KRBL Limited, one of India’s leading basmati rice exporters, is charting a robust growth trajectory for FY2025-26 (FY26) as it aims to cross the ₹6,000 crore revenue mark. In an exclusive update, the company’s Chief Financial Officer (CFO) Ashish Jain has revealed key insights into the business’ performance in Q4FY25 and their strategic plans for FY26.

With exports contributing ₹1,700–1,800 crore, and domestic prices showing signs of stabilisation, KRBL expects improved realisations, expansion in branded markets, and stronger traction in value-added segments like healthy edible oils and non-Basmati rice.

Export Recovery Driving Growth

Exports remain a major contributor to KRBL’s business. In Q4FY25, they accounted for about one-third of the company’s total revenues. According to Ashish Jain, two key segments are driving export growth:

• Branded Export Markets: KRBL began addressing distribution challenges in its core markets, notably Saudi Arabia, in FY25. Early signs of recovery are visible, with branded volume starting to pick up.

• Private Label Exports: After a sluggish FY24, this segment performed significantly better in FY25, aiding overall export momentum.

The company is optimistic that the positive export trajectory will not only continue but also strengthen in FY26. Particularly in Saudi Arabia, where KRBL had faced logistical and distribution setbacks, efforts to stabilise and restore earlier volumes are already underway.

Domestic Market: Stabilisation After Volatility

The domestic market has witnessed some price volatility over the past year, with basmati rice prices declining by 20–25% year-on-year. This led to pressure on realisations even though volumes remained aligned with overall category growth.

However, Jain emphasised that this price correction has now stabilised as of the last quarter of FY25. With pricing stabilising, KRBL expects that realisation pressure will ease, supporting better top-line growth in the Indian market.

FY26 Revenue Target: Over ₹6,000 Crore

KRBL is sticking to its earlier stated goal of achieving ₹6,000 crore in revenue for FY26, a notable increase from previous years. Jain confirmed that exports alone are expected to contribute ₹1,700–1,800 crore, compared to ₹1,350 crore in FY25.

On profit margins, while the company doesn’t offer formal guidance, Jain noted that Q4FY25 is a good reference point—with a net margin of 15% on revenue of ₹1,442 crore and a net profit of ₹154 crore.

Non-Rice Segment Strategy and Edible Oil Entry

To diversify its portfolio, KRBL has set a medium-term target of generating 10% of overall revenue from non-rice segments. Though the current contribution remains modest, efforts are clearly in motion.

Key Developments:

• Healthy Edible Oils: KRBL has ventured into the healthy edible oil segment, leveraging its brand strength and robust supply chain to address this growing consumer trend.

• Non-Basmati Rice Recalibration: The company has been focusing on the non-Basmati rice market, particularly targeting high-margin, high-potential varieties. While FY25 saw a dip (₹190 crore vs ₹220 crore in FY24), recalibration began in Q3 and Q4, and growth is expected to resume.

This strategic push aligns with the broader industry trend of value-added product diversification in the FMCG space.

Saudi Market Still Crucial

Saudi Arabia remains one of KRBL’s most important export destinations. Jain confirmed that the distribution issues faced in Saudi have begun to be addressed and that the company is optimistic about returning to historical volume levels in the next few quarters.

While exact country-level export data isn’t disclosed, Saudi continues to be a major market for Indian basmati rice exporters, and KRBL’s recovery plan in the region is already in motion.

Performance Across Distribution Channels

KRBL has reported market share gains across general trade, modern trade, and e-commerce in FY25. The management expressed confidence in continuing this momentum into FY26.

The company’s multi-channel presence positions it well to respond to dynamic consumer demands, especially as branded products continue to gain traction across modern and digital platforms.

Q4FY25 Financial Snapshot

• Revenue: ₹1,442 crore

• Net Profit: ₹154 crore

• Margins: 15%

This performance highlights KRBL’s resilience amid pricing pressures, and the company believes this quarter is a strong indicator of future financial performance.

Realisations Have Stabilised

Clarifying market sentiment, Jain stated that while FY25 saw year-on-year drops in realisations, particularly in the early quarters, prices have now stabilised. He expects current price levels to sustain through FY26, which should support margins and topline growth.

Market Capitalisation and Stock Performance

As of 3:20 PM on the NSE, KRBL stock trades at ₹348.70, giving the company a market capitalisation of ₹7,988 crore. The stock has delivered a 25% return over the past year, reflecting investor confidence in its growth strategy and market positioning.

Conclusion

KRBL’s outlook for FY26 reflects a blend of strategic execution and market recovery. From tackling export bottlenecks and stabilising domestic prices to launching in non-rice categories, the company is setting the stage for long-term diversified growth.

Key investors and industry watchers will keep a close eye on how KRBL delivers against its ₹6,000 crore revenue target, as it continues to leverage its brand equity, distribution strength, and category leadership in India’s food processing sector.

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