1. Opening Hook
Just when investors were debating whether El Niño, China, or WhatsApp University was hurting agri-input demand, Rallis walked in with a curveball. Volumes grew like a bumper wheat crop, revenues followed obediently, and EBITDA even flexed. Then PAT collapsed 81% — not because the business broke, but because the Wage Code showed up with a surprise bill.
Management insists demand is “moderate but improving,” which in agri-language means “pray for better pests and higher prices.” Seeds grew fast, SPH crawled back from regulatory purgatory, and B2B exports quietly did the heavy lifting while domestic pricing sulked.
Read on — the real story isn’t the headline PAT. It’s hiding in volumes, China imports, and a business that’s clearly selling more… just not always making more. Things get interesting later. 😏
2. At a Glance
- Revenue up 19% – Volumes showed up in full force; pricing politely declined.
- EBITDA up 29% – Operating leverage worked… briefly, before competition crashed the party.
- PAT down 81% – Wage Code gratuity said “one-time,” investors said “sure.”
- B2B exports up 56% – When domestic demand snoozes, exports pick up the slack.
- Seeds revenue up 46% – Volumes booming, profits still allergic to positivity.
3.
Management’s Key Commentary
“Demand remained moderate with seasonal fluctuations.”
(Translation: Farmers bought, but not like it was a dream monsoon.)
“Channel inventory is slightly elevated and will liquidate in Q4.”
(Translation: Dealers stocked up, now they’re staring at godowns.)
“Margins are under pressure due to input costs and Chinese imports.”
(Translation: China is back, cheaper, and ruining everyone’s spreadsheets.) 😏
“B2B exports and CSM delivered strong volume growth.”
(Translation: Thank god for global customers.)
“Soil & Plant Health business progressed post regulatory migration.”
(Translation: We survived the biostimulant paperwork nightmare.)
“Nine new products launched in 9M, including Fateh Nxt.”
(Translation: Pipeline is alive, now pray adoption follows.)
“PAT impacted due to additional gratuity provision under Wage Code.”
(Translation: Not operational, please don’t panic.)
4. Numbers Decoded
| Metric | Q3 FY26 | YoY | Decoded Take |
|---|---|---|---|
| Revenue | ₹623 Cr | +19% | Volume did the heavy lifting |
| EBITDA | ₹58 Cr | +29% | Cost control tried its best |
| PAT | ₹2 Cr | -81% | One-off nuked optics |
| Crop Care Rev | — | +18% | B2C volumes strong |
| Seeds Rev | — | +46% | Growth without joy |
