Rallis India Ltd., a agrochemicals manufacturer based in India announced its results for the second quarter ended September 30, 2021.
Q2 Results- QoQ
The company’s net profit dropped 31.4% to Rs 56.49 crores ($7.6 million) for the period ended Sep-tember 30, 2021 as against net profit of Rs 82.34 crores ($11 million) for the previous quarter.
Net sales decreased 1.6% to Rs 735.29 crores ($98.4 million) during the period ended September 30, 2021 as compared to Rs 747.5 crores ($100 million) during the previous quarter.
Q2 Results- YoY
The company’s net profit dropped 32% to Rs 56.49 crores ($7.6 million) for the period ended Septem-ber 30, 2021 as against net profit of Rs 82.95 crores ($11.1 million) for the prior-year quarter.
Net sales declined 0.4% to Rs 735.29 crores ($98.4 million) during the period ended September 30, 2021 as com-pared to Rs 738.06 crores ($98.7 million) during the prior-year quarter.
Half-Year Results- YoY
The company’s net profit declined 20.6% to Rs 138.83 crores ($18.6 million) for the 6 months period ended September 30, 2021 as against net profit of Rs 174.82 crores ($23.4 million) for the prior-year 6 months period.
Net sales increased 5% to Rs 1482.79 crores ($198.3 million) during the 6 months period ended Sep-tem-ber 30, 2021 as compared to Rs 1412.51 crores ($188.9 million) during the prior-year 6 months pe-riod.
Announcing the results, Mr. Sanjiv Lal, Managing Director and CEO, Rallis India said, “The erratic mon-soon season this year was not favourable to agri input companies in the last quarter. In this backdrop, our domestic crop care business grew by 3%, but the seeds business declined by 65%. The drop in the seeds business was due to the changes in cropping patterns witnessed across the country as well as the proliferation of spurious cotton seeds. The overall good cumulative rainfall witnessed in Kharif also augurs well for the upcoming Rabi agricultural season.
Meanwhile, the Company’s efforts towards dealing with logistic issues helped in exports delivering growth of 22% during the quarter.
The raw material situation continues to be tough and we are focussed on minimising the disruptions to our production as much as possible.
On a longer-term basis, our capex plans, new product introduction plans and demand generation in-vestments remain on course as we do believe that normalcy will be restored progressively.
While positioning ourselves so, we are also consistently prioritising the safety and well-being of all our employees and other stakeholders.”