Godrej Agrovet’s Q4 net up 187% at ₹66 cr on higher sales

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Godrej Agrovet Ltd (GAVL) reported a 187 per cent growth in net profits for the March quarter of FY24 on higher sales of its animal feed and crop protection products.

GAVL reported a net profit of ₹66 crore during Q4 FY24 against ₹23 crore in Q4 FY23. Revenue for the quarter grew 4.7 per cent at ₹2194 crore (₹2095 crore).

For FY24, GAVL reported a 21.7 per cent rise in net profits at ₹359 crore (₹295 crore). Revenue for the year was up 2 per cent at ₹9,561 crore (₹9374 crore).

BS Yadav, Managing Director, GAVL, said the growth in profitability was primarily driven by exceptional performance of domestic crop protection business, structural turnaround of dairy business, market share gains in animal feed and robust volume and margin growth in branded products in our poultry business.

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The growth in domestic crop protection was due to higher volumes of in-house and in-licensed products. Animal feed business recorded double-digit growth in volumes in cattle feed and fish feed categories and significant increase in segment margins led by softened commodity prices and higher realisations in the aforementioned categories.

“Our dairy business achieved remarkable turnaround and returned to profitability. This was driven by focused efforts on improving operational efficiencies and improved milk spread. The poultry business also recorded robust improvement in profitability on the back of higher live bird prices and increase in volumes of branded product portfolio,” Yadav said in a statement.

“In our vegetable oils business, lower end-product prices, which came off record highs of FY23 and normalised during FY24, resulted in lower segment margins as compared to FY23. For Astec Lifesciences, FY24 was a challenging year as it was severely impacted by acute demand-supply imbalance which resulted in unremunerative realisations in respect of its key enterprise products,” he said.

During the year, Godrej Agrovet also focused on achieving the long-term sustainability targets guided by the Godrej Group’s Good & Green vision.

“We are one of the two agricultural companies in Indian agriculture sector to be included in “A” list—leadership band of climate disclosure project’s (CDP) climate disclosures. GAVL’s CDP scores are ahead of the global averages. We achieved good progress in achieving 2025 sustainability targets led by 77 per cent of energy consumption from clean renewable energy sources as against target of 90 per cent and being a water positive company already conserving 20 times more water than the consumption,” Yadav said

Godrej Agrovet’s share gained 3.27 per cent to close at ₹581 on the NSE on Wednesday.