Godrej Agrovet Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Godrej Agrovet Ltd filed with BSE on 08 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Godrej Agrovet reported consolidated Q4 FY'26 revenue of Rs 2,333 crore, up 9% year-on-year, with profit before tax excluding exceptional items up 16.8% to Rs 87 crore. For the full year, consolidated revenue crossed Rs 10,000 crore for the first time at Rs 10,233 crore, up 9%, while PBT excluding exceptional items rose 17.2% to Rs 569 crore. Management described growth across Animal Nutrition, oil palm and Astec LifeSciences, while Crop Care remained impacted by carry-forward channel inventory and Creamline Dairy profitability stayed under pressure from elevated milk procurement costs.
Numbers mentioned
Consolidated revenue: Rs 2,333 crore (Q4 FY26)
p. 3
“For the quarter, consolidated revenues grew to INR2,333 crores, reflecting a 9% year-on-year growth”
Nadir Godrej, page 3 of the filed PDF · View the filing
Profit before tax (excl. exceptional items): Rs 87 crore (Q4 FY26)
p. 3
“profit before tax excluding non-recurring and exceptional items increased by 16.8% to INR87 crores”
Nadir Godrej, page 3 of the filed PDF · View the filing
Consolidated revenue: Rs 10,233 crore (FY26)
p. 3
“the company surpassed an important milestone with consolidated revenues exceeding INR10,000 crores, reaching INR10,233 crores, representing a robust year-on-year growth of 9%”
Nadir Godrej, page 3 of the filed PDF · View the filing
Profit before tax (excl. exceptional items): Rs 569 crore (FY26)
p. 3
“Profit before tax excluding non-recurring and exceptional items increased by 17.2% year-on-year to INR569 crores”
Nadir Godrej, page 3 of the filed PDF · View the filing
Animal Nutrition volume growth: 15% (Q4 FY26)
p. 4
“Animal Nutrition delivered another strong quarter with quarter 4 volumes growing 15% year-on-year”
Nadir Godrej, page 4 of the filed PDF · View the filing
Cattle feed volume growth: 24% (Q4 FY26)
p. 4
“Cattle feed volumes increased sharply by 24%, supported by strong performance of new products launched”
Nadir Godrej, page 4 of the filed PDF · View the filing
Creamline Dairy revenue growth (ex-bulk sales): ~5% (Q4 FY26)
p. 4
“Creamline Dairy recorded approximately 5% year-on-year growth in revenues, excluding bulk sales during quarter four fiscal year '26”
Nadir Godrej, page 4 of the filed PDF · View the filing
Creamline Dairy value-added product salience: ~40%, up from 38% (FY26)
p. 4
“value-added product salience improved to around 40%, up from 38% last year”
Nadir Godrej, page 4 of the filed PDF · View the filing
Godrej Foods branded revenue salience: above 80% (FY26)
p. 4
“Branded revenue salience remained above 80% in fiscal year '26”
Nadir Godrej, page 4 of the filed PDF · View the filing
Pet food business income (in other income): Rs 9.5 crore (Q4 FY26)
p. 9
“part of the reason for the improvement in segment margin in Q4 is that includes the pet food business income of around INR9.5crores”
S. Varadaraj, page 9 of the filed PDF · View the filing
FY27 capex: ~Rs 400 crore (FY27)
p. 9
“we will be sort of after taking care of the capex requirements of the year, which is close to INR400 crores, we should be left with around INR100 crores, INR125 crores kind of cash surplus which will be there”
S. Varadaraj, page 9 of the filed PDF · View the filing
Astec China sourcing share: ~47% of total imports (FY26)
p. 13
“the purchase has been in the -- around 47% of the total imports have come from China”
Arijit Mukherjee, page 13 of the filed PDF · View the filing
Astec enterprise revenue share: 48% (FY26)
p. 14
“in '26, enterprise constitute almost 48% of the entire revenue and CDMOs were CDMO as a new products constitute around 52%”
Arijit Mukherjee, page 14 of the filed PDF · View the filing
Astec exports share: 53% (FY26)
p. 14
“in terms of the exports, this year we clocked around 53% of the total revenue through exports”
Arijit Mukherjee, page 14 of the filed PDF · View the filing
Oil extraction ratio: 20.77% (Q4 FY26)
p. 20
“Sorry, it was 20.77 was the extraction ratio because this quarter the overall the number is very small per se for the oil palm business, the FFB becomes very small”
Sunil Kataria, page 20 of the filed PDF · View the filing
Oil extraction ratio (prior year same quarter): 19.76% (Q4 FY25)
p. 20
“the good part is we were at a 19.76% last year on OER in the same quarter”
Sunil Kataria, page 20 of the filed PDF · View the filing
Return on capital employed: 20%, up from 16% (FY26)
p. 19
“our return on capital employed has also moved along with our results from 16% to now 20%, which is a very sharp jump of 4% which has never happened in our history of our business”
Sunil Kataria, page 19 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Consolidated revenue growth — early double-digit growth · FY27
stated as an aspiration by Sunil Kataria
p. 5
