Rallis India Q2 net profit climbs 4% to ₹102 crore as revenue dips on erratic rains

Agriculture solutions firm Rallis India Ltd on Thursday (October 16) reported a net profit of ₹102 crore for the second quarter of FY26, up 4% year-on-year from ₹98 crore in the same period last year.

The company’s revenue stood at ₹861 crore, showing a 7.2% decline from ₹928 crore in Q2 FY25, mainly due to erratic and prolonged rains in several parts of the country that impacted field activities and spray applications.

At the operating level, EBITDA declined 7.2% to ₹154 crore from ₹166 crore in Q2 FY25, while the EBITDA margin remained steady at 17.9%, unchanged from the previous year.

The company's PAT margin improved by 120 basis points to 11.8%. Strong cash management continued with free cash flow of ₹52 crore, zero external debt, and a healthy closing cash and liquid balance of ₹454 crore.

Also Read: Rallis India targets double-digit revenue growth in FY26, outpacing industry

In Q2, the crop care B2B business grew by 14% YoY on the back of volume revival in key molecules and better capacity utilisation, while the crop protection B2C business performance declined 10% YoY due to weather disruptions and erratic rainfall across major markets.

Soil & Plant Health (SPH) business declined by 20%, due to regulatory challenges in the Biostimulants category. However, exports registered a growth of 33% driven by higher volume in key molecules.

The Seeds business recorded revenue of ₹101 crore compared to ₹141 crore in Q2 FY25, primarily due to supply chain constraints, though higher gross margins and effective pricing helped mitigate the impact.

Rallis continued to expand its portfolio with eight new product launches during H1 FY26, including Penflor, Allato, Deeweed, Dodrio, Master Gold, Torris, Vaar and Teer, strengthening its position across herbicides and fungicides. The company also resumed biostimulant sales through in-house production, enhancing its footprint in sustainable crop solutions.

Also Read: Rallis India Q4 | Company clocks ₹2,663 crore in revenue, declares dividend of ₹2.5 per share

For the half year ended September 2025, Rallis reported revenue of ₹1,818 crore, a 6% increase over ₹1,711 crore in H1 FY25. EBITDA grew by 16% to ₹303 crore compared to ₹261 crore last year, while PAT grew 35% to
₹197 crore against ₹146 crore in H1 FY25. The company achieved a PAT margin of 10.8%, up from 8.5% in the previous year, reflecting improved operational efficiency and a richer product mix.

Dr Gyanendra Shukla, Managing Director & CEO, Rallis India Ltd, said, "Q2 was challenging due to prolonged rains, which impacted field activities and product placement. Despite these headwinds, our profitability remained stable, supported by export momentum, prudent cost management, and improved margins in the Seeds business. Our strong balance sheet, zero external debt and healthy cash position underscore our financial discipline and operational resilience."

Shares of Rallis India Ltd ended at ₹285.00, down by ₹8.90, or 3.03%, on the BSE.

Also Read: Rallis India targets growth above industry average over next five years