15%
in 2022/23 as buyers in the Middle East build their inventories,
top exporters told Reuters in November.
    KRBL said its domestic revenue grew 32% in the quarter,
boosted by strong distribution growth and increased branded
products sale in the Hindi-speaking, West Bengal, and
Maharashtra markets.
    The company also benefitted from increased advertising
through brand placements in local TV shows such as "Masterchef
India."
    Earlier this week, LT Foods  LTOL.NS , which owns the rival
Daawat brand, reported a 29% increase in domestic basmati rice
sales.
 
 ($1 = 81.8300 Indian rupees)
 (Reporting by Manvi Pant in Bengaluru; Editing by Shweta
Agarwal)
 ((Manvi.Pant@thomsonreuters.com;))