Nath Bio-Genes (India) Limited (NSE: NATHBIOGEN) Q4 2025 Earnings Call dated Apr. 30, 2025
Corporate Participants:
Unidentified Speaker
Satish Kagliwal — Managing Director
Devinder Khurana — Chief Financial Officer
Amol Gupta — Chief Financial Offficer
Analysts:
Unidentified Participant
Harshul Mehta — Analyst
Deepesh Sancheti — Analyst
Aditya Sen — Analyst
Rajiv Damani — Analyst
Presentation:
operator
Ladies and gentlemen, you have been connected to the Nat Biogenes Limited conference call. Please stay connected, the call will begin shortly. Ladies and gentlemen, you have been connected to the NatBioGenes Limited conference call. Please stay connected, the call will begin shortly. Participants, you are requested to stay connected. The call will begin shortly. Thank you.
operator
SA.
operator
Ladies and gentlemen, good day and welcome to the Q4 and FY25 earnings conference call of Nat Biogenes Limited hosted by GoIndia Advisors. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing the star then zero on your touchtone phone. I now hand the conference over to Ms. Deepika Sharma from Goindia Advisors. Thank you. And over to you ma’am.
Unidentified Participant
Thank you Steve. Good evening everyone and welcome to the Q4 and FY25 earnings call of Smart Biogenes Limited. We have on the call Mr. Satish Baghliwal, Managing Director, Dr. Devendra Khurana, Executive Vice President. Mr. Amon Gupta, Chief Financial Officer. Mr. Harish Pandey, Sales Lead. Dr. Venkatesh Kulkarni, Research Lead. We must remind you that the discussion on today’s call may include certain forward looking statements and must be therefore viewed in the conjunction with the risk the company faces. May I now request the management to take us through the financial and business outlook subsequent to which we will open the floor for Q and A.
Thank you. And over to you sir.
Unidentified Participant
Thank you Deepika. And a very good afternoon to everyone. I welcome you all to our Q4 and financial year 25 earnings conference call. I am Pratish Tatliwal, MP of the company. Financial year 25, the year gone by has been a year defined by resilience, innovation and meaningful progress for my Biogene. While Mr. Amol Gupta will shortly walk you through our financial performance, I would like to take a few moments to share some of the key strategic milestones that we achieved this year. At the half advantages we do is a simple but mission to support farmers with feeds they can rely upon.
Especially in these challenging times of climate change, pest risk and the constant push for better yield. And it is our strong focus of research and innovation that makes this possible. Our scientists continue to strengthen our germplasm and create habits that are not only high yielding but also offer better resistance against diseases and pests. Our green product basket continues to perform well. Our flagship cotton hydrates Map, Suncape and Jumbo Once again Lit the charge achieving solid growth in both volume and value product. Importantly, our strategic focus on is bearing fruit. Our non potent non selling portfolio has emerged as a strong pillar of growth.
Bajra late by marquee product superstructure delivered a remarkable growth while maize and wheat also reported healthy gains. Our vegetable business continues to evolve with energy and purpose. This year we sharpen our focus on scaling high potential peristalt Hadrian Chile while new launches in Cucumber and Oklahoma are steadily gaining market traction. In a move to drive data synergy, we consolidated all three product articles under a unified marketing leadership ensuring sharper execution and stronger customer connect. On the plant retention front, our windshield brand has performed very well delivering sound growth. We further expanded our portfolio with two new biotronic products in Pro Moli and benefits offering farmers more comprehensive solutions to boost crop growth and yield.
These initiatives reflect our broader vision of becoming a trusted one stop partner for agri input needs. From a market expansion perspective, we have made tangible progress on the international front. In the Philippines we are in an advanced stage with our cotton tiles and we are optimistic about commercial sales to the government in the coming season. Meanwhile, our joint venture in Utah is progressing well. Marketing for heat is currently underway and the early results are encouraging. We have already secured large area for this year. Depending on results, we may replicate this model in neighboring countries soon.
Naturally, not all challenges are within our control. Certain African geographies remain impacted by geopolitical uncertainty. Nevertheless, we remain confident in the long term potential of our export markets and we continue to pursue global opportunities with a calibrated and strategic approach. Our infrastructure backbone has also been significantly strengthened with state of the art cold storage units, warehouses and conditioning around. With a cumulative capacity of 25,000 metric tonnes. Combined with the expertise of our scientific team and the strength of our genetic resources, Maart is well positioned for sustained leadership in the Indian field industry. As we reflect on financial year 25, the year gone by, I would like to express my details gratitude to all our stakeholders, our farmers, our employees, our associates and our investors for their trust and belief in math.
