India Pesticides Limited – Investor Presentation Summary

Key Operational Highlights

  • Total manufacturing capacity of 28,300 MTPA for Technicals and 10,200 MTPA for Formulations as of 30th June 2026
  • Hamirpur facility undergoing development with two out of ten operating blocks currently operational, providing pathway for 30,000 MTPA capacity expansion
  • Formulations business (10,000 MTPA) leverages inhouse Technical products with established route to market accessing India's farmer community
  • Over 370 sales team operating across 18 states and 6 zonal offices with 24 depots
  • Received Technical Equivalence (TEQ) approval from European Union for one fungicide product during the quarter

Key drivers of operational performance: Softer demand for key herbicide Pretilachlor impacted domestic sales, while export sales remained stable. Higher employee and fuel costs along with elevated channel inventory affected profitability.

Segment-wise Performance

  • Technicals + APIs constituted 71% of revenue during Q1 FY2027
  • Formulations business accounted for remaining revenue share

Explanation of significant changes in segment performance: Domestic market challenges affected herbicide sales, while international business remained stable.

Financial Highlights

Revenue: ₹256 crore

EBITDA: ₹39 crore

PAT: ₹23 crore

EPS: ₹1.98

Margins: Gross Margin 49.6%, EBITDA Margin 15.4%, PAT Margin 8.9%

YoY comparison: Revenue down 9.2%, EBITDA down 25.0%, PAT down 34.3%

QoQ comparison: Revenue down 5.5%, EBITDA down 15.2%, PAT down 25.8%

Drivers of financial performance: Softer domestic demand, higher employee and fuel costs, elevated channel inventory

Key Risks: Not explicitly disclosed in presentation

Geographical Revenue Split

Domestic vs Export Revenue: Not quantitatively specified in presentation

Regional Breakdown: Exports to international markets including Europe; domestic sales across 18 Indian states

Balance Sheet Snapshot

Net Debt/Equity: Not specified

Reserves: Not specified

Current Assets/Liabilities: Not specified

Working Capital/Leverage Metrics: Not specified

Financial Health Insights: Company focuses on operating cashflow generation and consistent growth with sustainable margins

Capex & Cash Flow Health

Capital Expenditure: Hamirpur facility expansion ongoing with clear pathway for 30,000 MTPA capacity

Free Cash Flow: Not specified

Operating Cash Flow: Not specified

Net Debt Movement: Not specified

Investment Rationale: Capacity expansion, backward integration of intermediates, technology upgrades

Strategic & R&D Initiatives

Investments in Innovation: Strong in-house R&D infrastructure with DSIR-recognized laboratories focused on process innovation and new molecule development

Expected impact on growth: Backward integration reducing reliance on imports particularly from China, improving cost efficiencies

Strategic Rationale: Expanding international presence through regulatory approvals like EU TEQ, enhancing manufacturing capabilities

Industry Trends & Business Environment

Macro/Industry Trends: Challenging operating environment in domestic agrochemical market during Q1 FY2027

Impact on Company: Softer domestic demand affected sales performance, while export markets remained stable

Management Commentary & Growth Outlook

Strategic Outlook: "We remain confident in our growth prospects, supported by improving demand across domestic and export markets, favourable agricultural conditions, and continued focus on operational efficiencies"

FY Guidance: Not specifically quantified

Market Share Targets: Not specified

Risks and Opportunities: Focus on strengthening product portfolio, expanding international presence, and enhancing manufacturing capabilities

ESG Updates

  • Manufacturing sites certified with ISO 9001:2015, 14001:2015, 45001:2018 and 10002:2018 standards
  • 6,62,759 GJ renewable energy consumed
  • 841.97 MT recycling waste
  • 0.64% female workforce gender composition
  • 100% trained staff
  • 6 total recordable work-related injuries
  • 18.18% gross salary paid to female workforce
  • 33% independent board of directors
  • 11.11% female board composition
  • 2,73,676.34 KL water withdrawn
  • 0.18% spend on employees well-being
  • Nil complaints under sexual harassment
  • Nil penalty disclosures
  • 99.38% employee performance reviews
  • Nil data breach incidents
  • ₹2.6 crore community investment

CSR Initiatives

  • Project "Samagra Sudhar" focusing on rural development, education support, and community welfare
  • Project "Chuppi Tod; Halla Bol" creating awareness on POCSO Act
  • Four villages adopted near Sandila operations in Hardoi District
  • 6 Child Friendly Centres established in Uttar Pradesh police stations
  • Focus on 7 out of 17 UN Sustainable Development Goals