The uneven and delayed pickup of monsoon meant that the company’s performance came weak with major heat being felt by the seeds business
NEW DELHI : Rallis India Ltd reported subdued Q2 performance, which impacted investor sentiments, too. The stock has corrected more than 10% in the past few trading sessions since Monday. The impact on performance was largely led by the erratic monsoon season. The uneven and delayed pickup of monsoon meant that the company’s performance came weak with major heat being felt by the seeds business. The seeds business declined by 65% year-on-year (y-o-y). Some support was provided by the crop care segment, which was up 8% y-o-y. The company did well to push exports and its efforts towards dealing with logistic issues helped in exports delivering growth of 22% during the quarter. This provided some respite and the company, thereby could still manage to report consolidated revenues at ₹728 crore for the quarter, a modest growth of 0.4% over last year’s ₹725 crore.