Consumer Food · Founded 2015 · www.babafood.in · NSE · ISIN INE0QW501012
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1. Business Overview
Baba Food Processing (India) Ltd. is engaged in the business of processing and selling food products within India. As a company in the Consumer Food sector, its core business model revolves around sourcing raw agricultural produce, processing it into various food items, packaging them, and distributing them through various channels to reach end consumers. The company likely generates revenue through the sale of its branded food products, catering to the growing demand for packaged and processed foods among Indian consumers.
2. Key Segments / Revenue Mix
Specific revenue segmentation is not publicly available without detailed financial reports. However, typical food processing companies in India often operate across various categories such as snacks (traditional namkeens, extruded snacks), bakery products (biscuits, rusks), spices, ready-to-eat/cook items, or other value-added food products. Without specific data, the exact contribution from each product category cannot be determined.
3. Industry & Positioning
The Indian consumer food industry is characterized by its vast size, high growth potential, and intense competition. It is a mix of organized and unorganized players, including large multinational corporations (e.g., Nestlé, Unilever), major domestic conglomerates (e.g., ITC, Britannia, Parle), and numerous regional and local brands. Baba Food Processing likely operates within specific product niches or caters to particular regional markets, aiming to differentiate itself through taste, price, quality, or distribution strength within its chosen segments. Its positioning would generally be as a regional or mid-tier player compared to the large national incumbents.
4. Competitive Advantage (Moat)
For a company like Baba Food Processing, potential competitive advantages, if developed, could include:
Regional Brand Loyalty: A strong brand presence and consumer trust within specific geographic markets.
Efficient Distribution Network: A well-established and cost-effective distribution system, especially in semi-urban and rural areas.
Cost Efficiency: Ability to source raw materials competitively and manage production costs effectively.
Product Specialization: Expertise in specific traditional or regional food products that are difficult for larger players to replicate consistently.
Operational Scale (within its niche): Achieving economies of scale within its chosen product categories or regions, leading to better pricing power or margins.
5. Growth Drivers
Key factors that can drive growth for Baba Food Processing over the next 3-5 years include:
Rising Disposable Incomes: Increasing purchasing power of Indian consumers leading to higher consumption of packaged foods.
Urbanization & Changing Lifestyles: Growth in urban populations and busier lifestyles driving demand for convenience foods and ready-to-eat options.
Organized Retail Expansion: Greater penetration of supermarkets and hypermarkets providing wider shelf space and reach.
Rural Market Penetration: Untapped potential in rural and semi-urban areas as awareness and access to packaged foods improve.
Product Innovation: Introduction of new flavors, healthier options, or innovative packaging to capture evolving consumer preferences.
6. Risks
Raw Material Price Volatility: Fluctuations in prices of agricultural commodities (grains, edible oils, sugar, spices) directly impact production costs and profitability.
Intense Competition: The presence of numerous large and small players leads to pricing pressures and constant innovation demands.
Regulatory Changes: Strict food safety standards, labeling requirements, and other government regulations can increase compliance costs and operational complexities.
Supply Chain Disruptions: Dependency on agricultural seasons and external factors like weather, transportation issues, or geopolitical events can disrupt raw material supply.
Brand Perception & Quality Control: Any lapses in product quality or negative publicity can severely damage brand trust and sales.
7. Management & Ownership
In India, many mid-sized companies like Baba Food Processing are promoter-led, meaning the founding family or individuals hold a significant stake and are actively involved in strategic and operational management. The quality of management is often tied to the promoters' vision, execution capabilities, and ability to adapt to market dynamics. A strong, experienced, and ethical promoter group is crucial for sustainable growth and navigating the competitive landscape. Specific details on individual management members' track records or ownership breakdown are not available without detailed public filings.
8. Outlook
Baba Food Processing operates in an attractive market, benefiting from India's demographic tailwinds and increasing consumer shift towards packaged foods. The company's growth potential is tied to its ability to effectively scale its distribution, innovate its product portfolio, and build a strong brand presence, especially in its target markets. However, the outlook is tempered by intense competition from well-entrenched national and regional players, volatility in input costs, and the need for continuous investment in brand building and supply chain efficiency. Sustained profitability will depend on its operational discipline and ability to carve out defensible niches.
