Poultry firm Venky's India Q4 profit rises on steady demand, easing costs

BENGALURU (Reuters) - Venky's India reported a 32.8% jump in its fourth-quarter profit on Friday, benefiting from strong demand in its poultry products business amid easing costs.

The Pune-based poultry company's profit rose to 335.1 million rupees ($4 million) in the quarter ended March 31, from 252.3 million rupees a year ago, it said in an exchange filing.

Venky's poultry and poultry-product business involves the production and sale of day-old chicks, and adult broiler birds reared for consumption.

Its revenue from operations fell 14.1% to 8.96 billion rupees, however, a near 16% drop in its total expenses helped in pushing up the margins.

Its input costs, consisting of poultry feed ingredients, broiler chicks and eggs, fell 22.2% year-on-year.

Revenue from its poultry business rose nearly 5%, while its mainstay oilseed business fell 30%.

The oilseed business, accounting for about 43% of Venky's total revenue, was impacted due to "unfavourable market conditions".

Venky's recommended a dividend of 7 rupees per share for fiscal year 2024, subject to shareholders' approval.

Shares in the poultry firm rose as much as 8% after the results. The stock dropped 21% in the March quarter.

($1 = 83.4876 Indian rupees)

(Reporting by Navamya Ganesh Acharya and Ashna Teresa Britto in Bengaluru; Editing by Rashmi Aich)