By: ICN Bureau
Last updated : April 22, 2022 8:19 am
The company recorded consolidated revenues of ₹508 crore for the quarter ended 31 March 2022
Rallis India Limited, a TATA Enterprise and a leading player in the Indian agri inputs industry, recorded consolidated revenues of ₹2604 crore for the period ended 31 March 2022, a growth of 7.2% over PY of ₹2429 crore. Profit before tax (before exceptional items) was at ₹222 crore, with a decline of 24% over PY of ₹294 crore and the profit after tax (after exceptional items) was ₹164 crore, registering a decline of 28% over PY of ₹229 crore.
The company recorded consolidated revenues of ₹508 crore for the quarter ended 31 March 2022, an increase of 8% over PY of ₹471 crore. Loss before tax (before exceptional items) was at (₹16) crore as compared to PY of profit before tax (before exceptional item) of ₹10 crore and the Loss after tax (after exceptional items) was (₹14) crore, as compared to PY profit after tax (after exceptional item) of ₹8 crore.
Announcing the results, Sanjiv Lal, Managing Director, and CEO, Rallis India said, “The Company delivered a resilient performance in the wake of multiple headwinds during the year. Our domestic crop care business grew at 14.0% and exports by 6.2% during the year. Our seeds business faced challenges and revenue declined by 13%.
Supply chain challenges continued into Q4 with availability issues for certain intermediates as well as steep cost inflation. We are focussed on minimising the disruptions to our production as much as possible. Calibrated price corrections have helped in partially neutralising the material cost inflation.
On the positive side, predictions of normal monsoons and robust commodity prices both locally and globally are expected to have a favourable impact on Indian agriculture.
Moving forward we are focused on growth despite the volatile context. On a longer-term basis, our capex plans, new product introduction plans, and demand generation investments remain on course as we believe that normalcy will be restored progressively. While doing this, we are also consistently prioritising the safety and well-being of all our employees and other stakeholders.”
Key Developments – 12M
● Growth momentum continues to be robust for our Crop Care business. The seeds business faced challenges during the year.
● Domestic Crop Care achieved 14% growth despite several challenges like unseasonal rains, missed sprays, pricing issues, etc
● International Business – Despite the RM availability challenge, the net growth stands at 6.2% over PY. It has also recorded the highest ever branded formulation sales
● Seeds - De-grew by 13% over last year, since the addressable markets were affected across crops and seasons due to reasons like crop shift, state Govt. bans, illegal cotton seeds, etc
● Overall margins remained under pressure amid rising inflation. This was inspite of judicious price corrections undertaken by the Company keeping the end farmer interests and market conditions in mind
● Successful New Products Launched: 2 fungicides, 4 herbicides, 1 insecticide, 2 water-soluble fertilizers, 3 biopesticides, 1 organic manure, and 6 hybrids in the seeds category
● Dahej CZ plant commissioned and inaugurated by the Chairman of the Board; Completed the year with record production of Pendimethalin, Hexaconazole, Metalaxyl, Acetamiprid, and Lambda Cyhalothrin
● To reduce dependence on imported intermediates, the Company has developed domestic suppliers for certain items