Rallis India Limited reported a 31% rise in net profit to ₹125 crore for the quarter ended June 30, 2026, compared to ₹95 crore in the corresponding period of the previous year. The company’s revenue from operations increased 7% to ₹1,022 crore from ₹957 crore in Q1FY26, driven by a combination of 5% pricing growth and 2% volume expansion. EBITDA for the quarter grew 23% year-on-year to ₹184 crore, with the EBITDA margin expanding to 18% from 15.67%. This performance underscores the company’s ability to maintain profitability despite a challenging macroeconomic environment characterized by delayed monsoons and raw material volatility.

The Board of Directors approved the unaudited financial results for Q1FY27 at a meeting held on July 20, 2026. Statutory auditors BSR & Co. LLP expressed an unmodified review conclusion on the results. Total income for the quarter stood at ₹1,035 crore, up from ₹969 crore in Q1FY26. Total expenses rose to ₹869 crore from ₹840 crore, while the cost of materials consumed increased to ₹618 crore from ₹473 crore. Profit before tax improved to ₹168 crore from ₹129 crore, supported by operational efficiencies and strategic pricing actions across key segments.

Financial Performance Summary

The table below presents the key financial metrics for Q1FY27 against Q1FY26:

Segment Performance and Market Dynamics

The Crop Care business reported revenue of ₹697 crore, registering a 7% year-on-year growth. Domestic (B2C) revenue reached ₹534 crore from ₹449 crore, fueled by a 15% volume growth, partially offset by a 19% decline in the B2B segment. The Soil & Plant Health (SPH) segment delivered 10% growth to ₹62 crore, driven by prudent pricing actions. The Seeds business reported revenue of ₹325 crore, growing 6% year-on-year, primarily due to a 6% price increase as volume declined in cotton. Managing Director Dr. Gyanendra Shukla noted that while cotton acreage declined significantly, growth in rice, maize, and millet segments offset the impact. Exports de-grew by 28% to ₹110 crore due to lower demand for pendimethalin in Europe and competitive pricing from China. Conversely, Contract Sales Manufacturing (CSM) revenue surged 191% to ₹24 crore.

Strategic Initiatives and Outlook

Q1FY27 was characterized by a weak demand environment and sustained pricing pressure in the Indian agrochemical space. Supply chain fragility and dependence on Chinese inputs influenced sourcing dynamics. The delayed onset of the South-West monsoon weighed on on-ground consumption, with cumulative rainfall deficit below normal as of early July. However, sowing activity accelerated by mid-July, reaching ~32% of the normal area. The company launched four new crop care products, including Balwan and Prodim Ultra, and two new cotton hybrids for North India. Digital marketing interventions via Anubandh Edge and Sampark+ continued to enhance farmer outreach. CFO Bhaskar Swaminathan clarified that a ₹35 crore reversal of provisions for performance incentives included ₹24 crore of one-time corrections, while ₹11 crore relates to recurring annual settlements. The company maintains a healthy cash and liquid balance of ₹309 crore as of June 30, 2026.

Rallis India Limited has appointed S R B C & CO LLP as its Statutory Auditors for a period of five consecutive years, marking a scheduled rotation in audit services following the tenure limit of the current firm. The Board of Directors approved the appointment via a circular resolution on July 27, 2026, based on the recommendation of the Audit Committee. The new mandate will commence from the conclusion of the 79th Annual General Meeting (AGM) in 2027 and continue until the conclusion of the 84th AGM in 2032, pending final approval by the company’s members.

The change is procedural, driven by regulatory requirements limiting the tenure of statutory auditors. B S R & Co. LLP, the existing Statutory Auditors, will continue to undertake the audit of the company until the conclusion of the 79th AGM in 2027. This date marks the completion of their second consecutive term of five years, necessitating the rotation to ensure independent oversight and compliance with SEBI Listing Regulations.

S R B C & CO LLP, a firm of Chartered Accountants registered with the Institute of Chartered Accountants of India (ICAI) under Firm Registration No. 324982E/E300003, brings extensive experience in audit and assurance services. Established in 2002 with its registered office in Kolkata, the firm maintains offices across key cities in India. It holds a valid Peer Review certificate and is part of S. R. Batliboi & Affiliates, a network of ICAI-registered firms. The network audits several large listed and private companies across diverse sectors, including Industrial, Infrastructure, Consumer Products, Financial Services, Technology, Media and Entertainment, Telecommunications, and Professional Services.

The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with SEBI Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026. Sariga P Gokul, Company Secretary & Compliance Officer of Rallis India Limited, signed the communication to the stock exchanges.

Auditor Transition Details

Regulatory Compliance

The appointment adheres to the mandatory rotation norms prescribed for listed entities in India. The transition ensures continuity in audit coverage, with the outgoing firm managing the final audit cycle up to the 2027 AGM. The incoming firm will assume responsibilities immediately thereafter, ensuring no gap in statutory audit oversight during the handover period.