Dodla Dairy Share Price Dips Over 4% After Q1 Profit Decline

Market Performance

• Dodla Dairy share price fell by as much as 4.3% on July 21 following its Q1 FY26 earnings announcement.
• The stock was trading 3.7% lower at ₹1,396.1 during the session.
• Despite the dip post-results, the share has gained 11.5% year-to-date.
• In comparison, peer Hatsun Agro posted a 9% gain following its own results.

Main News

Dodla Dairy reported a weak operational performance in the June quarter, leading to a drop in investor sentiment. The company's profitability took a hit, and operating margins saw a notable contraction despite a rise in revenue.

Company Details

Dodla Dairy Ltd., a prominent player in the dairy sector, revealed financial results for Q1 FY26 that pointed to operational pressure. The dip in profitability and margins outweighed the positive revenue growth, affecting the share price adversely.

Revenue

• The company posted a 10% YoY increase in revenue, reaching ₹1,007 crore.
• This was the only financial metric that showed an upward trend during the quarter.

EBITDA

• EBITDA declined by 22% YoY, standing at ₹83 crore, down from the previous year’s figure.

EBITDA Margins

• The EBITDA margin dropped by over 300 basis points, falling from 11.5% in Q1 FY25 to 8.2% in Q1 FY26.
• This significant contraction highlights rising operational costs or pricing pressures.

Net Profits

• Net profit slipped by 3.4% YoY, registering ₹62.8 crore, compared to ₹65 crore in the year-ago period.

Summary of the Article

Dodla Dairy’s Q1 FY26 results showed signs of operational weakness, with notable declines in EBITDA and margins. Although revenue grew by 10%, net profit fell to ₹62.8 crore, and operating margins shrunk to 8.2%. This performance triggered a market reaction, causing Dodla Dairy share price to fall over 4% intraday. Despite this, the stock has maintained strong gains for the year, up 11.5% so far.