Insecticides India Q2 profit up 14 pc at Rs 49 cr

New Delhi, Nov 13 () Agro-chemical firm Insecticides India on Wednesday posted 14 per cent jump in consolidated net profit at Rs 49 crore for the quarter ended September 30, 2019-20.

The profit in the year-ago period stood at Rs 42.98 crore.

Net income rose to Rs 504.86 crore during the quarter under review from Rs 458.64 crore in the year-ago period.

Expenses also rose to Rs 442.76 crore form Rs 396.50 crore earlier.

"The domestic economy in Q2 FY'20 continues to face headwinds which were present at the beginning of fiscal year. Due to broad based slowdown in rural demand, the impact of slowdown was visible in agrochemicals sector as well," Managing Director Rajesh Agarwal said.

Monsoon during the last quarter was scattered, with heavy rainfalls in some parts of the country impacting agriculture cycle. Sales growth was mixed as there was a 20-day delay in the season as a result of prolonged crop cycle and was adversely impacted due to continuous rainfall and lower pest infestation, he said in a separate statement.

Despite the challenging business environment, Insecticides India delivered growth in revenues and profitability owing to the company's strong product portfolio and greater market acceptability of products among farmers, he added.

The company has formulation facilities at Chopanki (Rajasthan), Samba and Udhampur (Jammu & Kashmir) and Dahej (Gujarat). It also has two facilities at Chopanki and Dahej to manufacture technical grade chemicals. LUX ANU