New Delhi, Delhi, India
Best Agrolife Limited (BAL) (BSE: 539660) as we speak reported monetary outcomes for the Quarter ended June 30th, 2023.
Commenting on outcomes, Mr. Vimal Kumar, Managing Director, Best Agrolife Limited, stated, “I’m delighted to share that Best Agrolife has achieved outstanding development momentum, with income from operations rising by 32% Y-o-Y to Rs. 612 Cr, regardless of the headwinds that the agrochemicals business has been going through. Our herbicide portfolio merchandise together with Amito, Propique, Tombo, Ronfen and Warden have been the driving power behind this quarter’s development. Additionally, our EBITDA margins of 21% may be attributed to the rising contribution of speciality, area of interest, and patented merchandise to our total income.
This quarter’s efficiency additionally reinforces the widespread acceptance of our merchandise and Best Agrolife’s robust model presence within the Indian agrochemical market. Focusing on FY24, we’ve already launched a few technicals in Q1, that are seeing promising traction, with plans to introduce one patented product in Q2. Our pipeline for technicals and area of interest formulations is equipped for launch over the following few quarters.
While the agrochemicals business continues to face challenges, I firmly consider that our area of interest product basket won’t solely defend us from business perils, but additionally drive strong development in FY24. This provides us a purpose to stay steadfast in our dedication to attaining a 30% development goal and sustaining 20% EBITDA margins for FY24.”
Key Results Highlights (FY23 Consolidated):
Revenue from operations for Q1 FY24 stood at Rs. 612 cr which grew by 141% QoQ and 32% on YoY foundation in contrast to Rs. 254 cr in Q4FY23 and Rs. 464 cr in Q1FY23
Gross margin for the quarter is at 30% as in contrast to 19% in Q4FY23 and 21% in Q1FY23 which was an growth of 1100bps QoQ and growth of 900bps YoY.
EBITDA for the quarter got here at Rs. 130 cr up 1720% QoQ and 97% YoY in contrast to Rs. 7 cr in Q4FY23 and Rs. 66 cr in Q1FY23. The enchancment in EBITDA was pushed by higher product combine throughout Q1 FY24
EBITDA margin for the quarter got here at 21% as in contrast to 3% in Q4FY23 and 14% in Q1FY23 which was an growth of 1800bps QoQ and growth of 700 bps YoY.
PAT for the quarter was at Rs. 90 cr, up 1168% QoQ and 124% YoY in contrast to Rs. (8) cr in Q4FY23 and Rs. 40 cr in Q1FY23.
PAT margin for the quarter got here at 15% as in contrast to (3%) in Q4FY23 and 9% in Q1FY23 which was an growth of 1800 bps QoQ and growth of 600 bps YoY.
Key Business highlights for Q1 FY24:
Products Launched throughout Q1 FY24:
Harnessing Clean Energy
Best Crop Science Pvt. Ltd.(BCS), an entirely owned subsidiary of BAL, has entered a PPA and SHA for the provision of 3MW photo voltaic vitality from a plant in UP which might be used to energy the manufacturing unit in Gajraula. With this, BAL anticipates 33% per unit of electrical energy price financial savings whereas attaining a discount of over 4,000 tonnes in carbon emissions.
Approvals and Registration obtained:
BAL is the First Indian Agrochemical Manufacturer that has been granted registration for indigenous manufacturing of the product Trifloxystrobin 10% + Difenoconazole 12.5% + Sulphur 3% Sc underneath part 9 (3) FIM. This might be a patented product underneath the model identify Tricolor. This mixture successfully controls Sheath Blight, Powdery Mildew, Scab and Alternaria in Rice, Grapes, Tomato, Chili, Wheat, Mango and Apple.
Best Crop Science has been granted the registrations for Technical Indigenous manufacturing of Diclosulam technical 94% minimal, Boscalid technical 96% minimal and Dimethomorph technical 95.5% minimal from Central Insecticides Board & Registration Committee (CIBRC). Diclosulam is a broadleaf herbicide used to management weeds in Soyabean and Peanut crops. Boscalid is a foliar fungicide in opposition to a broad vary of fungal pathogens in a variety of crops, together with greens and different crops. Dimethomorph is a systemic fungicide that protects Potato, Tomato and Grape crops from fungi within the water mould household, resembling root rot, crown rot, late blight and downy mildew.
Seedlings India, BAL’s absolutely owned subsidiary has been granted registration to manufacture Pyroxasulfone 85% WG domestically in accordance with part 9(3) FIM vs FIT. This is a herbicide for Wheat, Corn and Soyabean. Pyroxasulfone market is price over Rs. 450 cr and BAL is assured in reaching Rs. 125 Cr. penetration within the first yr after introduction.
Product Pipeline for FY24: