Shares of Bikaji Foods International Ltd rose 2% on the back of strong fourth-quarter results. The stock traded 1.59% higher at Rs 390.50 at 9:42 am on the NSE.

The ethnic snack maker on Tuesday posted a 57.14% rise in consolidated net profit to Rs 38.28 crore for the fourth quarter that ended March 31, compared to Rs 24.36 crore in the previous fiscal, according to a filing with the BSE

The company’s total revenue also rose to Rs 466.84 crore in the fourth quarter from Rs 405.96 crore a year ago, according to a regulatory filing.

“We delivered a strong performance in FY23, delivering strong double-digit value (22% year-over-year) and volume growth (15% year-over-year), with broad-based performance across business units. During the quarter, we primarily invested in materials The downtrend and effective pricing measures amplified profitability with a gross margin of 35.2% and an EBITDA margin of 13.4%,” said Managing Director Deepak Agarwal.

The company expects its current momentum to continue with double-digit revenue growth in the next fiscal year and improved margins due to superior mix, operating leverage, and effective cost management.

Bikaji Foods said its focus on network expansion is one of the reasons for its higher revenue CAGR. “We remain committed to strengthening our distribution network to penetrate more deeply into our core and focus markets. We aim to expand our footprint to 150,000 retail stores by FY24,” said Agarwal.