Some recovery from Sharda cropchem, margins were much better and they are seeing good volume recovery. FY25 likely to be a decent growth year with mostly volume driving growth and hopefully in FY26/27 things improve more significantly. Concall notes below.
FY24Q4
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FY24 inventory hit: 91 cr. (no additional provisions in Q4)
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No sales return seen so far in FY25, seeing recovery happening and hoping for price increase as well. Hope channel and producer level inventory to come back to normal by September 2024
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Expect 12-15% revenue growth and 15-18% EBITDA margins in FY25
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Q4 growth breakup: (-11.5)%; volume 25% (28% in agchem + 42% in non-agchem), price & product mix: (-)40%, currency exchange +3.2%
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Q4 agchem volume (28% growth): EU 24.4%, LATAM (-)23%, NAFTA 52.5%, ROW: 12%
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Q4 gross margin breakup: EU (36%), NAFTA (31%), LATAM (36%), ROW (36%)
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FY24 growth breakup: (-)22%; volume 4%, price & product mix: (-)29%, currency exchange +4%
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Registrations/pipeline as on March 2024: EU: 1617/680, LATAM: 456/204, NAFTA: 300/125, ROW: 246/90
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FY24 intangible write-off: 35 cr.
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Freight rates have increased again but customers have absorbed it, higher freight rates have impacted non-agchem segment
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Receivable days will reduce in FY25
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FY24 capex: 420 cr. (expect 400-450 cr. capex in FY25)
Disclosure: Invested (position size here, no transactions in last-30 days)