Kaveri Seed Company (KSCL) Q4 20/21 earnings summary

Executive summary

• FY21 consolidated turnover rose 11.39% YoY to ₹1,036.31 crore; consolidated PAT increased 19.73% to ₹311.21 crore despite pandemic disruption.

• Operations continued with limited interruptions and maintained seed availability; R&D developed over 20 new products amid operating and supply-chain challenges.

Financial highlights

• Standalone revenue from operations was ₹986.98 crore, up 11.74% YoY; EBITDA reached ₹334.89 crore, up 17.06%, and PAT was ₹305.31 crore, up 21.51%.

• Consolidated revenue was ₹1,036.31 crore versus ₹930.35 crore; EBITDA was ₹343.76 crore versus ₹298.80 crore, and PAT was ₹311.21 crore versus ₹259.90 crore.

• Standalone PBT increased 19.73% to ₹313.18 crore; total income was ₹1,035.00 crore, including ₹48.02 crore of other income.

Outlook and guidance

• Growth priorities include R&D investment, stronger brand reach, digitalisation and improved internal processes; underserved crop segments, including medium-bold rice, were identified as opportunities.

• International expansion plans include testing products in Nepal, Bangladesh, Algeria and Nigeria, with operations in Indonesia, Vietnam and the Philippines expected in the near term.

• The Indian agriculture industry was projected to grow at a 12% CAGR from 2021 to 2026; increased investment in irrigation, warehousing and cold storage was cited as a sector tailwind.