Godrej Agrovet Limited (GAVL) reported a 17% year-on-year growth in consolidated revenue to Rs 2,995 crore for the second quarter of FY27, supported by strong performances in its animal nutrition, oil palm and B2C food businesses. The company had recorded revenue of Rs 2,564 crore in the corresponding quarter of the previous financial year.
Profit before tax (PBT) increased 5% year-on-year to Rs 131 crore, while profit after tax (PAT) rose 22% to Rs 103 crore, reflecting an improvement in the company's bottom-line performance.
Despite higher input costs and weather-related disruptions associated with El Niño, the company's profitability remained largely stable. Consolidated EBITDA stood at Rs 222 crore during the quarter, broadly unchanged from the year-ago period. Improved performance in the animal nutrition business helped offset profitability pressures in crop care, dairy and Astec segments.
Revenue growth during the quarter was driven by a combination of higher realisations and improved sales volumes across key businesses. Animal nutrition benefited from stronger execution, while the oil palm business gained from improved performance. The B2C food segment also contributed to the company's overall growth.
The company also reported an improvement in working capital efficiency. Its working capital cycle declined to 21 days in Q2 FY27 from 32 days in the corresponding quarter last year. In value terms, working capital requirements came down to approximately Rs 655 crore from Rs 894 crore, indicating better management of operating funds.
Revenue up by 13% in H1 FY27
In the first half of FY27, Godrej Agrovet's consolidated revenue increased 13% year-on-year to Rs 5,847 crore. However, net profit declined slightly to Rs 231 crore from Rs 233 crore, while the profit after tax margin fell to 4% from 4.5%.
Commenting on the results, Sunil Kataria, Chief Executive Officer and Managing Director of Godrej Agrovet, said the company delivered a resilient performance despite a challenging operating environment marked by geopolitical uncertainties, rising input costs and climate-related pressures.
He said the company's strategic initiatives were progressing well, particularly the focus on premiumisation of its animal nutrition portfolio, expansion of oil palm plantations and greater emphasis on consumer-facing businesses in the food segment.
According to the company, these initiatives are aimed at strengthening its business portfolio and creating a foundation for sustainable growth and long-term value creation.