Proventus Agrocom Limited (ProV), a prominent integrated health food brand, has released its financial results for the fiscal year ending March 31, 2024 (FY24). The company reported a Profit After Tax (PAT) of INR 7.2 crore, representing a significant 96 percent increase year-over-year (YoY).
Durga Prasad Jhawar, CEO and MD of ProV, stated, “We are proud to report our operational performance for FY24. We achieved an impressive 43 percent year-on-year growth in ProV brand sales, reaching INR 303 crore. This milestone is significant for two reasons: firstly, we are among the few companies in our sector to achieve such sales while maintaining profitability; secondly, this sales figure represents approximately 2 crore units sold, reflecting the trust our customers have in our products and our extensive reach. To support this growth, we increased our production capacity to over 1.25 lakh units per day, demonstrating our execution capability and efficiency.”
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ProV has achieved significant financial milestones this year. The company’s EBITDA rose to INR 11.95 crore, marking a 54 percent year-over-year (YoY) increase. Gross margin improved to 17 percent from last year’s 14 percent. The Profit After Tax (PAT) of INR 7.2 crore reflects a robust 96 percent YoY growth. Additionally, the total consolidated income for FY24 reached INR 502 crore, showing a strong 19.5 percent YoY growth. These results underscore ProV’s growth trajectory, driven by strategic initiatives, operational excellence, and high customer satisfaction.
Future Growth Targets and Strategies
Looking ahead, ProV aims for substantial growth by FY28, targeting brand sales of INR 1000 crore, up from INR 303 crore in FY24, which translates to a compound annual growth rate (CAGR) of 32 percent. The company anticipates improving gross margins from 17 percent in FY24 to 30.1 percent by FY28. ProV plans to achieve these goals through strategic initiatives such as expanding general trade, diversifying the sales mix, product innovation, and targeted marketing and branding strategies.
India’s retail market, particularly within the “healthy snacking” segment of dry fruits, nuts, seeds, and berries, holds significant growth potential. The organised dry fruits industry in India is seeing a “Triple Push” of growth drivers. Firstly, the shift from unorganized to organized sectors is improving product availability, quality control, and customer trust. Secondly, increasing health awareness and changing dietary preferences are boosting the consumption of dry fruits, driving demand for branded products. Lastly, rising per capita income is leading to higher spending on premium, health-focused foods like dry fruits, supporting the growth of organized brands.
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With impressive growth over the past three years and a culture dedicated to delivering quality products and profitable growth, ProV is poised to achieve its ambitious goals. The company’s strategic initiatives are designed to capture a significant share of the market by FY28, ensuring continued success in India’s dynamic retail sector.
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