Mumbai, Agrochemicals major UPL Ltd on Monday reported a massive 95 per cent decline in March quarter net profit to Rs 40 crore.
The company had earned a net profit of Rs 792 crore in the same period a year ago.
The company said revenue during the quarter under review was Rs 14,078 crore, down 15 per cent from Rs 16,569 crore achieved in Q4FY23.
UPL Ltd said the decline in revenue was mainly due to lower prices post-patent, while volumes were largely in line with LY.
EBITDA stood at Rs 1,933 crore in the March quarter, compared to Rs 3,033 crore in the year-ago quarter, while EBITDA margin stood at 29.4 per cent during the quarter under review, compared to 34.4 per cent in Q4FY23.The company also said it is considering a rights issue in the late second quarter and early October quarter, for which it has already secured board approval to raise up to US$500 million.
Additionally, UPL has also made a capital expenditure plan of USD 210 billion for this financial year and a part of this will be to expand capacities.
"Despite the current volatile and challenging market conditions, we delivered significantly better financial results in the fourth quarter than the previous two quarters," said Mike Frank, CEO of UPL Corporation Limited.
Compared to the December quarter, volumes improved well and were on par with last year, mainly due to the strong performance of the company's high-margin differentiated and sustainable portfolio, which drove crop protection revenues at 36 per cent as against 29 per cent. has contributed. Last year, he said.
“Sales of our recent launches Evolution, Pharos and Shenzi have increased by more than 50 percent,” Frank said.,
Additionally, Europe and the rest of the world have shown strong performance with double-digit growth, he said.
Additionally, UPL Ltd's global seed platform, Advanta, continued to drive strong traction, delivering revenue growth of 34 per cent and 38 per cent respectively for the quarter, he said.
“As we look towards FY 2025, we expect margin growth and normalization driven by the return of the agchem market to normalcy. Furthermore, our biggest priority is to deleverage our balance sheet which we The rights issue, which we plan to acquire through operating cash flows, and the exploration of capital enhance opportunities within our platforms,” Frank said.The company expects its revenue growth to be 4-8 percent in the current financial year.
The company said the last fiscal year was one of the worst for its Indian business in many years, but added that it expects fiscal 2020-25 to be better and the overall outlook on the monsoon remains good. .
The company had earned a net profit of Rs 792 crore in the same period a year ago.
The company said revenue during the quarter under review was Rs 14,078 crore, down 15 per cent from Rs 16,569 crore achieved in Q4FY23.
UPL Ltd said the decline in revenue was mainly due to lower prices post-patent, while volumes were largely in line with LY.
EBITDA stood at Rs 1,933 crore in the March quarter, compared to Rs 3,033 crore in the year-ago quarter, while EBITDA margin stood at 29.4 per cent during the quarter under review, compared to 34.4 per cent in Q4FY23.The company also said it is considering a rights issue in the late second quarter and early October quarter, for which it has already secured board approval to raise up to US$500 million.
Additionally, UPL has also made a capital expenditure plan of USD 210 billion for this financial year and a part of this will be to expand capacities.
"Despite the current volatile and challenging market conditions, we delivered significantly better financial results in the fourth quarter than the previous two quarters," said Mike Frank, CEO of UPL Corporation Limited.
Compared to the December quarter, volumes improved well and were on par with last year, mainly due to the strong performance of the company's high-margin differentiated and sustainable portfolio, which drove crop protection revenues at 36 per cent as against 29 per cent. has contributed. Last year, he said.
“Sales of our recent launches Evolution, Pharos and Shenzi have increased by more than 50 percent,” Frank said.,
Additionally, Europe and the rest of the world have shown strong performance with double-digit growth, he said.
Additionally, UPL Ltd's global seed platform, Advanta, continued to drive strong traction, delivering revenue growth of 34 per cent and 38 per cent respectively for the quarter, he said.
“As we look towards FY 2025, we expect margin growth and normalization driven by the return of the agchem market to normalcy. Furthermore, our biggest priority is to deleverage our balance sheet which we The rights issue, which we plan to acquire through operating cash flows, and the exploration of capital enhance opportunities within our platforms,” Frank said.The company expects its revenue growth to be 4-8 percent in the current financial year.
The company said the last fiscal year was one of the worst for its Indian business in many years, but added that it expects fiscal 2020-25 to be better and the overall outlook on the monsoon remains good. .