We remain steadfast in our commitment to delivering consistent value, investing in innovation, enhancing operational efficiencies and expanding our market reach. All. All this while maintaining a strong and resilient financial position. With that gentleman, I would now like to invite Mr. Rol Gupta to share the financials and operational highlights for Q4 and financial year 25. Thank you.
Amol Gupta — Chief Financial Offficer
Thank you indeed and good afternoon everyone. I especially thank you for making some time to join us today on the earnings call for FY25. Our earning presentation has been uploaded on the stock exchanges and company website and I hope you have had the chance to go through it. Before we dive into the detailed financials, I would like to quickly walk you through some of the key operational highlights from FY25. We are making steady progress on our strategy to strengthen the non cotton non paddy that is NCP portfolio. I am happy to share that this year the contribution of the NCP segment increased to 48% compared to 43% last year.
Revenue from this segment grew up by 38% reaching to 171cr up from 140cr in FY24. This clearly reflects the success of our diversification efforts. Turning to our core cotton business, we sold nearly 11.35 lakhs packet during FY25. Our flagship hybrid Sanket and Jumbo led by the way once again driving growth and reinforcing our leadership position in this key crop. In Padi, our strategy of focusing on habitation is delivering the desired result. The share of hybrid PADI in our portfolio was 38% in value and 19% in volume. This aligns with our broader goal of driving margin accretive growth through higher value hybrid products.
Bajra continues to be a standout performer for us supported by strong traction of Super 27. The segment recorded 8.77% growth over last year. Our MAP business also showed good momentum registering year on year value growth of 47%. The vegetable segment not to be left behind it had value growth of 16.45% and volume growth of 76.71%. The plant nutrition segment PNS has delivered a very encouraging performance as well. Value growth comes to at around 23.53% driven primarily by Vinci Vin along with Wingoli and Vinpro. Now coming to the financial performance for FY25, our total revenue for the year stood at rupees 362.30 cr reflecting a steady increase over FY24.
Gross margins remained strong at 52% plus with an exceptional jump in the current year underscoring the divisions of our product mix and the pricing discipline we have maintained throughout the year. EBITDA for the year was rupees 52 cr up by almost 4% year on year and PAT rose by 13.3% to rupees 41.6 years. On the working capital front we made good progress especially receivables. Management improved noticeably with better days reducing to 89 days from 103 days. The inventory days have increased due to the quantum Jump planned in year 26. The company had achieved positive cash flow from its operation with a tune of Rs.
26.8 cr. And we had a bank balance of rupees 87.6 cr as on 31st March. I’m also pleased to share our credit rating was upgraded by two notch to triple D plus. Which is a clear endorsement of our financial prudence and healthy outlook. All in all, FY25 has been a year where we demonstrated operational vision, expanded strategically both in India and internationally and continued to invest in innovation and market depth. With our strong product portfolio, deeper presence across market and ongoing commitment to R and D, we are confident about delivering sustained growth in the coming year.
With that, I am now open the floor for any questions you may have.
Questions and Answers:
operator
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchstone telephone. If you wish to withdraw yourself from the question queue, you may press N2. Participants are requested to use handset while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Harshal Mehta from Smart Sync Source. Please go ahead.
Harshul Mehta
Hello sir. Am I audible? Yes, please sir. So congratulations on this set of numbers. My question is you’re having 87, around 87 to 88 crores on your books as of now. Cash balance on your books. And as I can see that there is no, not almost no long term debt on your books. So if management considering any kind of share buyback or dividend payout as part of the 25 SI 26 capital allocation strategy or maybe any kind of other growth driven investment that you are looking at from this cash. Yeah.
Satish Kagliwal
Let me answer this for the record. I’m Dr. Captain Khurana, Executive Vice president of the company. I was asked one cfo. Okay, your point is well taken sir. We do have a fixed deposit of around 87cr as on 31st March 2025. But that money is currently our operational monies which we are having pursuant to the advanced booking which came to us for the current year sales. And we had an ABS of almost 141something. Okay, so this money is commentary. Operational money. This I cannot use for buybacks or any other investment opportunities. This must be flowed back into the operations to try and meet the next year’s target.
