Insecticides India’s profit falls 22% in Q2 FY 2015-16

Agrochemical company Insecticides India Ltd reported 22% decline in net profit at Rs 179.9 million for the quarter ended September on poor monsoon. The company had posted a net profit of Rs 229.3 million in the year-ago period. Net income dropped by 8% to Rs 3,699.9 million during July-September period of this fiscal. Net profit for the first half year slipped by 6.3% to Rs 377.9 million, net income was up by 0.2% to Rs 6,553.9 million.
 

Sales of formulations were down by 4.2% to Rs 3323.7 million in Q2, which accounting for nearly 90% of total sales. Technical posted a sharp decline of 44.3% to Rs 677.7 million.
 

Commenting on the result, Insecticides India MD Rajesh Aggarwal said: "We all know that it turned out to be a deficient monsoon, especially the period between July and September, causing less output.
 

"However, with the variety in the product bouquet and pan India presence, we managed to reduce its effect to our best."
 

Insecticides has formulation facilities in Chopanki (Rajasthan), Samba & Udhampur (Jammu & Kashmir) and Dahej (Gujarat).
 

It also has technical synthesis plants at Chopanki and Dahej to manufacture technical grade chemicals.
 

The leading and most popular brands in the kitty of IIL include Nuvan, Pulsor, Hakama, Lethal, Victor, Thimet and Monocil.
 

Last year, IIL launched Mycoraja, its first bio-product equipped to promote healthy growth and greater nutrient absorption in a wide range of crops from rice, wheat and vegetables to oilseeds as well as cotton.

 

Revenue growth in the second half of FY2016 is likely to be in the 10-15 percent range, says Sandeep Aggarwal, CFO, Insecticides India.