Milky Mist Dairy Food is one of the most recent IPO performers in the Indian stock market and the company’s stock was on a massive run a couple of weeks after the company reported a strong Q1 FY27 earnings. The stock rose to ₹250 per share, putting the focus on the new dairy player with a great growth story.
Milky Mist's shares were issued to investors at an IPO price of ₹140 at which price they were listed on August 18, 2026, at an 18% premium to the issue price. The company's ₹1,553-crore IPO consisted of a new issue and an offer for sale.
The subsequent rally has been particularly strong. At ₹250, the stock would be almost 79% above its IPO price of ₹140. I mean, an investor who received ₹1 lakh of shares at IPO price would see the investment increase to around ₹1.79 lakh before taxes, brokerage and other charges are added. The exact return is determined by the purchase price and the market price at the time of calculation.
In the first quarter of the year after Milky Mist had released its first quarterly results after its market launch. The company reported revenue of ₹973.45 crore in Q1 FY27, up 43.6% year-on-year from ₹678.09 crore in Q1 FY26. Consolidated profit after tax rose to around ₹64.7 crore from ₹6.5 crore in Q1 FY26.
Operating performance is also very strong. EBITDA increased by more than 15.7% in the quarter and EBITDA margin rose to about 14.8% (13.8% in the case of EBITDA margin, which shows better operating leverage). The company said volume growth, product mix, pricing realisation and operational efficiencies are the reasons.
Several product categories contributed to the growth. Paneer sales increased 34% year-on-year, cheese grew 38% year-on-year, curd rose 27% and ice cream sales increased 60% year-on-year, and yoghurt grew by triple-digit growth.
The numbers have only increased the market's appetite for Milky Mist, especially for investors hungry for packaged-food and protein consumption in India. Value-added dairy products like paneer, cheese, curd and yoghurt are in the market place.
That’s where the market’s “protein bros don’t really care about valuation and P/E ratio” story shows up. Even when traditional valuation metrics appear demanding, strong growth stories can attract significant investor interest. But a rising share price doesn’t mean that the stock is cheap. Investors need to consider earnings growth, margins, future cash flows, competition and what market prices investors are paying for that expected growth.
Milky Mist itself has said it is going to keep expanding its product portfolio and geographical reach. The company is going to expand its regional footprint beyond South India and utilize the factory capacity that is available to produce protein-based products.
So the quick post-IPO move is a strong manifestation of strong earnings momentum, investors’ appetite and prospects of growth. But with the stock trading well above the IPO price of ₹140 within weeks of listing, volatility could be high.
For now Milky Mist has delivered a strong start for IPO investors and the Q1 results have given the bullish sentiment new fundamental support. If the company can continue to grow revenues and profits rapidly (and justify higher valuations, to be sure) then investors will have to be concerned about the future in the quarters to come, the bigger question for investors.
This is factual and not investment advice.
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