Price goes above X
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| #(Fig in Cr.) |
|---|
| Net Sales |
| Other Income |
| Total Income |
| Total Expenditure |
| Operating Profit |
| Interest |
| Depreciation |
| Exceptional Income / Expenses |
| Profit Before Tax |
| Provision for Tax |
| Profit After Tax |
| Adjustments |
| Profit After Adjustments |
| Adjusted Earnings Per Share |
| #(Fig in Cr.) | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | TTM |
|---|---|---|---|---|---|---|
| Net Sales | 107 | 97 | 190 | 184 | 206 | |
| Other Income | 1 | 0 | 0 | 1 | 1 | |
| Total Income | 108 | 98 | 190 | 185 | 207 | |
| Total Expenditure | 102 | 92 | 179 | 173 | 198 | |
| Operating Profit | 6 | 5 | 11 | 12 | 9 | |
| Interest | 1 | 1 | 2 | 2 | 1 | |
| Depreciation | 1 | 1 | 2 | 2 | 2 | |
| Exceptional Income / Expenses | 0 | 0 | 0 | 0 | 0 | |
| Profit Before Tax | 3 | 3 | 7 | 8 | 6 | |
| Provision for Tax | 1 | 1 | 2 | 2 | 1 | |
| Profit After Tax | 2 | 2 | 5 | 6 | 4 | |
| Adjustments | 0 | 0 | 0 | 0 | 0 | |
| Profit After Adjustments | 2 | 2 | 5 | 6 | 4 | |
| Adjusted Earnings Per Share | 1.7 | 1.7 | 4.2 | 3.8 | 2.6 |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Sales CAGR | 12% | 29% | 0% | 0% |
| Operating Profit CAGR | -25% | 22% | 0% | 0% |
| PAT CAGR | -33% | 26% | 0% | 0% |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Share Price CAGR | -43% | NA% | NA% | NA% |
| ROE Average | 7% | 15% | 13% | 13% |
| ROCE Average | 7% | 13% | 12% | 12% |
| #(Fig in Cr.) | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 |
|---|---|---|---|---|---|
| Shareholder's Funds | 16 | 20 | 25 | 59 | 63 |
| Minority's Interest | 0 | 0 | 0 | 0 | 0 |
| Borrowings | 12 | 12 | 12 | 9 | 40 |
| Other Non-Current Liabilities | 2 | 2 | 2 | 2 | 2 |
| Total Current Liabilities | 15 | 20 | 29 | 20 | 21 |
| Total Liabilities | 46 | 55 | 68 | 90 | 126 |
| Fixed Assets | 21 | 20 | 21 | 32 | 33 |
| Other Non-Current Assets | 9 | 5 | 4 | 11 | 52 |
| Total Current Assets | 16 | 29 | 43 | 46 | 37 |
| Total Assets | 46 | 55 | 68 | 90 | 126 |
| #(Fig in Cr.) | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 |
|---|---|---|---|---|---|
| Opening Cash & Cash Equivalents | 0 | 0 | 1 | 4 | 0 |
| Cash Flow from Operating Activities | 9 | -8 | 6 | 16 | 0 |
| Cash Flow from Investing Activities | -0 | 3 | -2 | -39 | -27 |
| Cash Flow from Financing Activities | -9 | 6 | -1 | 19 | 26 |
| Net Cash Inflow / Outflow | -0 | 1 | 3 | -4 | 0 |
| Closing Cash & Cash Equivalent | 0 | 1 | 4 | 0 | 0 |
| # | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 |
|---|---|---|---|---|---|
| Earnings Per Share (Rs) | 1.65 | 1.68 | 4.17 | 3.77 | 2.64 |
| CEPS(Rs) | 2.81 | 2.64 | 5.53 | 4.86 | 3.78 |
| DPS(Rs) | 0 | 0 | 0 | 0 | 0 |
| Book NAV/Share(Rs) | 13.74 | 16.64 | 20.83 | 35.62 | 36.88 |
| Core EBITDA Margin(%) | 4.3 | 5.03 | 5.77 | 6.32 | 3.64 |
