The company’s board approved plans to raise up to Rs. 1,000 crore as additional borrowings,
Godrej Agrovet Ltd. (GAVL) posted Q3 FY25 net profit at Rs. 109.9 crore, reflecting a growth of 32.4% YoY against Rs. 83 crore the same period last year. Revenues grew 4.5% YoY to Rs. 2,449.6 crore against Rs. 2,345.2 crore in Q3 FY24, which indicates constant demand across its key business verticals.
EBITDA stood at Rs. 220 crore, up 38.4% from Rs. 159 crore last year due to operational efficiencies and better margins. EBITDA margin improved at 9% as against 6.8% in Q3 FY24 due to better control over costs and higher profit margins.
Commenting on the performance, B. S. Yadav, Managing Director, Godrej Agrovet Limited, said: “Driven by stellar performances in Vegetable Oil business, Animal Feed business and Poultry business; Godrej Agrovet has reported robust growth in profitability in Q3 FY25. Although topline growth remained modest, EBITDA margins surged significantly, improving by ~200 basis points compared to Q3 FY24.
“Vegetable Oil business delivered strong growth in profitability in Q3 FY25 driven by higher realizations in respect of end products coupled with an improved Oil Extraction Ratio (OER) compared to same period previous year. Animal Feed business also witnessed a remarkable improvement in segment margins due to favorable commodity positions. While overall volumes grew marginally as compared to Q3 FY24, sequential volume surged by 10%. This growth was primarily driven by strong performance in the cattle, broiler, and layer feed segments. In Poultry business, while live bird volumes decreased in line with our strategy to focus on branded business, branded volumes improved marginally resulting in decline in topline. Profitability improved significantly due to higher realizations in the live bird segment compared to Q3 FY24.
“Astec's EBITDA losses improved sequentially in Q3 FY25, narrowing from Rs. 18 crore in Q2 FY25 to Rs. 4 crore. This was due to higher CDMO volumes but offset by lower realizations in the key Enterprise products. EBITDA losses also narrowed y-o-y from Rs. 17 crore in Q3 FY24 to Rs. 4 crore in Q3 FY25. We expect to see improvement in performance in the coming quarters. In Domestic Crop Protection business lower sales volumes in in-license category negatively impacted segment revenue and margins during Q3 FY25. This decline was primarily attributed to localized extreme weather events in key markets and subdued crop prices.”
Meanwhile, the company’s board approved plans to raise up to Rs. 1,000 crore as additional borrowings, as had been authorized by the shareholders on June 19, 2018.
Subscribe To Our Newsletter & Stay Updated