India Pesticides posts Q1 FY25 PAT at Rs. 19 Cr

Date:08-06-2024

Delivered strong performance on both YoY and QoQ basis

Total Revenue of Rs. 224 Cr, up by 9.4% YoY and 72.5% QoQ

EBITDA of Rs. 32 Cr, up by 22.2% YoY, with EBITDA margin of 14.2%

Net Profit of Rs. 19 Cr, up 25.5% YoY with PAT margin of 8.7%

India Pesticides Limited (BSE: 543311; NSE: IPL), one of the fast growing agro-chemical companies for technical manufacturing (″IPL″ or the ″Company″), announces its results for quarter and year ended June 30^th, 2024.

Q1 FY25 Financial Performance: 

Q1 FY25 Key Performance Highlights:

• Total Income was Rs. 224 Cr, an increase of 9.4% and 72.5% on YoY and QoQ respectively

  
  

• EBITDA of Rs. 32 Cr, an increase of 22.2% on YoY with EBITDA margin of 14.2%

  
  

• Net Profit of Rs. 19 Cr, an increase of 25.5% on YoY with PAT margin of 8.7%

  
  

• Technicals + APIs constitute 65% of Total Revenue

Commenting on the performance, Mr. Anand S. Agarwal, Director, Founder & Promoter said:

″We have started FY25 on a very optimistic note with strong performance on both year on year and sequential basis. Total Revenue for the quarter was Rs. 224 Cr grew by 9.4% and 72.5% on YoY and QoQ basis respectively. This growth was largely driven by change in product mix and increase in sales volume, particularly formulations.

Despite various headwinds from global economic environment including geopolitical issues, pricing pressures and increased freight costs, we showcased robust performance. We achieved a significant enhancement in EBITDA margins, improving by 149 bps YoY and 854 bps QoQ, reaching 14.2% during the quarter.

We are pleased to announce the successful commissioning of our intermediate plant, which marks a significant step towards the backward integration of one of our key fungicides, which was previously imported. This achievement is a testament to our inhouse Indigenous R&D Technology and aligns with the Government of India's 'Atmanirbhar Bharat' initiative. By substituting imports with domestic manufacturing, we are not only enhancing our self-reliance but also contributing to the nation's economic growth.

Looking ahead to FY25, we aim to do Capex of ~Rs. 110 crores combining both IPL and SSL. Furthermore, we are poised to grow by expanding our customer base and strengthening capabilities. We are committed to leveraging consistent research and development efforts, driving innovation, and seizing new opportunities to fortify our market position. Despite industry challenges, we are confident in navigating them with our robust pipeline of innovative products and increased market presence, ensuring we meet the evolving needs of our customers and maintain our competitive edge.″

Key Strategic Developments/Updates:

• Appointment of Dr. Kuruba Adeppa as an Additional Director (Wholetime Director). We are confident that Dr. Adeppa’s extensive experience and expertise in chemistry & technology development will be invaluable to our board and our continued success

  
  

• Successfully commissioned our intermediate plant, a significant step towards the backward integration of one of our key fungicides, which was previously imported

  
  

• ~110 Cr of Capex has been planned for FY25 for both IPL & SSL and is progressing.

  
  

• Incorporated a new subsidiary ″Amona Specialities Private Limited″, which will operate under an asset-light business model. It will focus on identifying generic molecules preparing dossiers, seeking registrations, marketing and distributing formulations/technical through third-party distributors or its own sales force

  
  

• The company has achieved more than 100% utilization of its formulation business by utilizing some of its technical facilities to meet the increased market demand.