Financial Performance Highlights
India Pesticides Limited reported strong financial results for FY26 with standalone revenue reaching ₹1,057.11 crore, a 27.5% YoY increase from ₹829.02 crore in FY25. Profit after tax surged 44.94% to ₹122.29 crore from ₹84.37 crore, while basic EPS improved to ₹10.62 from ₹7.33. Consolidated performance mirrored this growth with revenue of ₹1,057.42 crore and net profit of ₹119.82 crore, up 46% from ₹82.18 crore in FY25.
Operational and Business Developments
The company achieved significant capacity expansion, increasing formulation capacity by 3,500 MTPA to reach 10,000 MTPA total. It commissioned a PEDA intermediate plant with capacity increased from 2,000 MTPA to 6,000 MTPA using in-house R&D technology. International market penetration advanced with regulatory approvals obtained for agrochemical products in Serbia and Australia, plus Technical Equivalence approval from the European Union for a fungicide product. The company registered 28 new products during the year.
Subsidiary Performance
Wholly-owned subsidiary Shalvis Specialities Limited made substantial progress with one Formulation Plant and one commercial Technical Block becoming operational. A modern Pilot Plant was made operational for upscaling future products, and a Multipurpose Process Plant for technical fungicide and insecticide products is ready for commissioning in May 2026. The subsidiary obtained 50 registrations for indigenous and export manufacturing as of March 2026.
Capital Allocation and Corporate Actions
The Board recommended a final dividend of ₹0.75 per equity share (75% of face value), maintaining the same payout as previous year with total outflow of ₹8.63 crore. The company granted 4,54,640 stock options to eligible employees at 15% discount to Fair Market Value under IPL ESOP Scheme 2023. Capital expenditure included ₹75.21 crore additions to Property, Plant & Equipment and ₹15.92 crore investments in subsidiaries.
Governance and Compliance
Director changes included re-appointment of Dr. Madhu Dikshit as Chairperson & Independent Director and Mr. Mohan Vasant Tanksale as Independent Director for second terms. Mr. Arun Kumar Jain was appointed as Independent Director while Mr. Adesh Kumar Gupta ceased directorship. Auditors Suresh Surana & Associates LLP issued an unmodified opinion but noted the audit trail feature was not enabled in accounting software for part of the year. The company maintained CARE A+ rating for long-term facilities and CARE A1+ for short-term facilities.
Tax and Regulatory Matters
The Income Tax Department conducted search operations under Section 132 in December 2024, with assessment proceedings pending for the block period April 2018 to February 2025. The company has disputed tax liabilities of ₹0.88 crore under appeal at CIT(A) and Allahabad High Court. Effective tax rate for the year was 27.5% with total tax expense of ₹46.41 crore.
Balance Sheet and Financial Position
Total assets stood at ₹1,305.52 crore with current ratio of 3.27 times and debt-equity ratio of 0.07 times. Return on Equity improved to 12.73% from 9.75% in FY25, while net profit margin expanded to 11.57% from 10.18%. The company maintained strong liquidity with cash and cash equivalents of ₹24.95 crore and other bank balances of ₹83.07 crore in term deposits.
Risk Management and Outlook
The company detailed its financial risk management framework covering credit risk (trade receivables of ₹374.98 crore), liquidity risk, and market risk from foreign currency exposure primarily to USD and EURO. Net debt position improved to (₹9.87) crore from (₹49.25) crore in FY25. Management expects payback from subsidiary investments to commence in coming years based on projected cash flows and does not anticipate impairment.