Net turnover at Rs 402 crore, a growth of about 18 % over same quarter last year
· EBIDTA stood at 42.74 Cr. increased by 48 % from the last corresponding quarter of last year
· Board recommends one bonus share against two shares to all its shareholders
New Delhi, October 30, 2014: Insecticides (India) Ltd (IIL), the country’s leading agro chemicals manufacturing company, today announced a 66 % increase in net profit for quarter ending September 30, 2014, and the board also recommended bonus share to all the shareholders, resulting in wealth creation for the stakeholders.
IIL’s net profit grew to Rs 22.93 crore from Rs 13.84 crore over the corresponding period last year on the back of encouraging response to its newly launched products and stable production at the new Dahej plant.
In a major step, the board of the company has recommended one bonus share each against two shares to all its shareholders, in a board meeting held today.
The Company’s net turnover rose to Rs 402 crores in the quarter from Rs 340 crores in the same quarter last year, recording a 18% increase.
IIL, which manufactures and markets a gamut of agrochemical products ranging from insecticides to fungicides to weedicides, provides a full basket of agrochemicals’ solutions to farmers. Its leading products are Pulsor, Hakama, Logo, Nuvan, Thimet, Lethal, Xplode, Victor, Hijack and Monocil which it calls “ten power brands”.
On the company’s performance, Mr. Rajesh Aggarwal, Managing Director, Insecticides India Ltd. (IIL), said, “The increase in net profit is very encouraging for us in the scenario. I would accredit this to our broad product strategy i.e. working on 20 products, Navratnas and Super 11, which reduces the dependence on 1-2 products. Our products Pulsor (Marketing Tie up with Nissan Japan) for Paddy and Logo (Own Brand and technical Manufacturing) for cotton have received overwhelming response, and so do have our other products, leading to rise in our top line. This makes us very optimistic about other following quarters too. Our Dahej Plant has also stabilized its activities and is adding to the bottom line.
We have recently inaugurated our R&D Centre in JV with OAT Agrio Company Ltd., Japan at chopanki, which makes us optimistic for many more products in the kitty in the times to come. Commercial production at new chopanki formulation plant in Rajasthan has also started recently. ”
The basic and diluted EPS this quarter stood at Rs. 18.08 as against Rs. 10.91 in the corresponding period last year.
On recommendation of the bonus shares, Mr. Sandeep Aggarwal, CFO commented: “The Company has been performing very well over these years, and so we have actually acknowledged the loyalty and faith of the shareholders in the company, this is the reward for the shareholders for their commitment towards IIL. This will increase the wealth of the shareholders in the long run. Moreover this will increase the float of the shares in the market.”
About Insecticides (India) Ltd.
Insecticides (India) Ltd. (IIL) is one of the country’s leading agrochemical companies having a strong product portfolio ranging from insecticides to fungicides and herbicides. Incepted in 2002, the BSE and NSE-listed company is emerging as a front line performer in India’s crop protection market.
The company owns the prestigious umbrella brand ‘Tractor Brand’, which is highly popular among the farming community. The company sells 120 products in the market. The most popular brands IIL has under its belt include Lethal, Victor, Thimet, Monocil, Pulsor, Hakama, Nuvan, Hijack and Xplode.
On the back of rising popularity of its products, the company, having a 1015 employee workforce, touched a top line of 864 Cr. (net turnover) in the fiscal 2013-14 and expects it to grow to Rs. 1200 Cr.(Gross) in this fiscal (2014-15).
Having a pan-India presence, IIL makes available its products through its network of 4,800 distributors and 60,000 dealers via 25 depots throughout the country. Apart from providing quality agrochemical solutions to the farmers, the company has been relentlessly working towards educating farmers about use of agrochemicals to increase their yields.
Aiming to be a research-driven company, IIL set up an in-house research centre at Chopanki (Rajasthan) in 2002. To further its aim, the company recently partnered with Tokyo- based OAT Agrio Co. Ltd. to set up an ultra modern R&D centre, in Chopanki, Rajasthan for discovery of new agrochemical molecules. It is a big initiative for IIL as the Japanese major has for the first time put up such a facility outside Japan.
IIL has six manufacturing facilities in Rajasthan, Gujarat and Jammu and Kashmir. Presently, it has two technical plants at Chopanki (Rajasthan) and Dahej (Gujarat). Besides these, IIL has four formulation units at Chopanki, Dahej, Samba (J&K) and Udhampur (J&K).
The company also manufactures and markets some of the international brands in India. In 2012, the company had collaborated with Japan’s Nissan Chemicals Industries Ltd for exclusively marketing its fungicide Pulsor and herbicide Hakama, respectively, in the country.
IIL had entered into technical collaboration with American Vanguard Corporation (AMVAC), USA in 2006 to manufacture and market its global insecticide brand Thimet exclusively in India. The company in May 2012, got the right to manufacture and market its insecticide Nuvan exclusively in India another product of AMVAC to. IIL had acquired Monocil brand from Nocil in May 2011.