Wherein Amal said that we are trying to have a quantum jump. Okay. One. Secondly your question regarding buyback. I’m not able to Answer it straightforward as of now. But we do have been thinking on it over last one year. Maybe if the things permit, God willing, we’ll come back to you.
Harshul Mehta
Sure, sir. Thank you. Thanks a lot. This was helpful.
operator
Thank you. The next question is from the line of Satyam Badera from Profit March Securities. Please go ahead.
Harshul Mehta
Hello. Am I audible?
Satish Kagliwal
Yes.
operator
Yes, sir.
Harshul Mehta
Congratulations on good set of numbers. I have couple of questions. The first question is despite revenue growth EBITDA Group or what were the key investments area impacting the operational leverage?
Satish Kagliwal
Sorry, you are a little inaudible. You said because of the something. Can you please repeat the question? Brother.
Harshul Mehta
Despite of revenue growth, EBITDA grew moderately. What were the key investments area impacting? Operating leverage.
Satish Kagliwal
Yeah, so EBITDA has not that marginally. EBITDA has grown by about 4%. Where the top line grew was around 9%. Okay. Please understand one thing that to ensure that we have a steady top line growth, we need to pass certain things back to the market. Okay. If you go through our schemes in the balance sheet and the schedules given, you will find that the schemes have increased by about 4 or 5 cr as compared to last year. That is to maintain the top line. It’s not only that we want to make money. We also want our partners in business to make money.
So that is affecting the ebitda. I find that at this juncture the growth is fine because we have streamlined the market also. So maybe next year you will find that this will jump in proportionate fashion.
Harshul Mehta
Okay, and what was the key investment area?
Satish Kagliwal
We are not investing anywhere. We are not investing anywhere. We are only into business. We are not putting in our minutes. Of course we have ventured out in a joint venture in Uzbekistan. Maybe somebody would have asked it. Okay, let me touch it here. Only we had last time we informed that the company had taken up a joint venture in Uzbekistan. We have set up a JV company there with 90% of shareholding, 10% being mandatory given to the people in Uzbekistan. Which is okay, we have the full control on that. And this was the first full year of operations wherein we took on around 600 hectares of land for cotton production.
Basically the local cotton production there. Because our BTEs have not yet been taken up by the government through their testing process and we were able to make our contributions. Rather we are able to break even at the contribution level. So that’s the only investment which we have made. Otherwise we aren’t investing anywhere. Business is Friday.
Unidentified Participant
Okay.
Harshul Mehta
Okay, thank you. My another question is how is company leveraging R and D and Innovations to build defensible modes in core and emerging crop segments.
Satish Kagliwal
We all every year we spend around 10 to 12 year increasing every year. If you go through our schedules again and we come to around 4 to 5% of the top line, it is reducing the percentage because the top line is growing at a good pace. But the research we have, once we come to a research question, maybe Dr. Kulkarni will tell you what all research he is doing. But I think we are one of the good companies into research for last so many years and we continue to plan to invest monies in research. We aren’t getting out of that.
Harshul Mehta
Okay, I have one more question. How has improved working capital efficiency contributed to a stronger cash flow?
Satish Kagliwal
We if you have been attending. There was a time when my working capital was well stretched. Even I was having a problem in finding out the positive operational flows. But last three, four years that has been taken care of. Now my debtor itself has come down to around 88 days which is very reasonable. We used to have 120, 125, 130 inventory. We always have on the higher side, including this year. The logic being very simple that this year we had a production constraint on cotton. That is why our cotton fell as compared to last year.
So what we have done is we have taken up a good production of cotton this year which should see us through for 26 and maybe partially 27. Also because cotton seed is very sturdy and robust, it doesn’t die. So inventory under control. Well under control. No problem. It is fun. Means as of today inventory is funded only one third by the bank. Rest is my own accruals. So I think we working capital is okay. It’s quite fine.
Harshul Mehta
Okay, thank you. I’ll get back into.
operator
The next question is from the line of Dipesh Sanchiti from many of finance. Please go ahead.
Deepesh Sancheti
Hi sir. Am I audible?
Satish Kagliwal
Yeah.
Deepesh Sancheti
Hello.
Unidentified Participant
Yeah.
Deepesh Sancheti
Am I audible?
Satish Kagliwal
Yes, please.
operator
Yes sir, you are.
