Spice Lounge Food Works opened at ₹23.42 on BSE today, compared to the previous close of ₹22.32 on Tuesday, according to reports from Live Mint. The multibagger small-cap stock touched an intraday high of ₹23.43 on September 2. Despite the stock's strong performance, benchmark indices faced significant pressure with the BSE Sensex falling 374 points to 76,155.76 and the NSE Nifty declining below 23,950 in extended trading. The stock rally occurred amid higher trading volumes, with around 2.55 lakh shares changing hands during the intraday session on September 2.
In an exchange filing dated September 1, Spice Lounge Food Works announced the launch of its Food Emulsifier & Agro Division, a new food emulsifiers, agri-sourcing and processing vertical, as reported by Live Mint. The company targets revenue of approximately ₹1,200 crore from this new vertical, which will cater to the company's restaurant, quick-service restaurant (QSR) and live-events business, including Xora World. The division will operate independently as a B2B supplier of food emulsifiers and ingredients to hotels, QSR chains and food processing units. The company stated that food emulsifier, agro-chemical partnerships, farm-gate sourcing tie-ups and processing infrastructure commissioning are currently underway, with processing capacity scale-up, B2B/institutional supply onboarding, and export and global joint-venture partnerships to follow.
According to Live Mint, the company has announced accelerated expansion into India's live entertainment space through its events and entertainment vertical, Xora World. The vertical unveiled a four-event portfolio spanning destinations from Goa and Tirupati to Hyderabad, featuring two of India's prominent playback singers and a first-of-its-kind global dance festival. This line-up is expected to generate more than ₹20 crore in revenue and represents Xora World's most significant move towards establishing a nationwide presence. As per Investing.com India, this represents Xora World's most ambitious step yet toward a genuinely national footprint.
Despite recent challenges, Spice Lounge Food Works has delivered strong financial performance, with consolidated revenue rising sharply to approximately ₹105 crore in FY25 and further to roughly ₹158 crore in FY26, as reported by Investing.com India. The company's net profit improved to about ₹9.7 crore with EPS of ₹0.14 versus ₹0.08 in the previous year. The stock has delivered multibagger returns of 409% in two years and 1,037% in five years, though it has faced pressure in recent months, slipping 11% in a week, 4% in a month, 26% on year-to-date basis and 52% in a year. Market capitalization has hovered in the ₹1,600–1,900 crore range in recent months, with the stock trading at elevated multiples relative to current earnings power, but the TTM PEG comes to around 0.55, which is on the lower side considering the high growth rate.
Management has guided to approximately ₹1,200 crore revenue potential across the emulsifier, agro, and agrochemical products, with implementation staged through partnerships, infrastructure development, capacity scale-up, and B2B onboarding. According to Investing.com India, the company expects the new vertical to contribute modestly in FY27 (ramp-up year), accelerate in FY28-FY29, and approach a meaningful share of the ₹1,200 crore target by FY30. The company's promoter holding has increased substantially, reflecting skin in the game, though institutional ownership remains negligible. Technical analysis suggests the stock needs to sustain above ₹25-28 for a further rally to ₹32/35-40/45 and further ₹50/60-75/100 in the coming days/months/years.
