Insecticides (India) Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Insecticides (India) Ltd filed with BSE on 17 Aug 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
Insecticides (India) Limited reported a 12% year-on-year decline in revenue to INR612 crores for Q1 FY27, with EBITDA down around 20% and PAT margin falling from 8.4% to 7.2%, attributed to a delayed and uneven monsoon that pushed back sowing and crop-protection demand. Management said gross margin still expanded to 31.6% from 29% on a richer premium-product mix, with Maharatna and Focus Maharatna brands now contributing around 64% of B2C business versus 58% a year earlier. The company discussed progress on new product launches with Corteva, ongoing capacity expansion at Dahej and Sotanala, and said it expects stronger execution in the remaining quarters of FY27 as the season normalizes.
Numbers mentioned
Revenue from operations: INR612 crores (Q1 FY27)
p. 6
“the revenue from operations has degrown by 12%, INR691 crores to INR612 crores”
Sandeep Aggarwal, page 6 of the filed PDF · View the filing
Gross profit: INR193.16 crores (Q1 FY27)
p. 6
“the gross profit has decreased from 202 crores to 193.16 crores by 4% though the gross profit percentage has increased from 29% to 31.6%”
Sandeep Aggarwal, page 6 of the filed PDF · View the filing
EBITDA margin: 11.1% (Q1 FY27)
p. 6
“If we see the EBITDA, so there is a degrowth of around 20% and percentage-wise, it has come down from 12.2% to 11.1%”
Sandeep Aggarwal, page 6 of the filed PDF · View the filing
PAT margin: 7.2% (Q1 FY27)
p. 6
“The PAT margin has also come down from 8.4% to 7.2%”
Sandeep Aggarwal, page 6 of the filed PDF · View the filing
Premium product contribution to B2C: 64% (Q1 FY27)
p. 6
“Last year, it was 58% of total B2C contribution, this year first quarter it is 64% of the total B2C contribution”
Sandeep Aggarwal, page 6 of the filed PDF · View the filing
Revenue from patented products: INR70 crores (Q1 FY27)
p. 6
“Revenue from patented products has come down from INR97 crores to INR70 crores”
Sandeep Aggarwal, page 6 of the filed PDF · View the filing
Revenue from in-licensing products: INR46 crores (Q1 FY27)
p. 6
“Revenue from in-licensing products, last year first quarter it was around INR36 crores, this year first quarter it is around INR46 crores”
Sandeep Aggarwal, page 6 of the filed PDF · View the filing
Revenue from combination products: INR98 crores (Q1 FY27)
p. 6
“contribution from combination product has come down from INR134 crores to INR98 crores”
Sandeep Aggarwal, page 6 of the filed PDF · View the filing
Sales from products launched this quarter: INR5.50 crores (Q1 FY27)
p. 6
“The sales from these 2 products during the quarter was INR5.50 crores”
Sandeep Aggarwal, page 6 of the filed PDF · View the filing
Volume degrowth: 13% (Q1 FY27)
p. 15
“the volume degrowth is about 13%. There is a small value growth of about 2% actually, which is visible in Q1 results”
Rajesh Aggarwal, page 15 of the filed PDF · View the filing
Insecticide share of B2C: 33% (Q1 FY27)
p. 16
“The insecticide percentage in B2C is around 33%, herbicide is around 59%, fungicide is 5% and PGR is 3% in this first quarter”
Sandeep Aggarwal, page 16 of the filed PDF · View the filing
Total investment made so far in Sotanala: INR70 crores
p. 7
“the total investment made so far is to the tune of about INR70 crores”
Rajesh Aggarwal, page 7 of the filed PDF · View the filing
Total Sotanala project investment: INR200 crores
p. 7
“These total investment will go roughly about INR200 crores, out of which I think about INR50 crores will be going in the formulations and INR150 crores will be for the technical”
Rajesh Aggarwal, page 7 of the filed PDF · View the filing
Granuvia Q1 sales: about 5 (crores) (Q1 FY27)
p. 16
“Granuvia has crossed about 5 in Q1”
Rajesh Aggarwal, page 16 of the filed PDF · View the filing
Spinoace Q1 sales: INR25 lakhs (Q1 FY27)
p. 16
“Spinoace is just the beginning. I think a small fee in retailsINR25 lakhs were generated in Q1 because the launch was almost in July end”
Rajesh Aggarwal, page 16 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.
