Avanti Feeds Profit Falls 55% Despite Revenue Growth

This is a result where the headline numbers tell two different stories. AVANTIFEED s reported its Q2 FY27 results, and the performance was quite mixed. The company’s consolidated revenue increased 8.9% year-on-year to ₹1,753 crore. However, net profit declined nearly 55% to ₹69 crore. So, why did profit fall despite higher sales? The biggest concern was rising costs. The company’s material costs increased around 23%, significantly faster than its revenue growth. As a result, operating profit fell nearly 60%, and operating margins dropped from 12.1% to around 4.5%. There was another development worth watching. Avanti Frozen Foods, its subsidiary, recorded an exceptional expense of ₹17.12 crore due to revised anti-dumping duty liabilities in the US. The company has filed an appeal against this liability.  [image](***** Markets News - Business Standard+1 For investors, the key question is whether Avanti can recover its margins in the coming quarters. Revenue growth is positive, but unless profitability improves, higher sales alone may not be enough. This is why looking beyond revenue numbers is important when analysing quarterly results. Educational purpose only. Not investment advice.