| EBIT Margin(%) | 4.07 | 4.3 | 4.97 | 5.71 | 3.32 |
| Pre Tax Margin(%) | 2.9 | 2.9 | 3.67 | 4.56 | 2.7 |
| PAT Margin (%) | 1.86 | 2.07 | 2.64 | 3.34 | 2.09 |
| Cash Profit Margin (%) | 3.16 | 3.27 | 3.5 | 4.31 | 3 |
| ROA(%) | 4.32 | 4 | 8.15 | 7.77 | 3.99 |
| ROE(%) | 12.02 | 11.04 | 22.26 | 14.8 | 7.28 |
| ROCE(%) | 10.91 | 9.55 | 17.88 | 14.85 | 6.9 |
| Receivable days | 34.04 | 36.83 | 20.8 | 21.66 | 22.66 |
| Inventory Days | 17.49 | 41.32 | 39.82 | 37.92 | 25.29 |
| Payable days | 14.54 | 16.22 | 11.02 | 9.36 | 7.39 |
| PER(x) | 0 | 0 | 0 | 13.91 | 15.39 |
| Price/Book(x) | 0 | 0 | 0 | 1.47 | 1.1 |
| Dividend Yield(%) | 0 | 0 | 0 | 0 | 0 |
| EV/Net Sales(x) | 0.26 | 0.32 | 0.17 | 0.6 | 0.58 |
| EV/Core EBITDA(x) | 4.89 | 5.86 | 3 | 9.05 | 13.77 |
| Net Sales Growth(%) | 0 | -8.86 | 95.18 | -2.82 | 11.73 |
| EBIT Growth(%) | 0 | -3.74 | 125.51 | 11.84 | -35.16 |
| PAT Growth(%) | 0 | 1.57 | 148.65 | 22.93 | -29.97 |
| EPS Growth(%) | 0 | 1.57 | 148.65 | -9.65 | -29.97 |
| Debt/Equity(x) | 1.41 | 1.39 | 1.31 | 0.45 | 0.89 |
| Current Ratio(x) | 1.05 | 1.43 | 1.47 | 2.33 | 1.79 |
| Quick Ratio(x) | 0.71 | 0.61 | 0.63 | 1.63 | 1.08 |
| Interest Cover(x) | 3.49 | 3.06 | 3.82 | 4.95 | 5.38 |
| Total Debt/Mcap(x) | 0 | 0 | 0 | 0.3 | 0.81 |
| # | Mar 2024 | Sep 2024 | Mar 2025 | Sep 2025 | Mar 2026 |
|---|---|---|---|---|---|
| Promoter | 73.5 | 73.5 | 73.5 | 73.5 | 73.5 |
| FII | 0.03 | 0.03 | 0.03 | 0 | 0 |
| DII | 0 | 0 | 0 | 0 | 0 |
| Public | 26.47 | 26.47 | 26.47 | 26.5 | 26.5 |
| Others | 0 | 0 | 0 | 0 | 0 |
| Total | 100 | 100 | 100 | 100 | 100 |
| # | Mar 2024 | Sep 2024 | Mar 2025 | Sep 2025 | Mar 2026 |
|---|---|---|---|---|---|
| Promoter | 1.2 | 1.2 | 1.2 | 1.2 | 1.2 |
| FII | 0 | 0 | 0 | 0 | 0 |
| DII | 0 | 0 | 0 | 0 | 0 |
| Public | 0.43 | 0.43 | 0.43 | 0.43 | 0.43 |
| Others | 0 | 0 | 0 | 0 | 0 |
| Total | 1.63 | 1.63 | 1.63 | 1.63 | 1.63 |
| # | Mar 2024 | Sep 2024 | Mar 2025 | Sep 2025 | Mar 2026 |
|---|---|---|---|---|---|
| Promoter | 73.5 | 73.5 | 73.5 | 73.5 | 73.5 |
| FII | 0.03 | 0.03 | 0.03 | 0 | 0 |
| DII | 0 | 0 | 0 | 0 | 0 |
| Public | 26.5 | 26.5 | 26.5 | 26.5 | 26.5 |
| Others | 0 | 0 | 0 | 0 | 0 |
| Total | 100 | 100 | 100 | 100 | 100 |
| # | Mar 2024 | Sep 2024 | Mar 2025 | Sep 2025 | Mar 2026 |
|---|---|---|---|---|---|
| Promoter | 1.2 | 1.2 | 1.2 | 1.2 | 1.2 |
| FII | 0 | 0 | 0 | 0 | 0 |
| DII | 0 | 0 | 0 | 0 | 0 |
| Public | 0.43 | 0.43 | 0.43 | 0.43 | 0.43 |
| Others | 0 | 0 | 0 | 0 | 0 |
| Total | 1.63 | 1.63 | 1.63 | 1.63 | 1.63 |
| # | 1 Year | 3 Year | 5 Year | 10 Year |
|---|---|---|---|---|
| Sales CAGR | +12% | +29% | — | — |
| Operating Profit CAGR | -25% | +22% | — | — |
| PAT CAGR | -33% | +26% | — | — |
| Share Price CAGR | -43% | — | — | — |
| ROE Average | +7% | +15% | +13% | +13% |
| ROCE Average | +7% | +13% | +12% | +12% |
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