Super Crop Safe Limited (BSE: 530883), a leading manufacturer and trader of Agro-chemicals, with leadership in the manufacturing of Pesticides, Bioproducts and Nutraceuticals, on 14th November 2019, announced their unaudited financial results for Second quarter ended September 2019.
Financial Highlights - Q2FY20 vs Q2FY19:
- Standalone Q2FY20 Revenue is INR 2,154 lakhs and H1FY20 is INR 3,571 lakhs
- Standalone EBITDA for Q2FY20 is INR 169 lakhs and H1FY20 is INR 350 lakhs
- Standalone EBITDA Margin for Q2FY20 is 7.86% and H1FY20 is 9.81%
- Standalone Q2FY20 Net Profit is INR 108 lakhs and H1FY20 is INR 221 lakhs
Ishwarbhai Patel, Chairman, Super Crop Safe, said," I am pleased to announce the results of the September quarter of Super Crop Safe Ltd. There was considerable pressure to increase our profit, but we recorded impressive sales this quarter which is a positive sign. As we all know, the monsoon was very good this year. However, the rain was much more than expected in states like Gujarat and Maharashtra, where we are active. This led to an increase in pressure to improve our margins and profit in the September quarter. On the positive side, we are estimating a promising financial performance in the second half of the current financial year for both our business and the sector. This will be boosted by our presence in states like Gujarat, Maharashtra, Madhya Pradesh, Uttar Pradesh and Rajasthan, where the dams are filled and will provide sufficient water to the farmers during the Rabi season, ultimately increasing the GDP of the sectors we belong to, like agro-chemical. Gujarat and Maharashtra received excess rain even after the ending of monsoon, which is why many farmers had to incur massive losses. The Gujarat government has provided, apart from insurance, a relief of 700 crores INR to the farmers. A similar announcement can be made in Maharashtra soon, and the money will help farmers obtain agrochemicals for the Rabi season. We are constantly expanding our product basket, and substituting lowmargin products with high-margin and high-demand ones. As of now, we sell more than 120 products. We are also making consistent progress in the bio-fertiliser sector, in which we launched Super Gold and Trinetra and they are being welcomed by the consumers. Bio-fertiliser products have high margins and demand. Prime Minister Narendra Modi, during his speech on 15th August this year, had asked to promote organic farming, which will be beneficial to us as numerous the Central and State governments join hands to motivate farmers for this practice.
We are planning to build a technical-grade plant in an area of 10,000 square metres, for which we await permission from the government. We possess the license of 10 technical-grade, which will boost our production capacity, income, EBITDA, net profits and margins, once we obtain the permit.
The nutraceutical segment is progressing at a considerable pace in India because people putting immense emphasis on their health. This sector will garner increased demand and is primed to produce high-margins.
Spirulina is being used as a health food by people in a worldwide scale, and its demand is increasing in India also. We have all the necessary licenses for Spirulina, and we are selling it in powder form in the wholesale market. In our R&D department, we are preparing a basket of products, including Spirulinabased health drinks and other 3-4 products, which will help us in entering this particular segment which will showcase our growth and take our business to new heights.
Currently we are present in 8 states, and we plan to enter more states by next year. We are also planning to double our distributors in the country.
Shares of SUPER CROP SAFE LTD. was last trading in BSE at Rs.16.4 as compared to the previous close of Rs. 17.25. The total number of shares traded during the day was 99137 in over 299 trades.
The stock hit an intraday high of Rs. 17.45 and intraday low of 16.05. The net turnover during the day was Rs. 1635359.