India Pesticides posts 19 pc drop in Q3 net profit

Bareilly (Uttar Pradesh) [India], February 6 (ANI): Agrochemical company India Pesticides (IPL) on Monday posted a 19.39 per cent decline in net profit to Rs 34.8 crore for the quarter ended December 2022, against Rs 43.17 crore during the previous quarter ended December 2021.

According to a company statement shared with the exchanges on Monday, sales rose 14.53 per cent to Rs 217.64 crore in the quarter ended December 2022, against Rs 190.03 crore during the previous quarter ended December 2021. The company said its revenue went up 16 per cent year-on-year (YoY) to Rs 2,22.2 crore while its earnings before interest, taxes, depreciation, and amortization (Ebitda) was at Rs 51.1 crore in the reviewed quarter.

Anand S Agarwal, Chairman, IPL, said, “Despite the inflationary pressure, our margins saw an improvement on QoQ (quarter-on-quarter) basis due to improved operational efficiencies and cost pass-through. The company performed well with a 16.1 pc YoY revenue growth, driven by higher demand for existing products and new launches.”

The company posted a jump of 27.2 per cent YoY in its revenue to Rs 697 crore while its Ebitda was at Rs 165 crore during the reviewed quarter.
Anand S Agarwal said, “Our exports increased to 68 per cent in Q3 FY23 (third quarter) from 49 per cent in Q2 FY23 (second quarter). The increase has been driven by the company’s focus on expanding its global reach and building strong relationships with international customers.”

India Pesticides started operations in 1984 and has a growing formulations business in herbicides, insecticides and fungicide segments.
It is the only Indian manufacturer and among top five companies globally for several technical products like folpet and cynomoxanil which are used to make fungicides that control fungal growth across a variety of crops.

India Pesticides filed a draft red herring prospectus (DRHP) to raise Rs 800 crore through an initial public offering (IPO) in February 2021. The public offer comprises a fundraise via fresh issuance of shares amounting to Rs 100 crore and Rs 700 crore through an offer-for-sale by promoter and technocrat Anand Swarup Agarwal aggregating to Rs 281 crore and other selling shareholders the balance of Rs 419 crore.