DFM Foods: Ready for the next leg of growth
With a new management at the helm, DFM Foods' return ratios are among the highest in the snacking industry and comparable to leading FMCG players
April 15, 2021 / 10:36 AM IST
DFM Foods | CRISIL assigned long term rating to the company as A-/Stable and short term rating as A2+.
PRO Only Highlights
Quarterly performance largely backed by improved realisations
Medium-term triggers China plus and protectionist measures for tyre industry
Valuations not inexpensive; but improved medium-term outlook
DFM Foods Ltd (CMP: Rs 344; Market Cap: Rs 1,729 crore) has a new professional management team in place, after the US-based private equity player Advent International bought a controlling stake in the company a year back.
Driven by new products and strengthening its distribution reach, the company gained market share in the 9MFY21 period. With COVID-19 having limited impact on the snacking industry, and with a huge market share potential for organised players, DFM looks to be a decent...