19 October 2024, New Delhi: Best Agrolife Limited has announced its unaudited financial results for the quarter and half year ended September 30th, 2024, in the Board meeting held on 18th October, 2024.
Commenting on the result and overall update on the Q2 FY25, Mr. Vimal Kumar, Managing Director, Best Agrolife Ltd. said, “We are pleased to announce that Best Agrolife Ltd. has delivered a strong performance in Q2 FY25, capitalizing on favorable market conditions and executing our strategic shift toward branded sales. Our commitment to enhancing brand visibility and expanding our market presence has yielded positive results, contributing significantly to both top-line and bottom-line growth.”
During H1 FY25, Best Agrolife secured three patents in the crop protection segment. Their branded products continued to perform well across regions, driving overall revenue growth. The company saw an improvement in profitability, with margins expanding from 26% to 34% year-on-year and a significant improvement in cash flow from operating activities, rising from ₹5 crores in H1FY24 to ₹125 crores in H1FY25.
The company was successfully able to reduced sales returns, which are expected to remain significantly lower than last year. Furthermore, they have now fully liquidated high-cost inventory, positioning them for a more agile and responsive approach to future market dynamics.
“Although seasonal conditions were generally more favorable compared to last year, some regions experienced excessive and continuous rainfall, which resulted in fewer crop sprays. However, the overall impact of above-average rainfall has been largely positive, particularly in key agricultural regions.”
“Looking ahead, we are excited about our strong product pipeline for Q3 and Q4 FY25. In the upcoming quarter, we plan to launch our patented herbicide ‘Shot Down’ alongside a new insecticide. Additionally, two more cutting-edge insecticides are slated for release in Q4, further strengthening our product portfolio and market competitiveness.”, said Mr. Kumar.
Key Financial Highlights (Rs. Crore)
Particulars (Rs. Cr.)
Q2 FY25
Q2 FY24
Y-o-Y
H1 FY25
H1 FY24
Revenue
746.6
811.2
(8.0)%
1,265.9
1,423.4
EBIDTA*
147.1
144.1
2.1%
201.7
274.1
EBITDA Margin (%)
19.7%
17.8%
193 Bps
15.9%
19.3%
PAT
94.7
94.9
(0.2)%
115.9
185.4
PAT Margin
12.7%
11.7%
99 Bps
9.2%
13.0%
*EBITDA is calculated excluding other income
Financial Highlights
Q2FY25 Revenue from Operations declined by 8% YoY to Rs. 746.6 crore in Q2 FY25 compared to Rs. 811.2 crore in Q2 FY24 due to lesser sprays on account of continuous rains and a strategic higher focus on branded sales. Branded sales contributed 65% to the overall revenue as compared to 63% in Q2FY24
Q2 FY25 EBITDA was at Rs. 147.1 crore compared to Rs. 144.1 crore in Q2 FY24. EBITDA margin stood at 19.7% with an increase of 193 Bps on YoY basis, mainly on account of stability in raw material prices & higher sales of branded products.
Q2 FY25 PAT stood at Rs. 94.7 crore compared to Rs. 94.9 crore in Q2 FY24
As on September 30, 2024, the Net Debt to equity has improved to 0.59 as compared to 0.90 as on 31st March 2024.
Business Highlights
The Company received regulatory approval for Nemagen, an insecticide formulation called to target resistant pests causing major crop damage.
The Company was granted a patent for its novel ternary pesticide formulation that integrates Isoprothiolane, Pymetrozine, and Trifloxystrobin; as well as one for its fungicide formulation that combines Trifloxystrobin and Valifenalate.
Best Agrolife received a patent for innovative insecticide formulation ‘Nemagen’ that combines Chlorantraniliprole, Novaluron, and Emamectin Benzoate
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