“we'd like to focus on getting an early double-digit revenue growth across put together at a consol level”
Sunil Kataria, page 5 of the filed PDF · View the filing
PBT growth — mid-teens · FY27
stated as an aspiration by Sunil Kataria
p. 5
“we'd like to again target a let's say a mid-strong double-digit, mid-teens kind of a PBT growth also for the next year”
Sunil Kataria, page 5 of the filed PDF · View the filing
Animal Nutrition revenue growth — double-digit · FY27
stated as an aspiration by Sunil Kataria
p. 5
“We'd like to again go for a double-digit growth in revenue led by volume in Animal Nutrition business as we would like to call it now”
Sunil Kataria, page 5 of the filed PDF · View the filing
Crop Care business recovery — high double-digit growth · FY27, from Q2 onwards
stated conditionally by Sunil Kataria
p. 6
“Otherwise, we'll go for very strong recovery in both bottom line and top line and it will be again a very high double-digit numbers that will happen in the Crop Care business”
Sunil Kataria, page 6 of the filed PDF · View the filing
Milk procurement price normalization — from Q2 FY27
stated conditionally by Sunil Kataria
p. 6
“The pressure points will be I think on the milk procurement prices which we expect it to cool down somewhere from quarter two gradually and then the broad direction is that quarter two onwards the milk prices should kind of normalize”
Sunil Kataria, page 6 of the filed PDF · View the filing
Oil palm volume growth — early double-digit · FY27
stated as an aspiration by Sunil Kataria
p. 6
“Again, looking for another year of double-digit volume growth in oil palm, early double-digit”
Sunil Kataria, page 6 of the filed PDF · View the filing
FY27 cash surplus — Rs 100-125 crore · FY27
stated conditionally by S. Varadaraj
p. 9
“we should be left with around INR100 crores, INR125 crores kind of cash surplus which will be there”
S. Varadaraj, page 9 of the filed PDF · View the filing
Capex — ~Rs 350 crore · FY27
stated firmly by Sunil Kataria
p. 9
“our capex requirements would be in the coming years we have pretty much first of all out of our overall capex would be in the range of around 350-odd crores”
Sunil Kataria, page 9 of the filed PDF · View the filing
Growth capex share — 75-80% of total capex · FY27
stated firmly by Sunil Kataria
p. 9
“Roughly around 75% to 80% of that capex will be growth capex for us”
Sunil Kataria, page 9 of the filed PDF · View the filing
Oil palm capex allocation — ~50% of capex · FY27
stated conditionally by Sunil Kataria
p. 10
“roughly around I think 50-odd percent of our capex deployment is going towards oil palm business”
Sunil Kataria, page 10 of the filed PDF · View the filing
New Crop Care product revenue contribution — 16% to 18% of business · FY27
stated conditionally by Sunil Kataria
p. 16
“We expect these two products itself to contribute roughly around anywhere between 16% to 18% of our business”
Sunil Kataria, page 16 of the filed PDF · View the filing
Astec top-line growth — ~15% · FY27
stated as an aspiration by Arijit Mukherjee
p. 21
“I think we should aim around 15% of growth in terms of the top line”
Arijit Mukherjee, page 21 of the filed PDF · View the filing
Astec top-line growth (alternate view) — ~20% · FY27
stated as an aspiration by Sunil Kataria
p. 21
“I believe we have a pretty good shot at something in the range of 20% kind of a number going forward on this”
Sunil Kataria, page 21 of the filed PDF · View the filing
Astec CDMO revenue salience — 52% to 53% plus · FY27
stated as an aspiration by Sunil Kataria
p. 21
“this is a business which where we'll keep the CDMO percentage going well in the range of around, you know, 52% to 53% plus kind of salience”
Sunil Kataria, page 21 of the filed PDF · View the filing
Oil palm exports revenue share — ~60% of revenue · FY27
stated conditionally by Arijit Mukherjee
p. 14
“Next year if we see the enterprise molecules moving up, we should be somewhere between 60% of the revenue coming from exports”
Arijit Mukherjee, page 14 of the filed PDF · View the filing
Oil palm value-added product portfolio share — 50% to 55% of portfolio · FY31
stated as an aspiration by Sunil Kataria
p. 22
“we would like this business to have roughly around 50% to 55% of its portfolio over a period of maybe FY31 in that direction, if I had to put, coming out of value-added products”
Sunil Kataria, page 22 of the filed PDF · View the filing
Return on capital employed — next two to five years
stated as an aspiration by Sunil Kataria
p. 19
“we will definitely not let this slip away and if as we find more and more opportunities, we'll only try to improve it further”
Sunil Kataria, page 19 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management pointed to an Iran war overhang as an unpredictable variable but targeted early double-digit consolidated revenue growth and mid-teens PBT growth, with Animal Nutrition, oil palm and Astec seen as key drivers and Crop Care expected to recover from Q2.
