UPL Q1 consolidated profit jumps 34.17 pc to Rs 1,005 cr

We expect this momentum to continue in the next several quarters, UPL president and COO Mike Frank told PTI over a virtual meeting.He said the growth in the India market during the first quarter of this fiscal was the slowest due to a delay in sowing.We are already seeing robust demand in the India market as the monsoon progresses.

Agrochemical major UPL Ltd on Monday reported a 34.17 per cent rise in consolidated net profit to Rs 1,005 crore for the quarter ending June 30 compared to the same period of the previous financial year.

The company's consolidated net stood at Rs 749 crore during the April-June quarter of 2021-22, UPL said in a BSE filing.

Revenue from operations of the company during the quarter under review went up by 27.08 per cent to Rs 10,821 crore compared to Rs 8,515 crore in the same quarter last year.

''We had exceptional growth momentum across all our markets. We expect this momentum to continue in the next several quarters,'' UPL president and COO Mike Frank told PTI over a virtual meeting.

He said the growth in the India market during the first quarter of this fiscal was the slowest due to a delay in sowing.

''We are already seeing robust demand in the India market as the monsoon progresses. Going forward we expect the second quarter to be exceptionally strong in India,'' he added.

UPL CEO Jai Shroff said, ''After a strong end to FY22, we continued to see solid growth momentum in the first quarter of FY23, as the strong agri commodity prices drove significant uptick in price realizations as well as healthy demand from growers.'' The EBITDA margin remained largely intact despite the significant input cost inflation and a challenging macro-economic environment exacerbated by geopolitical issues, he noted.

''This was driven by proactive pricing actions coupled with efficient supply chain management that led to the strong topline growth getting translated into robust operating profitability growth as well. Powered by our OpenAg purpose, we continued to leverage collaboration as a catalyst for sustainable and lasting change,'' he said.

Going forward, the company is well poised to continue our healthy growth momentum, as product realizations continue to remain strong, recent new launches continue to see good traction in the marketplace, and the overall demand outlook continues to be constructive.

''Considering this positive outlook, we have revised our FY23 guidance upwards, expecting to achieve a revenue growth of 12-15 per cent now versus 10 per cent earlier,'' he added.

Shares of the company on Monday closed at Rs 769.50, up 3.95 per cent on BSE.