Maintenance capex — INR30 crores to INR40 crores
stated as an aspiration by Rajesh Aggarwal
p. 5
“we expect annual capex to normalize around INR30 crores to INR40 crores of maintenance capex, allowing us to increasingly focus on utilization, cash generation and returns”
Rajesh Aggarwal, page 5 of the filed PDF · View the filing
Sotanala formulation facility commissioning — around April-May next year
stated conditionally by Rajesh Aggarwal
p. 5
“The formulation facility at Sotanala is expected to commence around April-May next year, followed by technical products-- production by Diwali, subject to the project schedule”
Rajesh Aggarwal, page 5 of the filed PDF · View the filing
Premium product contribution — 70% · next three years to four years
stated as an aspiration by Rajesh Aggarwal
p. 8
“Now we have reached to 60-plus percentage already and the target is to reach to 70% in next three years to four years time”
Rajesh Aggarwal, page 8 of the filed PDF · View the filing
Sales growth — Q2
stated conditionally by Rajesh Aggarwal
p. 8
“Difficult to give the number, but we should be positive and that positive impact should be visible from Q2 itself, I believe”
Rajesh Aggarwal, page 8 of the filed PDF · View the filing
Business doubling timeframe — 4 to 5 years
stated as an aspiration by Rajesh Aggarwal
p. 10
“So looking at that we are developing our production capabilities. So we try to increase certain AIs, we try to backward integrate in certain cases. So everything is a mix. So very difficult to tell that , but broadly you can say that we wish to double ourselves in next 4 to 5 years”
Rajesh Aggarwal, page 10 of the filed PDF · View the filing
Kaeros revenue growth (CAGR) — 100% initially, then 50%-60%
stated as an aspiration by Rajesh Aggarwal
p. 14
“Kaeros is a new company which we had launched and the target is to grow at a CAGR of 100% initially and then it will come down to 50%-60%”
Rajesh Aggarwal, page 14 of the filed PDF · View the filing
Sales returns reduction — at least half of previous year
stated conditionally by Rajesh Aggarwal
p. 14
“I think that we should be able to reduce the sales return numbers to at least half what was there in the previous year”
Rajesh Aggarwal, page 14 of the filed PDF · View the filing
Granuvia and Spinoace combined net sales — INR25 crores of net sales · FY27
stated conditionally by Rajesh Aggarwal
p. 16
“So which means about INR25 crores of net sales is possible by with these two products”
Rajesh Aggarwal, page 16 of the filed PDF · View the filing
Dahej incremental technical production revenue — at least INR200 crores
stated as an aspiration by Rajesh Aggarwal
p. 18
“At least INR200 crores is possible to be added into the technical production plant and formulation also is going to support in a good way”
Rajesh Aggarwal, page 18 of the filed PDF · View the filing
Efficiency benefits from renewable/AI initiatives — Q3 onwards, September-October
stated conditionally by Rajesh Aggarwal
p. 6
“increasing use of AI and other advanced technologies provide additional efficiency benefits for -- from Q3 onwards, I can say from September-October”
Rajesh Aggarwal, page 6 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 said total investment would be roughly INR200 crores split between formulation and technical, with INR70 crores spent to date.
Answered by Rajesh Aggarwal
Asked by Prashant Biyani: How much investment is planned for the Sotanala formulation and technical plant, and how much has been spent so far?
p. 7
“It will be a project total investment. These total investment will go roughly about INR200 crores, out of which I think about INR50 crores will be going in the formulations and INR150 crores will be for the technical.”
Rajesh Aggarwal, page 7 of the filed PDF · View the filing
Management said August monsoons were good overall except in parts of South India where rice sowing is delayed, with improving dam levels.
Answered by Rajesh Aggarwal
Asked by Ramesh: How does management see the demand environment going forward given uneven monsoon?
p. 7
“If we talk about August monsoons, we see good rains across all country, the reservoir situation is improving and the crops are very healthy.”
Rajesh Aggarwal, page 7 of the filed PDF · View the filing
Management said the situation was mixed, with a supply chain disruption and higher raw material costs, but it was difficult to quantify the exact contribution from inventory gains.
Answered by Rajesh Aggarwal
Asked by Madhur Rathi: Was there any inventory gain from raw material price increases in the B2B business?
p. 12
“So, difficult to commit exactly how much was the contribution from the increased ingredient prices.”
