Bayer Crop Science , a key player in the agrochemical sector, has announced a substantial interim dividend while reporting mixed financial results for the second quarter.

Dividend Announcement

The Board of Directors of Bayer Cropscience has declared an interim dividend of Rs. 90 per equity share. This dividend, amounting to Rs. 4,045 million, will be paid to shareholders whose names appear in the company's Register of Members as of November 14, 2025, which is set as the record date. The payment is scheduled for December 3, 2025.

Financial Performance

The company's financial results for Q2 present a mixed picture:

Despite a 10.6% year-over-year decline in revenue from operations, Bayer Cropscience managed to improve its profitability. The company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) increased by 13.9% to Rs. 2,050 million, with the EBITDA margin expanding by 264 basis points to 13.22%. Net profit also saw a healthy increase of 12.5%, reaching Rs. 1,530 million.

Segment Performance

Bayer Cropscience operates in a single reportable business segment, "Agri Care." The company notes that its business is seasonal in nature, cautioning that quarterly figures may not be representative of full-year performance.

Balance Sheet Highlights

As of September 30, 2025, Bayer Cropscience reported:

• Total Assets: Rs. 51,910 million
• Total Equity: Rs. 31,235 million
• Cash and Cash Equivalents: Rs. 6,579 million

Auditor's Review

The financial results have been subjected to a limited review by the company's statutory auditors, Deloitte Haskins & Sells LLP. The auditors have not reported any material misstatements in the financial results.

Conclusion

While Bayer Cropscience faces challenges in revenue growth, the company has demonstrated resilience by improving its profitability metrics. The substantial interim dividend of Rs. 90 per share signals confidence in the company's financial position and commitment to shareholder returns. However, investors should consider the seasonal nature of the business and potential market volatilities in the agrochemical sector when evaluating the company's performance.

Bayer Crop Science has received a penalty order of Rs. 1.55 million from the Office of the Superintendent of Central Tax, Amaravathi CGST Division, Guntur, Vishakapatnam, Andhra Pradesh. The penalty relates to Goods and Services Tax (GST) on Outward Supply for the Financial Year 2018-19.

Penalty Details

The company disclosed the following information regarding the penalty:

Company's Response

Bayer Crop Science has stated that the order is currently appealable. The company plans to make an assessment to exercise its right to appeal against the penalty. This approach suggests that Bayer Crop Science may challenge the order if they believe there are grounds for contesting the penalty.

Regulatory Compliance

The company made this disclosure in compliance with Regulation 30 of the Securities and Exchange Board of India (SEBI) Listing Obligations and Disclosure Requirements Regulations, 2015. The disclosure was communicated to BSE Limited on December 16, 2025, through a formal letter signed by Company Secretary and Compliance Officer Bharati Shetty.

Potential Impact

While the penalty amount of Rs. 1.55 million represents a regulatory compliance matter, the full financial impact on Bayer Crop Science will depend on the outcome of any potential appeal process. The company has indicated it will assess its options for challenging the order through appropriate legal channels.