Heritage Foods Q2 profit drops 39% to ₹31 crore amid milk cost surge

Heritage Foods reported a sharp 39% decline in net profit for the second quarter, with earnings falling to ₹31 crore. The significant drop was driven by a substantial increase in milk procurement costs.

The average landed cost of milk procurement rose 11% year-on-year to ₹47.73 per litre. The rise was attributed to sustained demand for milk, limited improvement in milk arrivals, and elevated feed and fodder expenses that pressured farmer payouts.

The margin compression underscores challenges facing dairy producers as input costs remain elevated despite seasonal normalisation efforts. Heritage Foods, one of India's leading dairy companies, continues to navigate inflationary pressures on procurement while managing retail pricing.