Kwality Wall’s India recorded 16.6% organic sales growth in the first quarter of FY27, as strong volumes, premiumisation and wider distribution helped the ice cream maker build momentum in its first full quarter as an independent listed company.
The company reported revenue of ₹8,678 million for the quarter ended June 30, 2026, while organic volume growth stood at 14.9% and organic price growth at 1.5%. EBITDA before exceptional items rose to ₹1,049 million, with the margin improving 166 basis points year on year to 12.1%.
The results mark an important quarter for Kwality Wall’s following its demerger from Hindustan Unilever and subsequent listing on Indian stock exchanges in February 2026. As the business did not operate as a standalone entity before the demerger, its year-earlier financial figures have been presented on a pro forma basis.
Premiumization fuels portfolio expansion
Kwality Wall’s is leaning on premium products and innovation to capture a broader range of consumer occasions. The company introduced more than 31 innovations and renovations during the first six months of the year, spanning both premium indulgence and everyday snacking.
Its premium portfolio was expanded with launches including Magnum Caramel Pop, Magnum Pistachio and Cornetto Almond Crunch. The company is also expanding its Kulfeez range, including through Quick Commerce platforms.
“Premiumization and our occasion-led demand creation model” powered the quarter’s performance, according to Chitrank Goel, deputy managing director of Kwality Wall’s India. The company plans to continue investing in its key brands, including Kwality Wall’s, Magnum and Cornetto.
Dairy-based makeover targets in-home consumption
The company is also revamping its In-home portfolio by transitioning products to dairy-based formulations designed to deliver a richer and creamier profile.
The new range is being positioned around a “Made with Milk” proposition, with the company reporting double-digit growth for the portfolio during the quarter. Modern Trade and Quick Commerce, along with new product launches, supported the performance.
Kwality Wall’s has introduced flavours such as Hawaiian Nut Sundae and Kesar Bhog as part of the portfolio overhaul. Despite the higher input costs associated with the dairy transition, gross margin improved to 45.6%, supported by a favourable product mix and disciplined pricing.
Quick Commerce becomes a key growth channel
Quick Commerce continued to emerge as an important route to market, delivering double-digit growth during the quarter. Kwality Wall’s is increasing the availability of its products on these platforms, including its Kulfeez portfolio, as consumers increasingly turn to rapid-delivery channels for convenience-led purchases.
Modern Trade also recorded healthy growth, helped by investments in execution capabilities and infrastructure.
At the same time, the company is expanding its presence in General Trade through greater distribution reach and the deployment of additional ice cream cabinets. The strategy is giving Kwality Wall’s a broader physical footprint while allowing it to tap faster-growing digital channels.
Data-led distribution push
Beyond expanding its retail network, Kwality Wall’s is investing in technology, analytics and service capabilities to improve distributor productivity and make its route-to-market more responsive.
The company’s approach is increasingly Omni channel, combining deeper penetration in traditional retail with growth in Modern Trade and Quick Commerce.
As the newly independent business scales, however, operating costs remain elevated. Employee expenses and other costs reflect continued investments in talent, infrastructure and organisational capabilities required to establish a standalone operating structure.
Kwality Wall’s expects these investments to support scale, productivity and operating leverage over time.
Volume growth remains the priority
Looking ahead, the company expects the inherently seasonal nature of the ice cream business to remain a factor but plans to sustain momentum through continued innovation, broader distribution and the creation of new consumption occasions.
The strategy increasingly revolves around giving consumers more reasons to buy ice cream across price points, formats and occasions rather than relying solely on higher penetration of existing products.
For Kwality Wall’s, the first-quarter performance signals a growth strategy built around volume-led expansion, premiumisation, stronger brands and an increasingly omnichannel distribution network, with Quick Commerce becoming a particularly important part of the company’s next phase of growth.