please find attached letter dated 12th May 2025
Awaiting price reaction for this filing.
UPL held its Capital Markets Day on May 12, 2025, presenting a strong recovery for FY25. Revenue grew 8% to ₹466.4 Bn (in line with 4–8% guidance), while EBITDA jumped 47% to ₹81.2 Bn, beating the upper end of guidance, with EBITDA margin expanding 460bps to 17.4%. Net debt was cut by ~$1 Bn to $1.6 Bn (Net Debt/EBITDA improved from 4.0x to 1.7x), supported by $530 Mn in operational free cash flow and $550 Mn from capital actions including a $350 Mn Advanta stake sale to Alpha Wave at a ~$2.8 Bn enterprise valuation. Working capital days fell 33 days to 53 through tighter inventory and credit controls. All three platforms — Crop Protection, India (UPL SAS), and Seeds (Advanta) — delivered double-digit EBITDA growth, with Advanta posting a 19% EBITDA CAGR over FY22–FY25.
FY25 results show UPL has clearly turned the corner on margins and leverage, and FY26 guidance of 4–8% revenue growth alongside 10–14% EBITDA growth signals continued margin expansion — positive for shareholders. The deleveraging story and value-unlocking moves like the Advanta stake sale should support re-rating, though Superform's 160bps margin contraction and LATAM distributor delinquencies remain watchpoints.