💰 Financial Performance

Revenue Growth by Segment

Agri Commodities segment revenue grew 1.76% from INR 1,693.90 Cr in FY24 to INR 1,723.71 Cr in FY25. Power segment revenue declined 80.2% from INR 5.77 Cr to INR 1.14 Cr. Other segments declined 39.6% from INR 6.38 Cr to INR 3.85 Cr.

Geographic Revenue Split

Not disclosed in available documents, though the company operates a pan-India procurement network and is expanding its geographic footprint.

Profitability Margins

Net Profit Margin improved 17% YoY from 1.83% in FY24 to 2.13% in FY25. Operating Profit Margin increased 7% YoY from 16.11% in FY24 to 17.23% in FY25. PAT margin was 1.81% in FY24 compared to 1.31% in FY23.

EBITDA Margin

Historical EBITDA grew at a CAGR of 57.3% between 2016 and 2022. Operating margins are sensitive to raw material price volatility and are expected to remain above 2-3% to sustain credit health.

Capital Expenditure

Historical capex was approximately INR 5 Cr per year for FY23 and FY24, funded via internal accruals. No major debt-funded capex is planned for the medium term.

Credit Rating & Borrowing

CRISIL Stable rating. Interest coverage ratio was 5.46 times in FY24. Bank limit utilization is low at 35% to 40% as of June 2025.

⚙️ Operational Drivers

Raw Materials

Soybean (primary), wheat, and gram. Raw material costs are highly volatile, impacting the 99%+ revenue share of the Agri Commodities segment.

Import Sources

Sourced domestically from facilities located close to raw material sources in India. Import of Non-GMO soya seeds is permitted, while GMO soya seeds are banned.

Key Suppliers

Not disclosed in available documents; however, the company maintains relationships with a pan-India network of commodity suppliers and farmers.

Capacity Expansion

Current infrastructure includes 3 seed processing units, 2 oil refineries, and 1 flour mill. Specific MTPA capacity figures were not disclosed.

Raw Material Costs

Raw material costs are a significant portion of the operating income (INR 1,728.70 Cr). Profitability is susceptible to the 46% increase in crushing volumes seen in FY24 which was offset by lower price realizations.

Manufacturing Efficiency

Crushing volumes increased by 46% in FY24, though lower realizations impacted the final revenue figures.

Logistics & Distribution

Not disclosed as a specific percentage, but managed through an integrated 'Farm to Fork' model with strategic facility locations.

📈 Strategic Growth

Expected Growth Rate

10%

Growth Strategy

Achieved through a 10% expected volume growth in FY26, diversification of the product profile, retail expansion of brand names, and geographic footprint expansion. The company recently migrated from the SME platform to the NSE Main Board (Dec 2025) to enhance capital access.

Products & Services

Soya de-oiled cake (DOC) for the feed industry, refined soybean oil, flour, and traded commodities like gram and wheat.

Brand Portfolio

Khan Pan, Classic.

New Products/Services

Diversification into new agri-product segments and retail expansion is underway, though specific revenue contribution percentages are currently monitorable.

Market Expansion

Expanding geographic footprint across India and increasing retail presence to move further down the value chain.

Strategic Alliances

Consolidated business profile includes wholly owned subsidiary KN Agri Retail Private Limited (KNARPL) and Sharad KN Bio Organics Pvt. Ltd.

🌍 External Factors

Industry Trends

The industry is shifting toward ESG and carbon footprint reduction; KNAGRI positioned itself early with windmill investments since 2004. The sector faces high government intervention and regulatory volatility.

Competitive Landscape

Intense competition from both organized and unorganized players in the solvent extraction and edible oil refining industry.

Competitive Moat

Moat is built on 3 decades of promoter experience, strategic location of plants near raw material sources, and an integrated 'Farm to Fork' business model.

Macro Economic Sensitivity

Highly sensitive to climatic conditions affecting crop yields and global edible oil price trends.

Consumer Behavior

Increasing demand for branded edible oils and high demand for de-oiled cake (DOC) from the domestic feed industry.

Geopolitical Risks

Vulnerable to international trade barriers and government duties on the import of refined and crude edible oils.

⚖️ Regulatory & Governance

Industry Regulations

Subject to government duties on edible oil imports and a ban on GMO soya seed imports. Regulated by the Companies Act 2013 and SEBI Listing Regulations.

Environmental Compliance

Investments in 4 windmills to reduce carbon footprint; ESG is treated as a corporate objective.

Taxation Policy Impact

Not disclosed as a specific percentage; follows Indian Accounting Standards (Ind AS).

Legal Contingencies

The company reported zero pending litigations that would impact its financial position as of March 31, 2025.

⚠️ Risk Analysis

Key Uncertainties

Volatility in soybean prices and government policy changes regarding import duties represent the highest risks to the 2.13% net profit margin.

Geographic Concentration Risk

Procurement is pan-India, but processing facilities are strategically concentrated near raw material hubs in central India.

Third Party Dependencies

High dependency on the domestic farming community and seasonal crop cycles for raw material security.

Technology Obsolescence Risk

Low risk in commodity processing, but the company is digitally transforming through improved internal financial controls and risk management systems.

Credit & Counterparty Risk

The company extends limited credit to customers to maintain a healthy current ratio (2.89) and strong liquidity.