UPL (UPL) Q2 2026 earnings summary

Executive summary

• Q2 FY26 delivered robust revenue growth of 8% year-over-year, with strong volume growth, favorable exchange rates, and broad-based EBITDA growth across all platforms, despite pricing pressure and weather-related challenges in India.

• EBITDA grew 40% year-over-year to ₹2,205 crore, with margin expansion of 410 basis points, and PAT swung from a loss of ₹585 crore to a profit of ₹612 crore; PATMI improved by ~₹1,000 crore YoY.

• Net debt reduced by over ₹3,700 crore (> $600 million) year-over-year, with leverage ratios improving significantly, reflecting disciplined capital management.

• Corporate realignment, successful rights issue, and ratings outlook upgrade to 'stable' by all three global agencies highlighted the quarter.

• Unaudited consolidated and standalone financial results for the quarter and half year ended September 30, 2025, were approved by the Board and reviewed by the Audit Committee, with an unmodified review report from statutory auditors.

Financial highlights

• Q2 FY26 revenue: ₹12,019 crore (+8% YoY), driven by 7% volume growth and 3% FX impact; H1 FY26 revenue was ₹21,235 crore (+5% YoY).

• Q2 FY26 EBITDA: ₹2,205 crore (+40% YoY, margin 18.3%); PAT: ₹612 crore (vs. loss of ₹585 crore YoY); operational PAT: ₹411 crore (vs. -₹434 crore YoY).

• Net finance cost reduced from ₹847 crore to ₹518 crore YoY; net debt at ₹23,802 crore ($2.7B); net debt to EBITDA improved to 2.7x from 5.4x YoY.

• Working capital days improved to 118 (down 5 days YoY); inventory and receivables days increased slightly.

• Basic and diluted EPS for Q2 FY26 stood at ₹6.75, compared to -₹5.68 in Q2 FY25.

Outlook and guidance

• FY26 revenue growth expected at 4–8%, EBITDA growth at 12–16%, both upgraded from prior guidance.

• H2 growth to be volume-led, with pricing expected to remain flat; focus on operational cash generation and deleveraging.

• Net debt to EBITDA targeted at 1.6–1.8x by year-end.

• The company completed a major restructuring, including closure of the Bassen manufacturing facility and integration of Decco post-harvest business into the Seeds segment, aiming for operational optimization and strategic alignment.