Milky Mist shares jumped more than 10% during Tuesday's trading session on the National Stock Exchange (NSE), hitting the upper circuit at ₹231.95 after the company reported exceptional Q1 FY27 earnings performance. According to Business Standard, the stock rally followed the company's first quarterly earnings announcement since its stock-market debut, with consolidated net profit rising nearly 9.91 times to ₹64.68 crore in Q1, compared with ₹6.53 crore in the same quarter last year. Revenue from operations increased 43.6% year-on-year to ₹973.45 crore, reflecting strong growth during the quarter. The market response demonstrates continued investor confidence in the dairy products maker's financial turnaround, with the company's summer portfolio comprising ice creams, yogurt, curd and milkshakes recording record strong year-on-year growth due to an extended summer season, particularly across Southern India. The company's market capitalisation stood at ₹17,862.68 crore during Tuesday's trading session, as reported by Moneycontrol.
The summer portfolio comprising ice creams, yogurt, curd and milkshakes recorded record strong year-on-year growth due to an extended summer season, particularly across Southern India, as reported by ET Now. Ice cream sales rose 60% year-on-year, while yogurt emerged as the standout performer with 153% YoY growth, followed by cheese at 38%, paneer at 34%. Paneer, cheese and curd together accounted for 52.3% of the company's revenue in Q1 FY27, with the three products accounting for 59.05% of FY26 revenue, down from 66.16% in FY24, indicating gradual diversification in the product mix. Gross profit increased 56.1% year-on-year to ₹333.02 crore, while gross margin expanded to 34.21% from 31.46% a year earlier, according to The Economic Times. Earnings before interest, taxes, depreciation and amortisation rose 74.5% to ₹144.89 crore from ₹83.02 crore, with EBITDA margin improving to 14.88% from 12.24% in the corresponding quarter last year. Milky Mist's paneer and curd typically sell at prices 10-30% above those of large Indian brands, with gross margin standing at 34.21% in Q1FY27 compared with 26-30% for competitors like Hatsun, Heritage and Dodla.
In Q1 FY27, Milky Mist commissioned a new Cheddar Cheese Plant with an installed capacity of 120 MT per day, as reported by The Economic Times. The company made its stock market debut on August 18, 2026, listing at ₹165 with a 17.85% premium over the issue price of ₹140. Since its listing, shares have risen 28%, demonstrating strong post-listing momentum. From its listing price, the stock has risen over 40%, with gains even sharper when compared with the IPO issue price of ₹140, reflecting an upside of over 65% since then. Milky Mist listed on both NSE and BSE following its ₹1,553-crore IPO, which comprised a fresh issue of 10.20 crore shares worth ₹1,428 crore and an offer for sale of 89 lakh shares valued at ₹125 crore. The strong listing followed robust investor demand for the company's ₹1,553-crore IPO, which was subscribed 56.12 times by the final day of bidding. Milky Mist's revenue grew at a compound annual rate of 31.26% between FY24 and FY26, reaching ₹3,138.36 crore in FY26, with the company being India's largest private packaged paneer brand in the organised market and one of the country's top two private packaged yoghurt brands.
Milky Mist believes that the Perundurai facility still has significant spare capacity and, at current product prices, can potentially support revenue of 3-3.5 times FY26 levels before a new manufacturing facility is required, providing substantial headroom for growth while supporting operating leverage. The company is increasingly focusing on protein-rich products such as high-protein paneer, high-protein cheese, Greek yogurt and Skyr, with plans to commission a whey protein concentrate plant over the next 15-18 months, allowing it to extract greater value from the whey generated in its cheese and paneer operations. Geographic expansion is another important growth driver, with South India contributing nearly 69% to revenue but other markets growing faster and expected to account for around 40% of the business over time. The company expects to achieve this by strengthening distribution network, expanding cold-chain infrastructure and scaling up milk procurement operations in states such as Karnataka and Maharashtra. Milky Mist plans to focus on protein products and whey extraction as key future growth drivers, with the company's medium-term growth story extending beyond paneer to include sweating existing assets, scaling protein products, expanding cheese and yogurt, and increasing penetration outside South India while maintaining profitability growth.
Milk prices have been rising in recent months amid higher fodder costs, with wholesale milk prices in Mumbai set to increase by ₹9 per litre from ₹93 to ₹102 effective September 1, while Tamil Nadu's milk procurement price increased by ₹3 per litre to ₹44 per litre on August 31. However, Milky Mist sources 80-85% of its milk from Tamil Nadu and management stated it already procures milk at around the new price, therefore not expecting the increase to materially affect the company. Analysts at Anand Rathi Research noted that given its strong revenue growth, leadership in key value-added dairy categories and premium positioning, the company may command a valuation premium. The company will continue to expand its range of value-added food products, strengthen brands and distribution network, and increase presence across markets while maintaining focus on improving efficiency and leveraging scale. CEO K Rathnam added that with the capabilities we have built and the opportunities ahead, we are confident of strengthening our position in the value-added FMCG space and delivering sustainable growth over the year. Profit before tax in Q1 FY27 stood at ₹73.51 crore, up by 606% from ₹10.41 crore recorded in Q1 FY26, as reported by Business Standard.
