Rallis India Limited, a Tata Enterprise, reported a resilient revenue performance in the September quarter, but profitability came under pressure amid weather-related disruptions, delayed sowing and a challenging operating environment.
The agro-inputs company posted revenue of Rs 858 crore in Q2 FY27, marginally lower than Rs 861 crore a year earlier. Profit after tax (PAT) fell 17% to Rs 85 crore from Rs 102 crore, while EBITDA declined 18% to Rs 126 crore against Rs 154 crore in the corresponding quarter last year.
The EBITDA margin contracted to 14.7%, while the PAT margin stood at 9.9%.
For the first half of FY27, however, Rallis delivered growth across key financial metrics. Revenue rose 3% to Rs 1,880 crore from Rs 1,818 crore in H1 FY26, while PAT increased 6.6% to Rs 210 crore from Rs 197 crore. EBITDA grew to Rs 311 crore from Rs 304 crore, with an EBITDA margin of 16.5% and a PAT margin of 11.2%.
Announcing the results, Gyanendra Shukla, Managing Director and CEO of Rallis India, said: “Rallis navigated a disruptive business environment during Q2 FY27 by focussing on portfolio and operational efficiencies.”
Rallis’ Crop Care business recorded 4% topline growth in Q2 FY27, led by a strong recovery in its contract manufacturing services (CSM) portfolio. The business-to-business (B2B) segment grew 17%, providing a key boost to performance.
Domestic Formulations, or the business-to-consumer (B2C) segment, remained flat year-on-year. Herbicides grew 16%, while insecticides registered flat growth.
The Soil & Plant Health (SPH) business posted stronger growth of 22%, primarily driven by pricing gains.
The company also expanded its Crop Care portfolio with four product launches during the quarter: Silentra insecticide, Marcellus fungicide, Blitox Super fungicide and Trynage herbicide.
The new products target critical crop-protection needs, including rice brown planthopper (BPH), sheath blight, sugarcane weed management and disease control in key horticultural crops.
The Seeds business declined during the quarter, primarily due to higher returns from the kharif season, weighing on the segment’s performance.
Weather-related disruptions and delayed sowing continued to affect market demand during the quarter, adding to the challenges facing the company.
Rallis said it remains focused on sharpening market execution, improving cost efficiencies and strengthening customer engagement as it works to navigate the difficult operating environment and improve business performance.
While the first-half numbers reflect growth in revenue and profitability, the September-quarter performance highlights the pressure on earnings from softer demand and operating challenges. The company’s ability to improve execution and protect margins will remain critical as it moves into the next phase of FY27.
