Avanti Feeds shares zoom nearly 8% after Q4 profit surges 40% YoY, margin improves

Avanti Feeds shares zoomed 7.7% to their intraday high of Rs 928.75 on the NSE in early trade after the company delivered a strong performance for the March quarter, with consolidated net profit rising 39.6% year-on-year to Rs 157 crore, up from Rs 112.6 crore in Q4 FY24.

Improved margins and steady revenue growth drove the profit growth. Revenue for the quarter rose 7.9% to Rs 1,385 crore, compared with Rs 1,284 crore in the same period last year.

Operational efficiency contributed to a 36.4% jump in EBITDA to Rs 176.7 crore, up from Rs 129.5 crore. The EBITDA margin improved to 12.76% from 10.09% a year ago, reflecting better cost control and favourable realisations.

The company’s board has recommended a final dividend of Rs 9 per equity share (face value Rs 1) for FY25, subject to shareholder approval at the upcoming AGM. If approved, the dividend will be paid within the stipulated time frame following the meeting.

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Avanti Feeds Share Price Target

According to Trendlyne, the average target price for Avanti Feeds is Rs 784, indicating a downside of nearly 9% from current levels. Among the three analysts tracking the stock, the consensus rating is ‘Buy’.

Avanti Feeds shares have gained 25% over the past three months and 127% over the past two years. The company’s current market capitalisation stands at Rs 11,921 crore.

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