OREANDA-NEWS. Rallis India, a Tata enterprise and a leading player in the Indian crop protection industry, announced its financial results for the quarter ended June 30, 2013.

Consolidated key highlights – Q1
Rallis India recorded a 20 percent growth in revenues, with net sales scaling a new milestone at Rs409 crore, for the quarter ended June 30, 2013. Profit from operations before exceptional items rose Rs46 crore (from Rs34 crore), an increase of 36 percent. EBITDA grew by 33 percent to Rs55 crore (from Rs42 crore). Net profit was up 14 percent to clock Rs27 crore.

Metahelix, the seeds entity, registered a handsome sales growth of 81 percent to nearly Rs150 crore. Net profit also rose to Rs28 crore more than doubling the previous year Q1 net of Rs12 crore.

Shareholding of Rallis in Metahelix at June 30, 2013 was 77.02 percent as against 75.64 percent as at June 30, 2012.

The above results for the current quarter includes that of the subsidiary company Zero Waste Agro Organics, which was acquired (22.80 percent stake with management control) in March 2013.

Commenting on the performance and developments, V Shankar, managing director and CEO, Rallis India, said, “The domestic operations of the company has registered smart gains buoyed by the excellent progress in sowings with the favourable monsoon. I am happy that our seeds business is making rapid progress making its mark in the markets providing farmer satisfaction. The crop protection business is also well poised for delivery in the Kharif season. Our non-pesticides portfolio is shaping up well with each of the segments such as PGN, seeds, agri services, contract manufacturing making good progress.”

Mr Shankar further added, “Our focus on better working capital efficiency and cash management continues and this has delivered good results in Q1. Our interest costs are down 35 percent.”

The company continued its investments in strengthening its market reach and farmer connect through its flagship programme – Rallis Kisan Kutumba.

Geogreen, the new organic soil conditioner introduced during the year, has been accepted well by the farmers, who are able to see crop productivity improve by its usage.

The progress of the monsoon in July and August will be an important determinant on how the overall Kharif season shapes up.