1. Rupnagar utilisation ramp - The Rupnagar facility's processing capacity was expanded from 310 MT to 710 MT per day last year and is currently running at approximately 65% utilisation. Management expects to reach roughly 80% utilisation in FY26-27, which would lift revenue without additional capex and help absorb the fixed costs of the already-funded expansion.
2. Revenue growth trajectory - Management targets approximately 15% year-on-year revenue growth, with FY26-27 revenue around ₹600 cr and FY27-28 around ₹700 cr, and aims for double-digit EBITDA margins over the next 2-3 years. The FY26 base of ₹533 cr already showed 47.5% growth with EBITDA margin improving to 6.72% from 6.17% in FY25, so the guided path implies both scale and margin expansion from current levels.
3. Electricity duty exemption - The company received a 100% electricity duty exemption for 15 years from November 2024, capped at 100% of its ₹88.68 cr fixed capital investment, with total eligible incentives up to ₹881.86 cr. This directly reduces operating cost at the Rupnagar plant and supports the margin expansion management is targeting.
4. Customer base expansion - General Mills added - General Mills India was added as a new customer in FY26 and contributed 11% of the top-10 brand revenue, joining an existing MNC client list that includes Nestle (20%), PepsiCo, Mondelez, and ITC. Each new MNC partnership deepens the revenue base under long-term contracts and raises the barrier to entry for smaller flour millers.
5. Export ban reversal potential - Management expects the government may open wheat and wheat product exports in FY26-27 or the following year, citing sufficient government wheat stocks. The company has previously exported to the UN, Europe, the US, and the Middle East, so a ban reversal would reopen a dormant revenue channel with minimal incremental investment.
6. B2C brand launch - Horita - The company plans to launch a B2C brand named "Horita" in FY26-27. A direct-to-consumer brand would diversify revenue beyond institutional B2B contracts and could carry higher margins than bulk flour sales if it gains distribution.