Ambar Protein Industries Ltd (519471)
🎯 Key Takeaways
- Ambar Protein Industries Ltd is a mid-sized edible oil manufacturer operating in a mature segment with stable cash flows but facing margin pressure despite revenue growth. The company has not diversified beyond its core edible oil business and is currently in a consolidation and margin recovery phase, focusing on operational efficiency rather than expansion.
- Revenue declined 22.7% QoQ to ₹113 in Q1FY27.
- ⚠️ Persistent margin pressure despite revenue growth, with management citing raw material volatility and intense competition in the edible oil segment.
- Market Cap
- ₹115
- P/E Ratio
- 11.4
- P/B Ratio
- 2.75
- ROE
- 24.0%
- ROCE
- 22.2%
- Debt/Equity
- 0.62
- Promoter
- 73.8%
📖 The Story
Ambar Protein Industries Ltd is a mid-sized edible oil manufacturer operating in a mature segment with stable cash flows but facing margin pressure despite revenue growth. The company has not diversified beyond its core edible oil business and is currently in a consolidation and margin recovery phase, focusing on operational efficiency rather than expansion. Its financial profile shows strong returns on capital but declining profitability, with no dividend payout and a conservative capital allocation strategy.
📰 What's Happening
The company reported 18.7% revenue growth in FY2025-26 to ₹50,065.59 lakhs, but profit after tax declined 27.2% to ₹702.66 lakhs, primarily due to margin compression. Management attributed this to raw material cost pressures and lower operating leverage. In the latest quarter (June 2026), revenue stood at ₹113 lakhs with an operating margin of 4.8% and net profit of ₹4 lakhs. Management has signaled a focus on improving operating margins through optimized raw material procurement and capacity utilisation, while maintaining prudent capital allocation without new investments or acquisitions.
Source: Stock Announcements
📊 Quarterly Results (₹ Cr)
| Metric | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | Jun 2026 |
|---|---|---|---|---|---|
| Revenue | 117 | 112 | 125 | 147 | 113 |
| Operating Profit | 2 | 2 | 3 | 4 | 5 |
| OPM % | 1.5% | 1.9% | 2.3% | 2.6% | 4.8% |
| Net Profit | 1 | 2 | 2 | 2 | 4 |
| EPS | ₹1.30 | ₹3.48 | ₹3.16 | ₹4.31 | ₹6.53 |
Despite top-line growth of 18.7% in FY2025-26, net profit fell sharply due to margin pressure, with operating profit margin declining from 2.6% in Q1 2026 to 4.8% in Q1 2026 on a lower base. However, quarter-on-quarter trends show improvement in operating margin from 1.5% in June 2025 to 4.8% in June 2026, suggesting early traction in cost optimization. The sequential improvement in profitability, albeit from a low base, aligns with management’s stated focus on margin enhancement through procurement and utilisation initiatives.
🔮 Management Outlook & What's Next
Management has explicitly stated that the company will focus on improving operating margins, optimizing raw material procurement, and enhancing capacity utilisation while maintaining prudent capital allocation. No new business diversification or major capex plans were disclosed in the latest annual report filing. The emphasis remains on operational discipline and financial prudence rather than growth acceleration.
Extracted from official company announcements. Not StockFin.ai's opinion.
🏦 Balance Sheet (₹ Cr)
| Item | Mar 2025 | Mar 2025 | Mar 2026 | Mar 2026 |
|---|---|---|---|---|
| Equity Capital | 6 | 6 | 6 | 6 |
| Reserves | 29 | 24 | 36 | 32 |
| Borrowings | 26 | 24 | 26 | 23 |
| Total Liabilities | 71 | 62 | 82 | 70 |
| Fixed Assets | 18 | 19 | 18 | 18 |
| Investments | 0 | 0 | 0 | 0 |
| Total Assets | 71 | 62 | 82 | 70 |
The balance sheet shows stable equity at ₹6 lakhs over the past two years, with reserves growing from ₹29 to ₹36 lakhs, indicating retained earnings despite profitability pressures. Borrowings have remained relatively flat around ₹23-26 lakhs, suggesting limited need for external financing. Total assets have grown modestly from ₹70 to ₹82 lakhs, reflecting asset base stability without aggressive expansion. The capital structure remains conservative with low leverage (D/E of 0.75), supporting financial resilience.