Rajesh Aggarwal, page 12 of the filed PDF · View the filing
Management said hikes were taken in March and April but partially rolled back in May due to weak market sentiment, and no extraordinary hike could be sustained.
Answered by Rajesh Aggarwal
Asked by Madhur Rathi: What price hikes were taken for Focus Maharatna, Maharatna, and generic products?
p. 12
“there were some rollbacks continuously, till the month of July and after that the market has settled and now the demand is there.”
Rajesh Aggarwal, page 12 of the filed PDF · View the filing
Management confirmed volume degrowth of about 13% alongside a small value growth of 2%.
Answered by Rajesh Aggarwal
Asked by Kunal: What was the volume growth/degrowth in Q1?
p. 15
“Yes, the volume degrowth is about 13%. There is a small value growth of about 2% actually, which is visible in Q1 results.”
Rajesh Aggarwal, page 15 of the filed PDF · View the filing
Management said Kaeros margins are currently tight due to high expenses including new hires, and normalized margins should be around single digits for now.
Answered by Rajesh Aggarwal
Asked by Kunal: What margins are expected for Kaeros?
p. 15
“The normalized margin also you can believe should be around single digit at the moment.”
Rajesh Aggarwal, page 15 of the filed PDF · View the filing
Management said herbicide growth expectations remain but the growth will be visible in Q2, with most herbicides expected to surpass last year's figures though not the original targets.
Answered by Rajesh Kumar Aggarwal
Asked by Sonia Raghuvanshi: How did the herbicide portfolio perform in Q1 relative to prior expectations?
p. 16
“we have not touched the figures which were the dream figures for this year that is for sure”
Rajesh Kumar Aggarwal, page 16 of the filed PDF · View the filing
Management attributed it to a mix of specialty product focus, pricing, and inventory advantage amid highly fluctuating input costs.
Answered by Rajesh Aggarwal
Asked by Parul Sharma: What drove the 240 basis point gross margin expansion despite revenue decline?
p. 18
“this price rise can be due to the focus on the specialty products and some advantage due to inventory also you can say, but the markets were highly fluctuating”
Rajesh Aggarwal, page 18 of the filed PDF · View the filing
Management said 50-60% of new plant equipment is utilized, further expansion depends on new boiler and power connection completion, and at least INR200 crores of additional technical production revenue is possible.
Answered by Rajesh Aggarwal
Asked by Parul Sharma: What is the current utilization of Dahej and incremental revenue potential before further expansion is needed?
p. 18
“There is about 50%-60% equipment utilized for the new plant which we have made.”
Rajesh Aggarwal, page 18 of the filed PDF · View the filing
Risks flagged
Delayed and uneven monsoon impacting sowing and demand
p. 3
“A delayed and uneven monsoon, coupled with high temperatures across several regions, impacted sowing activity and delayed demand for crop protection products.”
Rajesh Aggarwal, page 3 of the filed PDF · View the filing
Crude and petroleum-linked raw material cost pressure
p. 5
“On the operating side, crude and petroleum-linked raw material costs remain an area of pressure during the quarter, impacting parts of crop protection value chain.”
Rajesh Aggarwal, page 5 of the filed PDF · View the filing
Elevated June inventory due to slower season start
p. 5
“June inventory was slightly elevated due to the slower start of the agricultural season, and we are focused on improving inventory turns, collections and alignment between placement and underlying demand.”
Rajesh Aggarwal, page 5 of the filed PDF · View the filing
Supply chain disruption and rising input costs from China freight and container scarcity
p. 12
“there was a complete supply chain disruption because the time taking from China for travel was even more and because of the scarcity of containers and the freight increased”
Rajesh Aggarwal, page 12 of the filed PDF · View the filing
Weak market sentiment forcing rollback of price hikes
p. 12
“we had to roll it back because the market was very much delayed and the sentiment of the network was very weak”
Rajesh Aggarwal, page 12 of the filed PDF · View the filing
Delayed rice sowing in parts of South India due to low dam levels
p. 7
“The only gap what we see is majorly in the South India where the rice sowing is little delayed in many parts where the dams are not full.”
Rajesh Aggarwal, page 7 of the filed PDF · View the filing
High volatility in solvent and raw material prices
p. 13
“like solvents are like there are fluctuations of 25%-30% in the solvent prices week-to-week, day-to-day”
Rajesh Aggarwal, page 13 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.