India’s leading ice cream and frozen foods major Vadilal Industries Limited reported a 23.67% jump in consolidated net profit at Rs 5.80 crore for the 12-month period ended March 31, 2012 at its board meeting held recently.
Known for innovative flavours and immaculate taste, Vadilal has over the years carved a niche for itself in the ice-cream segment. The company’s foray into the frozen food category has also been a successful one.
According to Rajesh Gandhi, managing director of Vadilal Industries Ltd, “The significant expansion of our production facilities is beginning to show results. A major positive indicator for the company is the fact that the operating profits, that is earnings before interest, depreciation and taxes, has shot up by 67% this year to Rs 26 crore as against Rs 15.7 crore last year. We will continue to post strong growth in revenues and profits in the current and coming years too.”
Devanshu Gandhi, managing director of Vadilal Industries Ltd added, “The company’s focus on the youth and premium products and significant increase in advertising and marketing have benefitted the company. Major new brands like Badabite, Flingo and Gourmet launched during last summer have been lapped up by consumers. Apart from the ice cream sales, which contribute to a major part of the company’s sales, the processed foods business too has been doing well in the domestic as well as the global markets. This summer, Vadilal has come out with a completely new range of products targeted at the kids’ category under the umbrella brand of Ice Trooper, the mascot for this new segment. With the purchasing power of the Indian middle class having gone up considerably during the last few years, we felt that this was the right time to launch a new range of higher-end products. Children are a major influence while making purchases for this class of consumers, especially for impulse category products like ice creams. With the Ice Trooper as a mascot, Vadilal is targeting the kids’ segment with a specialised range of products that they will relish.”
As the summer gets more excruciating, sale of Vadilal ice creams is likely to go up. Results of the present quarter released later are likely to be even more impressive.