Dairy tech startup Milk Mantra returned to profitability posting net profits of Rs 9.8 crore in FY24 against a net loss of Rs 12.3 crore in the previous fiscal year.
The startup’s profit was Rs 13.6 crore in FY22 while its operating revenue for FY23 was Rs 272.9 crore with a 2% YoY growth, falling into loss after a streak of 8 years of profitability. In FY24, it grew marginally by 1.3% YoY to Rs 276.4 crore.
Srikumar Misra and Rashima Misra founded Milk Mantra in 2009 and it began operations in 2012. Milky Moo and Moo Shake are it’s two brands under which it sells packaged milk, flavored milkshakes, mishti dahi, lassi, curd, and paneer.
In FY24, revenue from pasteurized milk and curd kept growing, unlike the rest with the former contributing Rs 167.4 crore and the latter accounting for Rs 65.7 crore. Revenue from pasteurized milk grew 3% YoY from Rs 162.6 crore in FY23 while revenue from curd jumped 10% YoY. The dairy products company’s revenue from ghee declined 57% to Rs 26 lakh in FY24 from Rs 61 lakh in FY23.
Revenue from buttermilk and lassi dropped 27.5% YoY to Rs 3 crore while sales of cottage cheese earned Rs 27.2 crore with a 5.5% YoY decline. Revenue from sales of traded goods such as breakfast items, milk powder, raw milk, and cattle feeds, shrank to Rs 12.7 crore in FY24 from 17.1 crore in FY23.
It is likely that the company discontinued the sales of milk powder as it noted no revenue from it in the year under review as against Rs 2.8 crore in FY23. With the addition of operating revenue from scrap sales and non-operating revenue, the total revenue was Rs 279.2 crore in FY24, as compared to Rs 277.2 crore in the preceding financial year.
Milk Mantra’s total expenses shrank by 7% to Rs 269.1 crore in FY24 from Rs 289.5 crore in FY23 on the back of drop in cost of materials consumed from Rs 207.4 crore to Rs 192.8 crore in the same period.
The company had Rs 6.2 crore worth raw material inventory initially in the year. It spent Rs 192.3 crore in new purchases of raw material, increasing 1.3% YoY.
The total adjusted raw material cost declined 7.2% YoY to Rs 185.3 crore. The Bhubaneshwar-based company spent Rs 13.4 crore as freight and forwarding charges in FY24, declining 10% YoY.
Packaging cost was Rs 7.6 crore in the year under review, dropping 5.1% YoY. The company spent Rs 11.5 crore on the purchase of stock-in-trade as against Rs 13.3 crore in FY23.
Employee benefits expenses increased marginally by 1.6% YoY to Rs 18.9 crore from Rs 18.6 in the previous fiscal. While the company’s expenses on wages, salaries, and bonuses declined, it spent more on ESOPs and other employee benefits overheads.
