Rallis India (RALLIS) Q2 26/27 earnings summary

Executive summary

• Q2 FY2027 was muted amid deficient, uneven monsoon rainfall, weak channel replenishment and crop-area pressure; H1 revenue and earnings grew modestly.

• New-product launches and portfolio-focused execution supported resilience, while elevated inventory, input costs and pricing pressure weighed on performance.

Financial highlights

• Q2 revenue from operations was INR 858 crore versus INR 861 crore YoY; 5% pricing growth was offset by a similar volume decline.

• Q2 EBITDA fell 18% to INR 126 crore from INR 154 crore; PAT declined 17% to INR 85 crore from INR 102 crore.

• H1 revenue rose 3% to INR 1,880 crore, EBITDA increased 2% to INR 311 crore and PAT rose 6% to INR 210 crore.

• H1 PBT was INR 282 crore versus INR 266 crore; H1 results included a INR 16 crore exceptional gain.

Outlook and guidance

• Management expects the next season to be significantly better with normal rainfall and improved crop economics; weather visibility remains limited until March-April.

• Rabi prospects depend on winter rainfall, soil moisture and irrigation; reservoir levels were ~70% of capacity versus a 10-year average of 76%.

• Capacity utilization is expected to remain broadly stable, with growth from product mix, operating efficiencies and higher-value offerings.

• Long-term priorities include portfolio expansion, targeted R&D, cost competitiveness, strategic alliances and custom synthesis.