Prospect Consumer Products Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Prospect Consumer Products Ltd filed with BSE on 03 Jun 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Prospect Consumer Products reported total income of Rs 57.62 crore for FY26, up 85% year-on-year, with EBITDA rising 48.34% to Rs 6.31 crore and PAT growing 14.76% to Rs 2.44 crore. Management attributed H2 margin pressure to depreciation, rupee depreciation on imported raw material, higher interest costs from working capital debt, and increased marketing spend on new SKUs and D2C branding. The company discussed capacity expansion at its Changodar facility, its DriFrutz brand launch, sourcing from African markets, and rising inventory and debt levels tied to production scale-up.
1 statement from this call is not shown because its supporting quote could not be reproduced within our quoting limits. Nothing shown here is affected: every statement on this page carries its verified quote.
Numbers mentioned
Total income: 57.62 crores (FY26)
p. 2
“We recorded an exceptional total income of 57.62 crores in financial year 26, representing a substantial year-on-year growth of 85%.”
Vimal Mishra, page 2 of the filed PDF · View the filing
EBITDA: 6.31 crores (FY26)
p. 2
“Our operating profitability also improved, with EBITDA witnessing a strong year-on-year increase of 48.34%, reaching to 6.31 crores.”
Vimal Mishra, page 2 of the filed PDF · View the filing
Profit after tax: 2.44 crores (FY26)
p. 2
“Furthermore, our profit after tax grew by 14.76% year-on-year to stand at 2.44 crores.”
Vimal Mishra, page 2 of the filed PDF · View the filing
Total installed capacity: 4,800 metric tons per annum (FY26)
p. 2
“We successfully increased our total installed capacity to 4,800 metric tons per annum.”
Vimal Mishra, page 2 of the filed PDF · View the filing
Capacity utilization: 2,500 to 3,000 metric ton per annum (FY26)
p. 2
“More importantly, we rapidly scaled our capacity utilization to the 2,500 to 3,000 metric ton per annum range during this period.”
Vimal Mishra, page 2 of the filed PDF · View the filing
Automation level: approximately 80%
p. 2
“By integrating advanced automation system at this facility, we have reduced manual processing requirements and achieved approximately 80% automation.”
Vimal Mishra, page 2 of the filed PDF · View the filing
B2C/D2C sales value: around 50-60 lakh rupees
p. 6
“It's not even you can say roughly it's around 50-60 lakh rupees in terms of value for that.”
Vimal Mishra, page 6 of the filed PDF · View the filing
Inventory value: around 18 Cr
p. 9
“Now it's around 18 Cr.”
Rahul Singhania, page 9 of the filed PDF · View the filing
Borrowings: over 10 Cr
p. 9
“So our borrowings also have jumped from nearly 5 crores last year to over 10 Cr now.”
Rahul Singhania, page 9 of the filed PDF · View the filing
Finance costs: 1.3 Cr (FY26)
p. 10
“finance costs have increased significantly from 0.48 Cr in FY25 to 1.3 Cr in FY26.”
Moderator, page 10 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Capacity utilization — 3,500 to 4,000 metric ton per annum · this financial year
stated firmly by Vimal Mishra
p. 2
“We plan to scale our capacity utilization to 3,500 to 4,000 metric ton per annum by this financial year.”
Vimal Mishra, page 2 of the filed PDF · View the filing
Revenue CAGR — 40 to 45% CAGR · next three years
stated as an aspiration by Vimal Mishra
p. 2
“We are structurally positioning ourselves to target 40 to 45% CAGR over the next three years while delivering sustainable high-margin growth.”
Vimal Mishra, page 2 of the filed PDF · View the filing
EBITDA margin — 12 to 15%
stated as an aspiration by Vimal Mishra
p. 4
“But still we are trying to increase our EBITDA margin from we try to maintain it between to 12 to 15%.”
Vimal Mishra, page 4 of the filed PDF · View the filing
Capacity utilization — 4500 to 5000 tons · next year
stated as an aspiration by Vimal Mishra
p. 4
“Now we are gone through everything so this year we are targeting 3500 to 4000 tons something and next year it will be somewhere around 4500 to 5000 tons.”
