Advance Agrolife Q2 FY27 results: net profit down 25.8% to ₹11.79 crore, revenue up 35.0%

How did Advance Agrolife perform in Q2 FY27?

Advance Agrolife Limited reported standalone revenue from operations of ₹287.15 crore for Q2 FY27, up 35.0% from ₹212.63 crore in Q2 FY26. Revenue was down 13.1% from ₹330.40 crore in Q1 FY27, while total income was ₹287.48 crore. EBITDA fell 15.3% year on year to ₹21.83 crore, and the EBITDA margin declined 4.5 percentage points to 7.6%.

Profit before tax was ₹15.97 crore in Q2 FY27, down 24.7% from ₹21.20 crore in Q2 FY26 and 47.2% from ₹30.25 crore in Q1 FY27. Net profit was ₹11.79 crore, down 25.8% year on year and 47.7% sequentially, while basic EPS fell to ₹1.84 from ₹3.53 and ₹3.50, respectively. The figures are standalone; no consolidated result was provided.

The company’s board approved the unaudited financial results for the quarter and half year ended 30 September 2026, along with the statement of assets and liabilities and the statement of cash flow. The statutory auditors issued limited review reports and reported that nothing had come to their attention indicating that the interim financial results were not prepared in accordance with Ind AS 34 and applicable accounting principles.

What changed in Advance Agrolife's costs and profit?

Finance costs increased 40.7% to ₹3.04 crore from ₹2.16 crore, and depreciation and amortisation rose 18.9% to ₹3.15 crore from ₹2.65 crore. Other income increased 43.5% to ₹0.33 crore from ₹0.23 crore, while tax expense declined 21.4% to ₹4.18 crore from ₹5.32 crore. There was no exceptional item in either Q2 FY27 or Q2 FY26.

Against Q1 FY27, cost of materials consumed fell 11.6% to ₹236.26 crore and other expenses declined 19.4% to ₹20.25 crore. However, finance costs rose 49.8% to ₹3.04 crore, employee cost increased 6.6% to ₹4.70 crore, depreciation rose 4.7% to ₹3.15 crore and other income increased 50.0% to ₹0.33 crore. The filing did not state a reason for the year-on-year increase in the cost lines.

How did the first half of FY27 go?

In the first half of FY27, standalone revenue rose 62.0% to ₹617.56 crore from ₹381.26 crore in H1 FY26, and total income increased 62.0% to ₹618.11 crore. Profit before tax rose 36.7% to ₹46.22 crore, while PAT increased 38.4% to ₹34.34 crore.

What do the balance sheet and cash flow show?

At 30 September 2026, total assets were ₹746.94 crore, against ₹624.99 crore at 31 March 2026, while total equity rose to ₹344.19 crore from ₹309.92 crore. Borrowings increased to ₹109.77 crore from ₹96.06 crore, and cash declined to ₹0.30 crore from ₹5.45 crore. Inventories were ₹187.72 crore, compared with ₹205.22 crore.

Trade receivables rose to ₹375.33 crore at 30 September 2026 from ₹196.24 crore at 31 March 2026, while trade payables increased to ₹279.81 crore from ₹209.08 crore. In H1 FY27, operating cash flow was ₹18.65 crore, against ₹11.66 crore in H1 FY26; investing cash flow was an outflow of ₹32.22 crore, compared with ₹10.95 crore, and financing cash flow was ₹8.42 crore against ₹57.05 crore.

Capital expenditure in the first half was ₹24.98 crore, compared with ₹11.74 crore in H1 FY26. The filed cash-flow statement did not provide a closing cash figure for either period, while the balance sheet showed cash of ₹0.30 crore at 30 September 2026.

How has Advance Agrolife done over the last 6 quarters?

Revenue reached its highest level of the six-quarter series in Q1 FY27 at ₹330.40 crore, before falling to ₹287.15 crore in Q2 FY27. The lowest revenue was ₹123.88 crore in Q4 FY26. Revenue has now risen year on year for two consecutive quarters, according to the reported trend data.

PAT peaked at ₹22.55 crore in Q1 FY27 and fell to ₹11.79 crore in Q2 FY27; the lowest PAT in the series was ₹3.01 crore in Q3 FY26. EBITDA margin peaked at 12.1% in Q2 FY26, bottomed at 5.5% in Q3 FY26 and eased to 7.6% in Q2 FY27. The margin has therefore moved lower from its Q1 FY27 level of 10.6%.

What else did the company announce?

The board approved the unaudited standalone financial results for the quarter and half year ended 30 September 2026, together with the statement of assets and liabilities and statement of cash flow. The results were accompanied by limited review reports from the statutory auditors.

The company also filed an update on a proposed captive solar power project. It obtained registration from Rajasthan Renewable Energy Corporation Limited for an approximately 4 MW project at Punarasar (Rajpura), District Bikaner, Rajasthan, subject to other approvals, permissions and clearances. The same-day filings did not announce a dividend, fund raise or appointment.

What did Advance Agrolife's management say?

Management said Unit I had been converted to technical-grade and active ingredient manufacturing, enabling captive supply to formulation lines and removing external active ingredient procurement, packaging and transit costs. Management said Unit IV technicals for fungicides and herbicides were in progress and that the company targets a 25-30% reduction in COGS for specific products; no timeframe was specified.

Management said the company was executing a 4x expansion of 2,4-D capacity to 10,000 MT by Q4 FY28, from the current 2,500 MT. It also said commissioning of the Gidhani plant by the end of Q4 was expected to strengthen manufacturing capacity and product diversification, while construction had commenced on Unit V at Dahej II GIDC, Bharuch, Gujarat.

Management said exports currently contribute ~2% of revenue and that the company is aiming to increase export share to 20% of revenue by FY29. It said the company is aiming to obtain registrations in regulated markets including LATAM, South-East Asia and Brazil, and is leveraging “China Plus One” to supply technicals to Vietnam and Indonesia.

Management identified Q2 margin and PAT compression, rising funding costs, per-share earnings dilution and customer concentration as risks. It said the top 10 customers contribute ~64% of revenue. The presentation also said the company has 500+ CIB and RC registrations, an installed capacity of nearly 90,000 MTPA, operations across 19 states and exports to 14 countries.

How did other Pesticides & Agrochemicals companies do?

Among 15 other Pesticides & Agrochemicals companies that had filed for the quarter, the median revenue growth was -0.3%. Fourteen peers grew more slowly than Advance Agrolife, while one grew faster, based on the company’s reported peer comparisons.

Five of the 15 peers reported higher profit. Advance Agrolife’s standalone Q2 FY27 revenue growth of 35.0% was above the peer median, although its net profit declined 25.8% from Q2 FY26.