Dhanuka Agritech Limited announced its financial results for the second quarter of FY27, reporting a 9.91% increase in revenue from operations, reaching INR 657.51 crore. EBITDA grew to INR 152.97 crore, and profit after tax stood at INR 109.22 crore. The company highlighted resilient performance despite an industry-wide weak earnings season, driven by strong insecticide segment growth and strategic product focus.
Dhanuka Agritech Announces Q2 FY27 Financial Performance
Dhanuka Agritech Limited has released its financial results for the second quarter and half-year ended September 30, 2026. The company reported a revenue from operations of INR 657.51 crore for Q2 FY27, representing a growth of approximately 9.91% compared to INR 598.24 crore in the corresponding quarter of the previous year (Q2 FY26-’26). This performance demonstrates resilience in a challenging agrochemical market environment.
Profitability and Financial Highlights
EBITDA for the second quarter stood at INR 152.97 crore, an increase from INR 136.73 crore in the prior year’s quarter. Profit after tax also saw a significant improvement, reaching INR 109.22 crore compared to INR 93.97 crore in Q2 FY25-’26. The company attributes this healthy profitability to a favorable product mix, operational efficiencies, and disciplined cost management. The balance sheet and cash generation remain strong, supporting future growth investments.
Industry Context and Company Strategy
The agrochemical sector experienced a subdued earnings season in Q2 FY26-’27, impacted by erratic monsoon rainfall and high raw material costs. Despite these industry headwinds, Dhanuka Agritech showcased a resilient performance. The company’s diversified geographic footprint and focus on specialized products, including the reintroduction of biostimulant products, helped protect gross margins. Strategic raw material sourcing and lean distributor inventory levels also contributed to healthy cash generation.
During the quarter, the insecticide segment contributed significantly with 47% of the turnover, while fungicides accounted for 25% and herbicides 8%. The company continues its commitment to introducing innovative products through partnerships with multinational innovators and strengthening its R&D capabilities.
Outlook and Regional Performance
Looking ahead, Dhanuka expects a subdued Q3 and Q4 but notes that channel inventories are optimal. The upcoming Rabi season shows promising initial movements in certain regions, with the performance of South and East zones being key. Geographically, North India contributed 31% to turnover in Q2 FY26-’27, followed by West India (28%), South India (29%), and East India (12%). The company remains focused on farmer prosperity and national food security through its farmer education initiatives and engagement with scientific institutions.
Product Performance and Launches
Key product launches like LaNevo, Miyako, and Mortar, along with plant growth regulators and nutritional products, drove insecticide segment growth. The company also highlighted the positive performance of MYCORE Super, which enhances crop resilience. While specific revenue figures for individual products are not disclosed, management indicated that these initiatives contributed to the quarter’s strong results.
The company is also exploring capacity expansion at its Dahej plant and plans to introduce new products, including fungicides, over the next two years to scale operations and enhance profitability.
Source: BSE
