Heritage Foods Limited Q3 FY26 Results

Summary

Heritage Foods Limited, a leading Dairy Company offering milk and Value-added dairy products, announced its results for the quarter ended December 31, 2025. The company reported an 8% YoY growth in revenue, maintaining quarterly revenues above ₹11000 million for the third straight quarter. Milk sales grew 2.1% YoY to 11.94 LLPD, supported by market expansion and brand strength. The average selling price rose 4.9% YoY to ₹57.31/L. VAP revenue grew 13.8% YoY to ₹3,271 million. Despite adverse weather, most VAP categories registered year-on-year growth, with VAP (ex-fats) contributing 30% to total revenue.

Key Highlights

1. 1

   Consistency VAP-Led Growth despite slow retail offtakes

2. 2

   Consumer dairy business, excluding bulk-fat sales grew at 13% Y-o-Y

3. 3

   Value-added products with a strong growth of 13.8%

4. 4

   B2B bulk fats business de-grew 98% YoY in the quarter

5. 5

   Value-added product volumes grew 6.8% YoY

6. 6

   Category-Led Growth and Market Expansion

7. 7

   Volume growth was led by curd (+6%) crossing 400 tons per day for the first time in Q3 of a year

8. 8

   Pricing and Brand Strength

9. 9

   A calibrated 4.9% price hike and improved product mix offset higher input costs

10. 10

    Strategic Capacity Additions to Support VAP-Led Growth

11. 11

    Elevated Procurement Prices Across Regions Amid Supply Tightness

12. 12

    Volumes Stabilized Sequentially e Moderated Procurement Volumes

13. 13

    Milk procurement volumes stood at 16.73 LLPD in Q3 FY26, reflecting a 9% YoY decline

14. 14

    Industry Cost Headwinds

15. 15

    Procurement prices rose sharply across regions due to milk and commodity shortages

16. 16

    Q3-FY26 Consolidated Financial Performance

17. 17

    Resilient Revenue Despite Strong Industry Headwinds

18. 18

    Steady Growth in Milk Sales Volume and Realization