Synopsis:
Lotus Chocolate Company Ltd, majority-owned by Reliance Consumer Products, saw net profit fall 51.84 percent QoQ and 72.52 percent YoY in Q2FY26 despite modest revenue growth. The stock plummeted 17.36 percent intraday to Rs. 975 on weak earnings.
A chocolate stock, majority-owned by Reliance Consumer Products Limited with a 51 percent stake, witnessed significant selling pressure today after posting a sharp decline in quarterly profits despite a modest increase in sales.
Lotus Chocolate Company Ltd, with a market capitalization of Rs. 1,329.75 crore, opened at Rs. 1,085 today, touched a low of Rs. 975 against a previous close of Rs. 1,179.40, marking an intraday decline of 17.36 percent.
What’s the News?
Quarter-on-Quarter: In Q2FY26 (June 2025 to September 2025), Lotus Chocolate reported sales of Rs. 160.44 crore, up marginally from Rs. 158.71 crore in Q1FY26, reflecting a growth of approximately 1.08 percent.
However, operating profit declined from Rs. 4.95 crore to Rs. 3.55 crore, down 28.28 percent, while PBT fell 40.30 percent from Rs. 3.97 crore to Rs. 2.37 crore. Net profit also dropped sharply from Rs. 2.99 crore to Rs. 1.44 crore, a decrease of 51.84 percent.
Year-on-Year: Compared to the same quarter last year (September 2024), sales increased from Rs. 128.29 crore to Rs. 160.44 crore, up 25.07 percent. Despite higher revenue, operating profit fell drastically from Rs. 8.50 crore to Rs. 3.55 crore, a decline of 58.24 percent. PBT decreased by 66.28 percent from Rs. 7.03 crore to Rs. 2.37 crore, while net profit dropped 72.52 percent from Rs. 5.24 crore to Rs. 1.44 crore.
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About the Company
Lotus Chocolate Company Limited, a Hyderabad-based firm incorporated in 1988, manufactures and sells chocolates, cocoa products, and derivatives to chocolate makers and other industrial users in India. Its offerings include cocoa mass, cocoa powders, cocoa butter, chocolates, chocotreats, chocopastes, ice cream coverings, drinking chocolate powders, chocolate sauces, and chocolate decoratives.
The company markets its products under brands such as Chuckles, Super Carr, On & On, Kajoos, Milky Punch, and Tango, distributing them to bakeries and multinational companies. Lotus Chocolate is a subsidiary of Reliance Consumer Products Limited, which owns 51 percent of the company.
Written By Manan Gangwar
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