Incred Equities, a domestic brokerage firm, has presented a positive growth outlook for the shrimp farming industry in 2025. As a result, shares of shrimp farming companies saw significant gains of up to 17 percent on 31st December.
The brokerage anticipates a robust recovery for the shrimp industry in CY25, fueled by increasing global demand and reduced competition due to industry consolidation in Ecuador. Favorable market dynamics, such as decreasing input costs for fishmeal and soymeal, are further expected to drive this growth, according to Incred.
The brokerage also highlighted that India is gaining a stronger foothold in the market, with shrimp exports to the United States exceeding 40 percent in recent months. This development highlights India’s rising influence and growing dominance in the global shrimp industry.
In a separate development earlier in December, Venezuelan Interior and Justice Minister Diosdado Cabello revealed that authorities were conducting raids on the owner of Grupo Lamar, Venezuela’s largest shrimp farming company, as part of an investigation into an alleged coup plot.
Jose Enrique Rincon, the shrimp magnate and owner of Grupo Lamar, has been named among the accused and is viewed as a potential positive factor that could boost India’s seafood exports to the US and EU markets, according to sources. Shrimp is one of Venezuela’s key exports, with Grupo Lamar reportedly sending 80 percent of its production to Europe.
The following are two shrimp farming companies whose shares surged up to 17 percent after domestic brokerage Incred Equities forecasted a strong recovery for the industry in 2025:
1. Avanti Feeds Limited
With a market cap of Rs. 9,247.7 crores, the shares of the leading manufacturer of Shrimp Feed surged by nearly 14.7 percent on BSE to Rs. 687.5 on Tuesday.
The company experienced a marginal growth in its revenue from operations, showing a year-on-year rise of around 6 percent to Rs. 1,355 crores in Q2 FY25, accompanied by around 46 percent YoY increase in net profit to Rs. 121 crores.
In terms of key financial metrics, Avanti Feeds has a Return on Equity (RoE) of 15.1 percent and a return on capital employed (RoCE) of 20 percent. Additionally, the company’s debt-to-equity ratio stands at 0.01.
The stock has delivered positive returns of nearly 10 percent in the last six months, as well as around 55.3 percent returns year-to-date.
Starting its commercial operations in 1993, Avanti Feeds Limited is engaged in the business of manufacturing and selling of shrimp feed, as well as exporting processed shrimp.
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2. Apex Frozen Foods Limited
With a market cap of Rs. 857.2 crores, the shares of one of the leading exporters of processed shrimp in India surged by nearly 17.2 percent on BSE to Rs. 278.9 on Tuesday.
The company experienced a decline in its revenue from operations, showing a year-on-year rise of around 17 percent to Rs. 199.5 crores in Q2 FY25, while the PAT decreased from a profit of Rs. 8.3 crores in Q2 FY24 to a loss of Rs. 1.7 crores in Q2 FY25.
In terms of key financial metrics, Apex Frozen Foods has a Return on Equity (RoE) of 2.92 percent and a return on capital employed (RoCE) of 4.96 percent. Additionally, the company’s debt-to-equity ratio stands at 0.23.
The stock has delivered positive returns of nearly 22.4 percent in the last six months, as well as around 23 percent returns year-to-date.
Apex Frozen Foods Limited, one of India’s leading processors and exporters of processed shrimp, began its operations in 1995. The company is engaged in the business of processing and exporting shrimp from its facilities located in Andhra Pradesh.
Written by Shivani Singh
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