11 November 2021, New Delhi: One of India’s leading agrochemical company, Best Agrolife Ltd, reported a PAT of Rs 50.73 crore for the first half-year ending September (1HY22). The company’s revenue in 1HY22 increased by nearly 4.43 percent versus 1HY21 to Rs 668.95 crore. Robust revenue growth helped the company swing to profit at the EBITDA of Rs 71.29 crore. The sequential improvement can be attributed to their continuous efforts to come up with innovative and effective products according to the needs of their biggest stakeholders and the farmers.
Commenting on the results, Managing Director of Best Agrolife Ltd, Mr Vimal Alawadhi said,” The continuous efforts to understand the needs of our biggest stakeholders and the farmers are showing us the path to create innovative products. With leading products in the upcoming quarters, we are creating a strong pipeline for the business. We expect to create significant value for all our stakeholders and next quarter onwards, the results of our subsidiary Best Crop Science Pvt. Ltd. will reflect on our book value.”
Listed among the top 15 agrochemical companies in India, Best Agrolife Ltd innovates and manufactures agrochemicals, technicals, intermediates, formulations, PGRs, and public health products. The company announced its financial results for Q2FY22 and 1HY22 on 26th October 2021 in their Board of Directors meeting. With revenue of Rs. 324.39 crore the company registered a whopping growth of 16.81% in Q2FY22. The company also stated that the EBITDA for Q2FY22 was Rs 35.23 crore and their PAT stood at Rs 24.95 crore.
Moving forward with their plan to expand, the company has now acquired Best Crop Science Pvt Ltd. Though Best Crop Science Pvt Ltd used to focus on selling formulated products in the past it will now specifically focus on the research, production, and sales of patent products.
Best Crop Science Pvt Ltd has already got a green signal from the Central Insecticides Board & Registration Committee for indigenous manufacturing of Trifloxystrobin Technical u/s 9(3). Not only this, but the company also got a patent for the three-way insecticidal combination which will control sucking pest complexes in various crops with just one spray. Moreover, the company has applied for a product trademark- RONFEN which will be available in the market by the onset of the next Kharif season.
Elated by the exponential growth in their profit, the company is now targeting to achieve a growth of 30-35% in the merged turnover of their two ambitious subsidiaries — Best Crop Science Pvt Ltd and Seedlings India Pvt Ltd from the third quarter onward. The company also said that it expects its PBT to change from 7% to 11%.
In a statement, the company said, “From the last three years, we are focusing more on our own proprietary novel formulations development. Our plan is to bring a one-shot solution to control a complex of pests and diseases. These innovations will not only generate high revenue along with a substantial change in EBITDA margin but will also create value for the entire farming community and sustainable agriculture.”
The statement further read, “Domestic market in India is still led by insecticide share while herbicides rule the global market. Moreover, emerging labor constraints and high resistance in weeds in different crops also add to the disparity between India and the rest of the world. To fill this gap, we have already been working on providing some selective herbicides which will be able to control both broad leaf and narrow leaf weeds. Our robust Research & Development team is developing proprietary formulations from our patented molecules. These formulations will pave the road for the company’s rapid growth in the coming five years.”
“We are also planning to purchase and invest more money in the development of the agrochemical factory located in Samba (Jammu and Kashmir)”, said the company.