LIC Bets Big on Patanjali Foods, Raises Stake to 7.06% – Stock Reacts Positively

Life Insurance Corporation of India (LIC), the country’s largest insurer, has increased its stake in Patanjali Foods, a company primarily involved in the processing of oilseeds and refining of edible oils. The stake was raised by approximately 2% through open market purchases.

According to a regulatory filing made by LIC on March 5, the company acquired 73 lakh (7.3 million) shares of Patanjali Foods between November 25, 2024, and March 4, 2025. Following this acquisition, LIC’s total shareholding in the company rose beyond the 7% threshold, reaching 7.06%.

As of the end of the December 2024 quarter, Patanjali Foods had a promoter holding of 69.95%, indicating a significant controlling interest. Additionally, foreign institutional investors (FIIs) held a 13.3% stake, while domestic institutional investors (DIIs) accounted for 6.3% of the company’s ownership. The remaining 10.3% of shares were held by general public shareholders.

The increase in LIC’s stake highlights its growing investment in Patanjali Foods, a company known for its presence in India’s edible oil and FMCG sectors.

Patanjali Foods Reports Strong Q3FY25 Earnings Growth, Net Profit Jumps 71%

Patanjali Foods, formerly known as Ruchi Soya Industries, has reported a significant increase in its net profit for the third quarter of the financial year 2024-25 (Q3FY25). The company, which operates in the consumer goods and edible oil sector, was acquired by Baba Ramdev-led Patanjali Ayurveda in 2019. Following the acquisition, it was rebranded as Patanjali Foods, and its shares were relisted on the stock exchanges in January 2020.

For the quarter ending December 2024, Patanjali Foods posted a net profit of ₹371 crore, marking a substantial 71% increase compared to the ₹217 crore net profit recorded in the same quarter of the previous year. This impressive year-on-year growth reflects the company’s strong financial performance and operational efficiency.

Additionally, on a sequential basis, the company’s net profit also showed an upward trend. In the previous quarter (Q2FY25), Patanjali Foods had reported a net profit of ₹309 crore. The latest earnings indicate continued profitability and growth momentum for the company.

With its presence in the edible oil and FMCG segments, Patanjali Foods has been expanding its market footprint, and its latest financial results highlight its strengthening position in the industry.

Patanjali Foods Reports 15% Revenue Growth in Q3FY25, Operating Profit Surges 57%

Patanjali Foods has recorded strong financial performance in the third quarter of the financial year 2024-25 (Q3FY25), reporting notable growth in revenue and profitability.

The company’s revenue from operations for the quarter stood at ₹9,103 crore, reflecting a 15% year-on-year (YoY) increase compared to the ₹7,911 crore recorded in the same quarter of the previous financial year (Q3FY24). This rise in revenue indicates an expansion in sales and business activity during the period.

Additionally, the company’s operating profit saw a significant jump, increasing 57% YoY to reach ₹541 crore in Q3FY25. On a quarter-on-quarter (QoQ) basis, operating profit grew by 20.5%, indicating improved operational efficiency and cost management compared to the preceding quarter.

The company’s EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) margin for the December quarter stood at 6%, reflecting an improvement of 200 basis points (bps) from the 4% reported in Q3FY24. This increase in margins suggests improved profitability and better cost control.

The latest financial results highlight Patanjali Foods’ strong revenue growth and enhanced operational performance, positioning the company for sustained growth in the edible oil and FMCG sectors.

Patanjali Foods Stock Sees 91% Growth Over Two Years, Hits Record High in 2023

Patanjali Foods has witnessed a strong upward trajectory in its stock performance over the past two years. The company’s share price has surged from ₹923 per share to ₹1,766, marking an impressive 91.33% increase over this period. This significant growth reflects investor confidence and the company’s expanding presence in the edible oil and FMCG sectors.

In September 2023, Patanjali Foods’ stock reached a new all-time high of ₹1,992, setting a record for its highest trading price. This milestone underscores the stock’s strong performance and increasing market interest.

The company’s stock movement over the years highlights its evolving market position and financial growth, making it a key player in the industry.