OREANDA-NEWS. October 20, 2011. Rallis India (Rallis), a Tata enterprise and a leading player in the Indian crop protection industry, today, announced its consolidated financial results for the half year ended September 30, 2011.

Consolidated Q2 performance:

Net sales has registered a growth of 18 per cent at Rs430 crore as compared to Rs363 crore during the same period in 2010-11.

EBIDTA for the period was Rs98 crore as compared to Rs89 crore last year, a growth of 10 per cent.

Net profit (after minority interest) was for the period was Rs59 crore ( Rs59 crore last year).

Consolidated H1 performance:

Net sales rose 29 per cent at Rs722 crore as compared to Rs559 crore during the same period in 2010-11.

EBIDTA for the period was Rs142 crore as compared to Rs113 crore last year, a growth of 25 per cent.

Net profit  (after minority interest) for the period was Rs82 crore as compared to Rs73 crore last year, a growth of 12 per cent.

The above results also include that of the subsidiary company, Metahliex Life Sciences (including its wholly-owned subsidiary Dhaanya Seeds), which was acquired (majority stake) in December, 2010. The previous year’s figures do not include this and therefore are not comparable.

Commenting on the company’s performance for the first half, V Shankar, managing director and chief executive officer, Rallis, said, “I am happy that during the second quarter we have taken a number of new initiatives and strengthened our farmer and market performance. All these coupled with our strong brands and value-creating solutions have resulted in the excellent performance of the company during this Kharif period. In H1, sales were Rs722 crore with net profit of Rs78 crore.

Commenting on business aspects, Mr Shankar added, “The south-west monsoon overall was good with widespread rainfall, leading to good acreages in sowing. However the timing and spatial distribution caused disruptions and affected farming activity or business conditions. In domestic business success of the products launched by the company in recent years including new products introduced during the first half led to market growth. The new project at Dahej has been successfully commissioned and started operations satisfactorily.

During the quarter, Rallis has taken three key initiatives which are expected to bring in a major change in Indian agricultural productivity. These are under the Rallis Kisan Kutumb (RKK) banner, which is a farmer relationship management programme.

Rallis had successfully launched the MoPu(More Pulses) initiative to improve pulse productivity by active farmer engagement in selected geographies. This initiative was further strengthened with retailing of pulses through Tata Chemicals' i-Shakti brand. In the current year Rallis extended MoPu initiative to other geographies. The company recently signed MOU with the Maharashtra Government, to improve the pulse productivity in the state of Maharashtra. In this, Rallis will work along with the Government of Maharashtra on farmer education, field activities teaching package of practices to improve the productivity of pulses and enhancing the earnings of farmers.

The use of modern technology is key for improving agricultural productivity. Rallis has launched Samrudh Krishi, a novel, IT-led farm advisory service in Nasik for grape farmers. This initiative will leverage Rallis’ agri expertise, reach and farmer connect. The same will be expanded to other key crops and geographies.

To improve the availability of trained crop advisors in the field, Rallis launched, Tata Rallis Agri Training School. This initiative also improve the employability of rural youth

Rallis is known for its manufacturing capabilities in crop protection chemicals and various types of chemistries, with the ability to develop new processes and formulations supported by the capability to register new products. It has contract manufacturing alliances with several multinational agrochemical companies. Rallis also strengthened  its seeds business by acquiring a majority stake in Metahelix Life Sciences, in December, 2010.

Rallis is one of India’s leading agrochemicals companies, with a century-old tradition of servicing rural markets and a comprehensive portfolio of pesticides for Indian farmers. The company is known for its deep understanding of Indian agriculture, sustained relationships with farmers, quality agrochemicals, branding and marketing expertise, and its strong product portfolio.

During FY2010-11, the company had posted a consolidated net profit of Rs126 crore and revenues of Rs1,066 crore.