🚨 Manorama Industries The “Waste-to-Wealth”

Manorama Industries delivered a breakout FY25, with strong growth driven by capacity expansion, exports and rising global demand for sustainable specialty fats.

📊 FY25 PERFORMANCE • Revenue: ₹771 Cr | +69% YoY • EBITDA: ₹191 Cr | 2.6x YoY • EBITDA Margin: 24.8% • PAT: ₹112 Cr | ~3x YoY • ROE: 24.3% • ROCE: 33% 🔥 WHAT IS DRIVING THE GROWTH? The company is benefiting from rising demand for plant-based, sustainable and ethically sourced ingredients across food, confectionery and personal care. One major opportunity is Cocoa Butter Equivalents (CBE). With cocoa prices remaining volatile, global chocolate manufacturers are increasingly looking for cost-effective alternatives — creating a structural opportunity for Manorama’s specialty fat portfolio. 🌍 BACKWARD INTEGRATION = KEY ADVANTAGE Manorama is expanding its sourcing network across West Africa, allowing greater control over Shea nut procurement, quality and supply security. The company has also commercialised its 25,000 MTPA Birkoni fractionation facility, taking total fractionation capacity to around 40,000 MTPA. ♻️ Its “Waste-to-Wealth” model further strengthens the story by converting forest seeds and by-products into higher-value specialty ingredients. 🎯 Management has indicated a revenue target of ₹1,050+ Cr for FY26. ⚠️ BUT INVESTORS SHOULD WATCH • Raw-material availability and climate risks • Geopolitical & supply-chain disruptions in Africa • Forex exposure • High promoter-linked sourcing concentration • Related-party purchases forming a significant portion of procurement The company’s accounting and statutory audit remain clean, but governance and related-party concentration deserve continued monitoring. Neha Gupta SEBI Registered Research Analyst For educational purposes only. Not investment advice. Investors should conduct their own research. #ManoramaIndustries #CBE #SpecialtyFats #FoodIngredients #Confectionery #IndianStocks #Investing