Financial Performance

Q4 FY26 Results (Quarter ended March 31, 2026)

  • Revenue from operations: ₹151 crores (vs. ₹126 crores in Q4 FY25), representing 19% YoY growth
  • EBITDA: ₹20 crores (vs. ₹21 crores in Q4 FY25)
  • EBITDA margin: 13.5% (vs. 16.5% in Q4 FY25)
  • Profit before tax: ₹14 crores (vs. ₹15 crores in Q4 FY25)
  • Profit after tax: ₹12 crores (vs. ₹10 crores in Q4 FY25), representing 19% YoY growth
  • PAT margin: 7.7%

Full Year FY26 Results (Year ended March 31, 2026)

  • Revenue from operations: ₹705 crores (vs. ₹590 crores in FY25), representing 19% YoY growth
  • EBITDA: ₹74 crores (vs. ₹60 crores in FY25), representing 15% YoY growth
  • EBITDA margin: 10.4%
  • Profit before tax: ₹53 crores (vs. ₹45 crores in FY25)
  • Profit after tax: ₹40 crores (vs. ₹32 crores in FY25), representing 27% YoY growth
  • PAT margin: 5.6%

Business Segment Analysis

Revenue Contribution by Business Vertical (FY26)

  • Crop Protection: 85% of revenue
  • Biologicals: 6% of revenue
  • Plant Nutrition: 5% of revenue
  • Other: 4% of revenue

Product Category Mix (FY26)

  • Insecticides: 59% of portfolio
  • Fungicides: 29% of portfolio
  • Herbicides: 11% of portfolio
  • Other: 1% of portfolio

Customer Segment Mix (FY26)

  • B2C segment: 50% of revenue
  • B2B segment: 38% of revenue
  • Export: 11% of revenue

Operational Highlights

Capacity Utilization

  • FY26 capacity utilization: 52% (improved from 44% in FY23)
  • Seasonal utilization reaches 80-100% during peak months

Manufacturing Expansion

  • Barwasni facility expansion: 30-40% capacity increase
  • Capex invested: ₹76 crores to date
  • Additional capex required: ₹8-10 crores
  • Expected operational date: End of FY27 (Q3/Q4)
  • Potential revenue capacity post-expansion: ₹1,600-1,800 crores
  • Construction completed, awaiting regulatory approvals from Central Insecticide Board and state authorities

Backward Integration

  • Captive consumption: 32% in Q4 FY26
  • Provides raw material security and cost advantages

Strategic Initiatives

Distribution Expansion

  • AbhiPrakash Globus Private Limited (AGPL) subsidiary strengthened secondary distribution
  • Added 1,300-1,400 channel partners in FY26
  • Planning expansion into Chhattisgarh and Odisha in FY27

Export Market Development

  • First nutrient shipment to Venezuela: ₹4 crores revenue (branded finished product)
  • New market entries: Taiwan (technical shipment), Sri Lanka (biostimulant trials), parts of Africa
  • Export contribution: 11% of FY26 revenue

Product Innovation

  • FY26 specialty products contribution: 16% of revenue
  • FY27 planned launches: 3 new specialty products
  • Nutrient product: Potash derived from rhodophytes
  • Herbicide: Fomesafen plus Quizalofop for pulses and soybean
  • Fungicide: Launch planned for August 2026 (post-patent expiration)
  • FY26 launched 12 new products across categories

Research Collaboration

  • Memorandum of agreement with ICAR-IARI under The Prime Minister's Fellowship for Doctoral Research
  • Field research ongoing, expected outcomes in FY28

Risk Factors and Challenges

Market Conditions

  • Industry challenges: Heavy rainfall in certain regions, lower pest incidences, inventory normalization across channels
  • Regulatory challenges and global uncertainties affecting demand patterns

Weather Risks

  • El Nino conditions may affect sowing patterns, crop productivity, and farmer sentiments
  • Potential impact on Q2 FY27, particularly in South India
  • Cotton cultivation expected to remain resilient due to lower rainfall dependence

Geopolitical Impact

  • Iran-Israel-West Asia tensions creating global supply chain uncertainty
  • Volatility in crude oil prices and logistics costs
  • Raw material pricing unpredictability, particularly affecting Q2 FY27 procurement

Cost Pressures

  • Higher employee expenses affecting Q4 margins
  • Increase in other operating costs
  • Volatility in certain input prices and procurement-related costs

Working Capital and Financial Position

Debt Management

  • Debt-equity ratio improved from 0.8% to 0.4%
  • Primary debt: Working capital facilities and vehicle loans
  • No major term loans outstanding
  • Banking relationships with HDFC, HSBC, Standard Chartered

Working Capital Cycle

  • Industry average: 200-220 days
  • Improved debtor days in FY26 compared to FY25
  • Collection initiatives: Early payment discounts and schemes

Funding Strategy

  • Internal accruals as primary funding source
  • Bank debt for working capital requirements
  • Creditor support from domestic and overseas partners
  • ICRA rating: A-

Awards and Recognition

  • Industry Leadership Award from Shri Piyush Goyal, Honorable Minister of Commerce & Industry
  • Innovation Excellence Award at National Prestige Award 2026
  • Industrial Review Award 2025 for Excellence in Plant Nutrient Solutions
  • BioAgri Pioneer Award 2025 for biologicals and sustainable agriculture

Management Outlook

  • Near-term volatility expected from weather uncertainties and geopolitical developments
  • Medium-to-long-term optimism for agrochemical sector
  • Industry conditions expected to stabilize as channel inventories normalize
  • Focus on differentiated higher margin products, export scaling, and operational efficiencies
  • Cotton cultivation expansion seen as opportunity due to high crop protection requirements

Conference Call Participants

Management:

  • Mr. Sanjay Aggarwal – Managing Director
  • Mr. Manoj Gupta – Chief Financial Officer

Analysts/Investors:

  • Nikita Mehta (Mehta Investments)
  • Mahesh Kumar (MU Invest)
  • Urmish Shah (Moneywisers)
  • Yash Parkar (Individual Investor)
  • Arvind Singh (Manthan Capital)
  • Harshit Khadka (RoboCapital)
  • Deepak Poddar (Sapphire Capital)
  • Ankit R (Individual Investor)
  • Amit Mehendale (RoboCapital)