Rallis India reported a flat revenue of ₹858 crore for the second quarter of FY27, down slightly from ₹861 crore in the previous year. Profit after tax saw a 17% decline to ₹85 crore from ₹102 crore in Q2 FY26. The company cited deficient rainfall in key agrochemical consuming states and a shift in channel stocking priorities towards fertilizers for the performance. New product launches and digital initiatives were highlighted as key growth drivers.
Rallis India Reports Q2 and H1 FY27 Financials
Rallis India Limited announced its financial results for the second quarter (Q2) and first half (H1) of the fiscal year 2027, ending September 30, 2026. The company experienced a challenging quarter influenced by adverse weather conditions and market dynamics.
Q2 FY27 Performance Highlights
- Revenue: Stood at ₹858 crore, marking a marginal de-growth of 0.35% compared to ₹861 crore in Q2 FY26. This was attributed to a 5% volume de-growth offset by a 5% price growth.
- EBITDA: Recorded at ₹126 crore, a 18% decrease from ₹154 crore in the same period last year.
- Profit After Tax (PAT): Declined by 17% to ₹85 crore from ₹102 crore in Q2 FY26.
H1 FY27 Performance Overview
- Revenue: Grew by 3% to ₹1,880 crore compared to ₹1,818 crore in H1 FY26.
- EBITDA: Increased by 2% to ₹311 crore from ₹304 crore in H1 FY26.
- Profit After Tax (PAT): Saw a growth of 6% to ₹210 crore from ₹197 crore in H1 FY26.
Segmental Performance
The Crop Care segment revenue grew by 4% to ₹788 crore in Q2 FY27, driven by a 6% price growth. However, EBITDA for the segment decreased by 2%. The Domestic (B2C) sub-category within Crop Care saw a 1% de-growth, primarily due to a volume decline of 6% in the Crop Protection sub-category. Soil & Plant Health (SPH) sub-category showed robust growth of 22%. The Institutional (B2B) category revenue grew by 17%, driven by volume and price increases, with CSM showing a significant 12x growth.
The Seeds business experienced a de-growth of 31% in revenue to ₹70 crore in Q2 FY27, largely due to a 26% volume decline. EBITDA and PAT for the segment turned negative.
Operational Highlights and Outlook
The company highlighted the impact of deficient monsoon rains in key agrochemical consuming states, leading to slower liquidation and high carry-forward inventory. Channel partners prioritized stocking fertilizers over agrochemicals due to geopolitical situations and logistics challenges. Rallis India launched 4 new crop care products and 6 new seeds products in Q2 FY27, contributing to its new product pipeline. Digital marketing initiatives continue to drive farmer engagement and sales.
Looking ahead, Rallis India aims to focus on strengthening customer centricity, accelerating new product launches, and leveraging digitalization for operational efficiency. The company expects the next season to be better, contingent on normal rainfall and improved farm economics, with potential for increased crop acreages and overall consumption growth.
Source: BSE
