8 Comments
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Open Source Investor's avatar

Nice write-up! I had looked at both KRBL and LT Foods in early-2024 and decided to invest in LT Foods, which I still own currently. KRBL also looks interesting, but the legal case and history prevented me from buying. Will look again now

Rahul Rao, CFA's avatar

Hi ! There have been some positive developments on the legal side too + business + the land value unlocking trigger.

Prathamesh Adhikari's avatar

I would still hold my LT Foods over KRBL. Invested in LT at ~100 levels when in my work visit to Saudi; realised that they were all over the shelves even before the KRBL issue with Saudi Importer happened

Arun's avatar

I have been holding KRBL for a year, and I was initially concerned that, at least in South India, modern trade shelves seemed to display more Daawat packets than before. However, Q1 data still shows that India Gate is gaining market share, suggesting that my observation may just be a biased sample.

I’ve also noticed that brands such as Devaaya are often sold at deep discounts in modern trade. While this is again a personal observation, LT Foods’ low margins seem to support it.

My guess is that LT Foods is undercutting KRBL in modern trade and gaining some market share though perhaps not directly at KRBL’s expense.

Rahul Rao, CFA's avatar

Thanks for the insight !

Rahul Rao, CFA's avatar

Thanks Prathmesh for your input. What do you do for work?

Wealth Pathh's avatar

Beautifully analysed, good work