July 17, 2018

Rallis India revenues up 30 percent to Rs573 crore

Mumbai: Rallis India, a Tata enterprise and a leading player in the Indian crop protection industry, announced its financial results for the quarter ended June 30, 2018.

Consolidated key highlights - Q1

Rallis registered revenues of Rs573crore (Rs442 crore) for the quarter ended June 30, 2018, a growth of 30 percent over previous year sales net of excise. Profit before tax was at Rs76 crore (Rs61 crore); total comprehensive income was at Rs54 crore (Rs43 crore).

Standalone key highlights - Q1

Rallis registered revenues of Rs352 crore (Rs244 crore) for the quarter ended June 30, 2018, reflecting an increase of 45 percent over previous year sale net of excise. Last year witnessed a disturbance in stocking patterns at the channel level. Profit before tax was at Rs11 crore (Rs2 crore) and profit after tax was at Rs8 crore (Rs1 crore).

Commenting on the performance and developments, V Shankar, managing director and CEO, Rallis India, said, "I am pleased to report better market performance over last year driven by volume and value growth in both domestic and international businesses. South West monsoon has covered the entire country, though the overall deviation is yet to be made up. Sowings are progressing well and we expect that the total acreages will catch up with that of last year. Revision in Kharif MSP brings good tidings and improved farm income will augur well for a strong Kharif crop.

“We continued with our focus on working capital and placing stocks to align with market requirements.

“Rallis Samrudh Krishi® (RSK) our solution based approach to create value for farmers by enhancing productivity through end -to -end Agri solutions has been an important driver for our revenue growth during the quarter despite market challenges, increased raw material prices with pricing pressure leading to pressure on margins.

“Our performance in the International business continues to be better than last year due to improving situation in key markets such as Brazil and strong demand for herbicides".

Rallis Samrudh Krishi® (RSK) intends to create value to farmers through close field level working disseminating the right growing practices, products and information. This leads to a better quality crop along with optimised cost and delivering improved yields.

The use of e-interventions - Drishti, Samadhan and Sampark, are key enablers in the execution. Drishti provides predictive advisory services- accurate pest forecast (critical pest only, where support is a delight factor), Samadhan app gives access to farmers for customised and dynamic package of practices, weather forecast, latest update on crop output prices, flash news on agriculture, can connect with expert for problem solving etc. Sampark app gives access to field force on complete crop practices besides full detail on portfolio of solutions.