Vimal Mishra, page 4 of the filed PDF · View the filing
B2C/D2C revenue share — 10% of revenue
stated as an aspiration by Vimal Mishra
p. 6
“But we are targeting as a first threshold what we are targeting is somewhere around 10% of our revenue.”
Vimal Mishra, page 6 of the filed PDF · View the filing
Debt to equity ratio — maximum 0.6 · by this year end
stated conditionally by Vimal Mishra
p. 9
“So maximum I think it should not be more than 0.6.”
Vimal Mishra, page 9 of the filed PDF · View the filing
PAT margin — 5 to 7% · FY27
stated as an aspiration by Vimal Mishra
p. 10
“But we are right now focusing more on a EBITDA side rather actually looking directly on PAT margins.”
Vimal Mishra, page 10 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management cited depreciation impact, adverse rupee movement on imported raw material under average-cost accounting, higher interest costs from working capital debt, and aggressive marketing spend on new SKUs.
Answered by Vimal Mishra
Asked by Abhishek Shah: Why did operating margins decrease in H2 versus H1?
p. 3
“First, we have a depreciation effect of roughly around 1.5 crores coming.”
Vimal Mishra, page 3 of the filed PDF · View the filing
Management said costs are rising due to exchange rate and fuel price increases but targeted maintaining EBITDA margin between 12-15%.
Answered by Vimal Mishra
Asked by Abhishek Shah: What EBITDA margins are expected going forward given the impact of the war on imported raw material costs?
p. 4
“So EBITDA will be somewhere around 12 to 15% you can consider that.”
Vimal Mishra, page 4 of the filed PDF · View the filing
Management attributed the growth purely to volume expansion from increased capacity utilization.
Answered by Vimal Mishra
Asked by Raghav Shrivastava: Was the revenue growth driven by volume, price, or product mix?
p. 6
“No, it's with the production expansion actually what we have done because we have utilized this capacity this year 2500 to 3000 tons.”
Vimal Mishra, page 6 of the filed PDF · View the filing
Management explained that roughly 30% of cashew inventory requires labor-intensive manual processing, creating a stock buildup that they are working to reduce by expanding manpower.
Answered by Vimal Mishra
Asked by Rahul Singhania: Why has inventory nearly doubled to around 18 Cr?
p. 9
“So this material is creating a dead stock as you mentioned actually right the stock pile up in our books actually.”
Vimal Mishra, page 9 of the filed PDF · View the filing
Management said the debt-to-equity ratio would not exceed 0.6 and expects to reach a breakeven point by year end.
Answered by Vimal Mishra
Asked by Rahul Singhania: What is the peak debt level anticipated as the company scales B2C operations?
p. 9
“It won't cross 1:1 for sure, it's maximum it may reach to 0.6 something.”
Vimal Mishra, page 9 of the filed PDF · View the filing
Management said they are focused more on EBITDA than PAT, expecting PAT to be around 5-7% while targeting 10% of revenue from B2C.
Answered by Vimal Mishra
Asked by Jatin Navlani: What is the PAT margin guidance for next year given B2C expansion?
p. 10
“So around roughly PAT will be will be somewhere around 5 to 7% that's what we may reach we will be there.”
Vimal Mishra, page 10 of the filed PDF · View the filing
Risks flagged
Rising fuel prices increasing transport costs
p. 4
“Secondly, the fuel prices have gone up so definitely transport cost will also get increased.”
Vimal Mishra, page 4 of the filed PDF · View the filing
Manual processing bottleneck creating inventory buildup
p. 9
“Because there are few cashews where the testa, their husk basically, it will remain on it even though you try for to get into clear in the peeling machine for twice or thrice.”
Vimal Mishra, page 9 of the filed PDF · View the filing
Rising raw material prices year over year
p. 9
“Because in cashew generally couple of years back the raw material price was somewhere around 110-120 rupees. Last year it went to 140-150 rupees. This year it's around 170-175 rupees right now.”
Vimal Mishra, page 9 of the filed PDF · View the filing
Long import transit times affecting payment cycle
p. 10
“Because as a cashew processor, our process our payment cycle get stuck because from the when we import from West Africa, it takes around 40-45 days a transit time, another 5 to 7 days for custom clearance, and when they start preparing for loading, they take another 10 to 15 days.”
Vimal Mishra, page 10 of the filed PDF · View the filing
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