Answered by Sunil Kataria
Asked by Abhijit Akella: What is the outlook or guidance for FY27 revenue growth and profitability across segments?
p. 5
“Overall, at a GAVL level, would like to look at -- we'd like to focus on getting an early double-digit revenue growth across put together at a consol level”
Sunil Kataria, page 5 of the filed PDF · View the filing
Management said prior modelling was bearish before the Iran war disrupted forecasts, and they are now assessing palm oil prices quarter to quarter rather than giving a year-long view.
Answered by Sunil Kataria
Asked by Abhijit Akella: Is palm oil price strength additive to the volume-led guidance, and what is the outlook for palm oil prices?
p. 7
“we are right now playing it quarter-to-quarter honestly, you know”
Sunil Kataria, page 7 of the filed PDF · View the filing
Burjis Godrej said the changes reflect intent to leverage Godrej Industries Group chemical expertise to accelerate value creation, with Arijit Mukherjee driving the business as Executive Director going forward.
Answered by Burjis Godrej
Asked by Abhijit Akella: What is the way forward for Astec given the recent Board and management changes?
p. 7
“we did make some recent management and Board changes which reflect our intent to leverage this expertise more effectively and accelerate value creation and synergies”
Burjis Godrej, page 7 of the filed PDF · View the filing
Sunil Kataria attributed it to both environmental tailwinds from high milk prices shifting farmers to branded feed and internal execution levers including geographic expansion, new higher-end products, and R&D-led cost reconfiguration.
Answered by Sunil Kataria
Asked by Abhijit Akella: What is driving the sharp acceleration in animal feed volume growth, and are margins expected to stabilize?
p. 8
“there have been two-three some very fundamental execution levers that we have pressed”
Sunil Kataria, page 8 of the filed PDF · View the filing
Management said predictions suggest June-July will be normal with severity in August-September, that impact will vary by geography with Crop Care skewed to regions likely to see normal rainfall, and that they will stay the course on guidance while monitoring monthly.
Answered by Sunil Kataria
Asked by Arjun Khanna: How does the predicted below-normal monsoon interact with the company's FY27 guidance across segments?
p. 11
“the way we would see it, we would like to stay course on this guidance as of now and see how we can play it out across once this El Niño becomes clear by the month”
Sunil Kataria, page 11 of the filed PDF · View the filing
Nadir Godrej said oil palm, being a tree crop, would not see a very bad impact this year even in a poor monsoon, though there could be effects the following year that the company plans to research and mitigate.
Answered by Nadir Godrej
Asked by Arjun Khanna: Will El Niño affect the oil palm business?
p. 11
“we feel that there will not be a very bad impact on oil palm this year even if the monsoon is poor, because oil palm being a tree, it takes a long time to get affected”
Nadir Godrej, page 11 of the filed PDF · View the filing
S. Varadaraj explained the decline was due to the acquisition of the remainder stake in Creamline Dairy during the year.
Answered by S. Varadaraj
Asked by Arjun Khanna: Why did other equity decline by over Rs 300 crore in FY26 despite good profits and dividend payouts?
p. 13
“the reason why that is happening is because in the current year FY '25-'26, we acquired the remainder stake in our dairy business, that is Creamline Dairy”
S. Varadaraj, page 13 of the filed PDF · View the filing
Arijit Mukherjee said Astec is a net exporter so export realization provides a natural hedge against import costs, alongside timing of imports and currency management actions, resulting in near-neutral overall margin impact.
Answered by Arijit Mukherjee
Asked by Maneesh Bhadane: How is Astec managing rupee depreciation given significant sourcing from China?
p. 13
“we are a net exporter. So once ever the depreciation happens and the export realization actually offers a natural hedge to the imports”
Arijit Mukherjee, page 13 of the filed PDF · View the filing
Sunil Kataria described two new product entries — Ashitaka, a maize herbicide launched in December, and TAKAI, a multi-crop insecticide — expected to jointly contribute 16-18% of business versus about 3% last year.