💰 Cash Flow Statement (₹ Cr)
| Item | Mar 2025 |
|---|---|
| Operating | +2 |
| Investing | -0 |
| Financing | -2 |
| Net Cash Flow | +0 |
👥 Shareholding Pattern
| Category | Q2FY26 | Q3FY26 | Q4FY26 | Q1FY27 |
|---|---|---|---|---|
| Promoters | 71.5% | 72.1% | 72.7% | 73.8% |
| FII | 0.0% | 0.0% | 0.0% | 0.0% |
| DII | 0.0% | 0.0% | 0.0% | 0.0% |
| Public | 25.7% | 25.1% | 24.5% | 23.6% |
| # Shareholders | 3,177 | 3,068 | 3,051 | 3,031 |
Promoter holding has declined gradually from 73.76% in Q1FY27 to 71.48% in Q2FY26, while public shareholding has increased from 25.68% to 23.59% over the same period. However, FII and DII holdings remain negligible at 0%, indicating limited institutional interest. The steady reduction in promoter stake may reflect ongoing share pledging or passive dilution, but no fresh pledges or exits were disclosed. The growing number of public shareholders (3,031 to 3,177) suggests retail broadening, though liquidity remains low.
⚖️ Peer Comparison — Edible Oil
🔗 Peer Stock Analyses
⚠️ Risk Factors
1. Persistent margin pressure despite revenue growth, with management citing raw material volatility and intense competition in the edible oil segment. 2. Over-reliance on core edible oil business with no diversification into adjacent FMCG categories, limiting growth visibility. 3. Low institutional interest and thin trading volumes, which may lead to price volatility. 4. No dividend policy or return mechanism for shareholders, potentially deterring income-focused investors.
📋 Recent Filings
- Announcement2026-09-25Ambar Protein Industries Ltd announced that its trading window closes on September 1, 2026, and remains shut until 48 hours after the un-audited quart…
- 🔴 annual report2026-08-31Ambar Protein Industries Ltd reported a 18.7% revenue increase to ₹50,065.59 lakhs for FY2025-26, but profit after tax declined 27.2% to [amount conte…
- 🟡 Board Meeting2026-08-31Ambar Protein Industries announced that its register of members and share transfer books will be closed from September 24 to September 30, 2026, to de…
- 🟡 Board Meeting2026-08-31Ambar Protein Industries Ltd announced its 33rd Annual General Meeting on September 30, 2026, seeking shareholder approval for director remuneration v…
- 🔴 annual report2026-08-31Ambar Protein Industries Ltd confirmed compliance with SEBI Regulation 36(1)(b) by sending a letter to shareholders who haven't registered email addre…
🧠 Analyst's Read
Ambar Protein Industries is navigating a challenging phase where revenue growth is not translating into sustainable profitability, but early signs of margin improvement in the latest quarter offer cautious optimism. The company’s conservative stance, stable capital structure, and focus on operational efficiency are key positives, but long-term recovery hinges on consistent margin expansion and shareholder returns. Investors should monitor quarterly margin trends and any shift in capital allocation strategy.
Based on filing content and financial data. Not a recommendation.
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Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-09-29.
Editorial & Data Transparency Notice
This analysis was programmatically compiled using StockFin AI utilizing official regulatory disclosures from the BSE and NSE. Content is automatically synthesized and audited against public financial filings. StockFin.ai is an educational research platform and is NOT a SEBI-registered investment advisor or research analyst.
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