Bayer CropScience Q2 Revenue Declines 19%, Profit Before Tax Rises 6%

Bayer CropScience Limited (BCSL) reported a 19% year-on-year decline in revenue from operations to Rs 12,507 million in the second quarter (Q2) of FY 2026-27, ended September 30, 2026. However, profit before tax (PBT) increased 6% to Rs 2,114 million, supported by improved margins and cost efficiencies.

The company had reported revenue of Rs 15,534 million and PBT of Rs 2,003 million in the corresponding quarter of the previous financial year.

For the first half (H1) of FY 2026-27, revenue from operations declined 11% to Rs 30,857 million from Rs 34,680 million a year earlier. PBT, however, rose 15% to Rs 6,135 million against Rs 5,355 million in H1 FY 2025-26.

Simon Wiebusch, Vice Chairman and Managing Director and CEO of Bayer CropScience Limited, said the company faced a challenging operating environment during the quarter, with an uneven monsoon affecting sowing patterns and crop protection demand, alongside lower corn acreage.

He said the company remained focused on strengthening its portfolio, scaling innovations and helping farmers improve productivity and resilience through partnerships across the agricultural ecosystem.

Vinit Jindal, Executive Director and Chief Financial Officer, said profit after tax increased 9% in Q2 and 13% in H1. Improved gross margins, supported by favourable corn seed production yields and cost efficiencies, contributed to the growth.

However, higher corn seed production volumes amid weaker market demand resulted in increased inventory. Delayed collections and marginally higher receivables were also reported due to liquidity pressures in the market.

The company said it would continue to focus on disciplined working capital management and stronger cash generation.

Meanwhile, the company's Board of Directors, at its meeting on November 3, declared an interim dividend of Rs 90 per equity share for FY 2026-27. The dividend payout amounts to Rs 4,045 million.