Answered by Sunil Kataria
Asked by Sumant Kumar: What new product launches are planned in Crop Protection for the coming year?
p. 16
“Between these two products itself, we expect next year's -- just to give maybe a number, a directional I'll give you how, we are moving onto this diversification”
Sunil Kataria, page 16 of the filed PDF · View the filing
Sunil Kataria said the company is shifting from commodity-centric thinking to a market-customer facing approach across segments, with strategic reviews underway for Shrimp, Seeds and Cattle Genetics businesses, while structural decisions on restructuring remain undetermined.
Answered by Sunil Kataria
Asked by Aejas Lakhani: Over the next two years, will GAVL pursue portfolio restructuring into clustered business units or remain one cohesive unit with accelerated growth?
p. 18
“the businesses that we're putting up as a for strategic review right now are our Shrimp business, our Seeds business, our Cattle Genetics business”
Sunil Kataria, page 18 of the filed PDF · View the filing
Sunil Kataria said trading of live birds will be phased out over four-five years, but the company may retain a live bird presence as a raw material sourcing back-end for categories like frozen chicken.
Answered by Sunil Kataria
Asked by Probal Sen: Is there a plan to exit the live bird business, or does it still provide supply chain benefits?
p. 19
“live trading per se is coming down sharply for us and over this next four-five-year period and I think more accelerated manner, we would not be in the business of selling live birds”
Sunil Kataria, page 19 of the filed PDF · View the filing
Sunil Kataria and Amit Pendse confirmed the extraction ratio was 20.77% on a small quarterly base of about 60,000 tonnes versus 6,37,000 tonnes annually, up from 19.76% in the same quarter last year.
Answered by Sunil Kataria
Asked by Probal Sen: What was the FFB processed and extraction ratio for the quarter?
p. 20
“out of our, you know, 6,37,000 FFB processed annually, this is just 60-odd thousand tons”
Sunil Kataria, page 20 of the filed PDF · View the filing
Arijit Mukherjee said prices have stabilized as China competitiveness normalized and local demand improved, guiding to around 15% top-line growth with CDMO growing faster and margins intact in both segments.
Answered by Arijit Mukherjee
Asked by Abhijit Akella: What is the growth outlook for Astec across CDMO and enterprise segments, and on profitability?
p. 21
“I think we should aim around 15% of growth in terms of the top line”
Arijit Mukherjee, page 21 of the filed PDF · View the filing
Sunil Kataria said last year's profit jump was about 65-70% driven by internal efforts rather than pricing, and a new specialty fat refinery launching in May will ramp up value-added contribution from H2, targeting 50-55% portfolio share by FY31.
Answered by Sunil Kataria
Asked by Abhijit Akella: How much of oil palm earnings come from value-added products, and how will that grow to cushion against price corrections?
p. 22
“65% odd part of that profit which was 70% has come because of our internal efforts”
Sunil Kataria, page 22 of the filed PDF · View the filing
Risks flagged
Iran war creating an unpredictable overhang on FY27 outlook
p. 5
“the direction that or let's say broad guidance that we give for FY '27 has one overhang of Iran war which none of us have anticipated”
Sunil Kataria, page 5 of the filed PDF · View the filing
Palm oil price outlook disrupted and models made unreliable by the war
p. 7
“now all models have gone a bit haywire on palm oil”
Sunil Kataria, page 7 of the filed PDF · View the filing
Middle East war continuation seen as potentially bad for the crop protection business
p. 7
“if the Middle East war continues, it will probably be bad for the crop protection business, but good for oil palm”
Nadir Godrej, page 7 of the filed PDF · View the filing
Crop Care business remained impacted by carry-forward co-marketing channel inventory
p. 4
“The Crop Care business remained impacted in quarter 4 fiscal year '26 due to carry forward of inventory in the co-marketing channel, leading to lower volumes of in-house products”
Nadir Godrej, page 4 of the filed PDF · View the filing
Elevated milk procurement costs pressuring Creamline Dairy profitability
p. 4
“Profitability remained under pressure due to elevated milk procurement costs”
Nadir Godrej, page 4 of the filed PDF · View the filing
Crop Care business historically concentrated on a single point of failure in cotton herbicide and chili products
p. 16
“we were pretty much very, very centric on being a cotton herbicide led vertical”
Sunil Kataria, page 16 of the filed PDF · View the filing
Currency volatility from rupee depreciation on China-sourced raw materials for Astec
p. 13
“currency management or currency volatility is a part of a structurally we approach to it”
Arijit Mukherjee, page 13 of the filed PDF · View the filing
Uncertainty around long-term impact of the Iran war or other disruptions on raw material supplies
p. 21
“we don't know what will be the impact long-term impact in terms of Iran war or some other problems coming into”
Arijit Mukherjee, page 21 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.