Best Agrolife (539660) Q4 18/19 earnings summary

Executive summary

• FY19 revenue from operations was ₹12,776.64 lakh and net profit ₹9.66 lakh; both were below FY18 levels of ₹12,918.46 lakh and ₹21.09 lakh, respectively.

• Operations were described as steadily expanding, with efforts to broaden product and customer bases and explore new products; an asset-light approach was cited as a path to improved returns.

Financial highlights

• Revenue from operations ₹12,776.64 lakh vs ₹12,918.46 lakh YoY; other income ₹399.35 lakh vs ₹432.87 lakh; total income ₹13,175.99 lakh vs ₹13,351.34 lakh.

• Profit before tax ₹20.56 lakh vs ₹27.71 lakh; net profit ₹9.66 lakh vs ₹21.09 lakh; total expenses ₹13,155.43 lakh vs ₹13,323.63 lakh.

• Total comprehensive loss ₹53.91 lakh vs income ₹255.30 lakh, reflecting FY19 other comprehensive loss of ₹63.57 lakh vs income of ₹234.21 lakh.

• Basic and diluted EPS ₹0.12 vs ₹0.26; finance costs rose to ₹141.58 lakh from ₹96.60 lakh, while depreciation fell to ₹4.11 lakh from ₹14.98 lakh.

Outlook and guidance

• Directors expected improved operating and financial results, citing product and customer expansion, market exploration, consolidation and potential business synergies.

• Management planned to pursue asset-light models and exit capital-intensive models to release cash, with the aim of improving future returns.

• The board recommended a final dividend of ₹0.10 per share; proposed payout ₹7.98 lakh plus dividend distribution tax of ₹1.62 lakh, totaling ₹9.60 lakh, subject to shareholder approval.