Rallis India Ltd (RALLIS)

Chemicals · Agro Chemicals · NSE · Updated 1 September 2026
By StockFin Research Team AI-Assisted Analysis Source: BSE/NSE Filings
₹207.8 ↓ 40.12% (1Y)

🎯 Key Takeaways

  • Rallis India is in a strategic transition phase, shifting focus from export-dependent growth to domestic resilience amid monsoon volatility and global headwinds. Management is prioritizing margin discipline, crop diversification (rice, maize, millet), and biologicals expansion, while navigating export softness and competitive pressures in agrochemicals.
  • Revenue declined 19.2% QoQ to ₹508 in Q4FY22.
  • ⚠️ Dependence on monsoon and domestic agricultural cycles introduces earnings volatility, with management explicitly citing uncertainty in crop patterns.
Market Cap
₹4,041
P/E Ratio
24.6
P/B Ratio
2.38
ROE
9.7%
ROCE
12.9%
Debt/Equity
0.03
Div Yield
1.44%
Promoter
55.1%

📖 The Story

Rallis India is in a strategic transition phase, shifting focus from export-dependent growth to domestic resilience amid monsoon volatility and global headwinds. Management is prioritizing margin discipline, crop diversification (rice, maize, millet), and biologicals expansion, while navigating export softness and competitive pressures in agrochemicals.

📰 What's Happening

In Q1 FY27, revenue grew 7% YoY to ₹1,022 crore, driven by 19% domestic growth and 18% crop protection revenue growth to ₹455 crore, despite a 28% export decline to ₹110 crore due to European softness and Chinese competition. EBITDA surged 23% to ₹184 crore, supporting management's target of 15%+ EBITDA margins. Management highlighted stabilized raw material costs and expects mid-to-high single-digit seed growth (excluding cotton) and improved biologicals growth. A CFO transition saw Bhaskar Swaminathan resign effective November 4, 2026, with Sridhar Radhakrishnan appointed, carrying no immediate financial impact but signaling internal restructuring within the Tata ecosystem.

Source: Stock Announcements

📊 Quarterly Results (₹ Cr)

MetricJun 2021Sep 2021Dec 2021Mar 2022
Revenue741728628508
Operating Profit1037049-23
OPM %13.9%9.7%7.8%-4.4%
Net Profit825640-14
EPS₹4.23₹2.90₹2.03₹-0.73

The company reversed from losses in early 2021 (e.g., ₹-14 crore OP in Mar 2022) to consistent profitability, with OPM improving from -4.4% in Mar 2022 to 13.9% in Jun 2021, reflecting operational stabilization. However, the recent 7% YoY revenue growth in Q1 FY27 masks underlying export weakness, as domestic growth (19%) offsets declining overseas sales. The 23% EBITDA surge underscores margin resilience, but the lack of export recovery and reliance on monsoon-dependent crops introduce earnings volatility, making margin expansion a critical near-term focus.

🔮 Management Outlook & What's Next

Management targets 6-8% growth in agrochemicals, 15%+ EBITDA margins, and significant improvement in biologicals growth amid monsoon uncertainty. They emphasize cautious export recovery, pricing discipline, and strategic shifts toward domestic staple crops (rice, maize, millet) to mitigate global volatility. No forward guidance was provided on revenue or margin expectations beyond these strategic pillars, with management focusing on execution resilience rather than quantitative forecasts.

Extracted from official company announcements. Not StockFin.ai's opinion.

🏦 Balance Sheet (₹ Cr)

ItemMar 2021Mar 2021Mar 2022Mar 2022
Equity Capital19191919
Reserves1,5191,5711,6501,677
Borrowings50769658
Total Liabilities2,6612,5892,8512,858
Fixed Assets416424448845
Investments366283228212
Total Assets2,6612,5892,8512,858

The balance sheet remains conservative, with equity of ₹19 crore and reserves of ₹1,677 crore as of Mar 2022, indicating strong capital reserves. Borrowings are minimal at ₹58 crore, suggesting limited leverage and low financial risk. Total assets of ₹2,858 crore have remained stable, reflecting disciplined capital allocation with no major capex or investment spikes disclosed, aligning with a focus on operational efficiency over aggressive expansion.

💰 Cash Flow Statement (₹ Cr)

ItemMar 2022
Operating+166
Investing-104
Financing-61
Net Cash Flow+0

👥 Shareholding Pattern

CategoryQ2FY26Q3FY26Q4FY26Q1FY27
Promoters55.1%55.1%55.1%55.1%
FII14.2%12.1%11.6%9.1%
DII11.2%11.3%11.3%11.7%
Public14.7%16.9%17.4%19.4%
# Shareholders1,26,6361,35,0101,29,2251,30,812

Promoter holding remains stable at 55.08%, but FII allocation has declined from 14.2% in Q2FY26 to 9.12% in Q1FY27, while DII rose from 11.3% to 11.72%. The drop in FII ownership may reflect reduced institutional confidence amid export headwinds and sector volatility, despite stable promoter stakes. The growing DII presence suggests domestic institutional accumulation, potentially signaling long-term conviction in the company's turnaround narrative.

⚖️ Peer Comparison — Agro Chemicals

Company MCap (₹ Cr) P/E ROCE ROE D/E
UPL 47,485 23.3 11.4% 6.7% 0.64
PIIND 36,382 31.2 13.3% 10.4% 0.02
SUMICHEM 25,753 44.4 23.1% 17.1% 0.00
BAYERCROP 17,844 369.7 3.3% 1.2% 0.00
SHARDACROP 6,918 11.1 25.8% 20.0% 0.00
DHANUKA 4,360 14.9 27.5% 21.2% 0.03
RALLIS 4,041 24.6 12.9% 9.7% 0.03
NACLIND 3,988 340.5 6.0% 1.8% 0.44
BHAGCHEM 3,683 134.0 6.1% 3.9% 0.33
GSPCROP 2,976 26.0 22.5% 21.9% 0.66

🔗 Peer Stock Analyses

⚠️ Risk Factors

1. Dependence on monsoon and domestic agricultural cycles introduces earnings volatility, with management explicitly citing uncertainty in crop patterns. 2. Persistent export weakness due to European softness and Chinese competition could constrain top-line growth, as seen in the 28% YoY export decline. 3. Margin expansion relies on pricing discipline and cost control, but raw material stabilization is not guaranteed amid global commodity fluctuations. 4. Leadership transition in finance function, while operationally neutral, may introduce execution risks if new CFO lacks sector-specific depth.

📋 Recent Filings

🧠 Analyst's Read

Rallis India is executing a strategic pivot toward domestic resilience and margin resilience amid volatile exports, but growth remains tethered to monsoon outcomes and global agrochemical dynamics. Investors should monitor export recovery trends, biologicals traction, and margin sustainability beyond the current base case.

Based on filing content and financial data. Not a recommendation.

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Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-09-01.

Editorial & Data Transparency Notice

This analysis was programmatically compiled using StockFin AI utilizing official regulatory disclosures from the BSE and NSE. Content is automatically synthesized and audited against public financial filings. StockFin.ai is an educational research platform and is NOT a SEBI-registered investment advisor or research analyst.

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