Deepesh Sancheti
Yeah. Okay. How does the increased contribution of the non cotton and non paddy segment reflect your long term diversification strategy?
Satish Kagliwal
I think Mr. Gupta covered it in his address. I will recover it for your presumption. This was what I had personally told this forum way back about three, four years back that we are not walking out of cotton, we are not walking out of bedding. They are our mainstays in our top line and in our market. Beyond that we are going to lay more emphasis. The word was more, more emphasis on ncp. That is mustard or maybe maize and bajra and wheat and vegetables and Vinchevin. Our PRS segment. So the NCP segment has grown by about 22% as compared to last year.
So that is helping. Now if you guys note, you are all analysts. This year in spite of the drop in cotton sales, our top line has grown. Paddy was just about stable, around 7, 8% of growth only. But other crops have compensated where cotton did not perform the way we wanted it to perform. So the advantage of our having a pan product, pan India presence into the company is that if this doesn’t sell, something else sells. That is where we have been able to maintain this strategy and NCP was only a part of that. Our NCP portfolios are doing well.
Deepesh Sancheti
So what are the key growth drivers behind this year on year increase in NCP segment? How do you plan to sustain this growth?
Satish Kagliwal
How we plan to sustain this growth, There are three things that will happen. One is infusion of new products that Dr. Kulkarni is always there. Second is inclusion of new markets that Mr. Harish Pandey is always there. And the third is our existing strategy of having a basket of products in every territory wherein we only send what sells. If there are somehow if the rains don’t behave that good will come back. But otherwise other places it sells. So growth driver is research, growth driver is the extended market and growth driver is existence of good products.
Deepesh Sancheti
Okay, coming to the balance sheet side just to understand the high inventory is because the next quarter that is Q1 will be the best generally the best quarter is generally where you require the inventories. That is the reason you’re keeping high inventories. Also the trade receivables have been very, I mean significantly higher. It has been and it has been every year.
Satish Kagliwal
I think the last gentleman asked this question and I touched it categorically on receivables, on inventory, on the working capital management. So would you please fall back on that if you don’t mind.
Deepesh Sancheti
Fine, I’ll go through that. Okay then coming to the ROE. I mean ROE over the last three years have been consistently at 6%. Don’t you think? It’s pretty low. And what is the management trying to do to increase the roe?
Satish Kagliwal
I tend to agree with you sir. The ROE is of course on the lower side. Please understand that post Covid we had almost flattened out our growth path and over the last two, three years it has picked up again. And I am hoping that if we are able to cross 500 in a year or two, this ROE will significantly improve. We are also concerned about that. We are trying to address it through sales.
Deepesh Sancheti
Only 500 in terms of the sales 512, right?
Satish Kagliwal
Yes, please.
Deepesh Sancheti
Okay. So. So you mentioned that 87 crores is in SD. And that money you cannot touch. It is operational money.
Satish Kagliwal
Can you.
Deepesh Sancheti
Can you throw some more light on why it is kept like this is an advanced payment which you have received from people. I mean, just want to understand that.
Satish Kagliwal
Yes, please. What happens is that every year is sometime in December, January, maybe February, even part of March. Mr. Harish Pandey lays down advanced booking scheme into the market. The aim is twofold. One is to get the funds in advance. That means to that extent and more the sales are committed. Secondly, once we get the advanced booking we also can get a judgment as to how our product is rated into the market. Because people will not give advance until they are very sure that they want this product. These two things gives us advanced booking. Advanced booking this year was how much? Almost around one.
Yeah. Around 140 plus we had reached incremental current balances.
Unidentified Participant
So.
Satish Kagliwal
Which was again a jump from last year. Now out of this, at the March end we have certain unused funds which will be now used for paying for the production people. That’s it. So it is an operational money.
Deepesh Sancheti
But you’re keeping into. I mean it is kept into an fd and this FD is regularly being. I mean just moved into the banks only. Right. How is it coming into the business? That is what I want to understand.
Satish Kagliwal
No, this is the money which would apply unattended in the banks. The working capital limits would not have been used. And if I don’t use my working capital limits in March and then they will not give me working capital for next year. I don’t want to promote the company. So as a result at the March end we don’t. Either we keep the working capital unused or we keep fixed deposits and working capital use. It’s a financial jargon.
Amol Gupta
That’s it.
Deepesh Sancheti
Okay. It’s just a financial. Got that point. Thank you. That really helps. Okay. In the regulated environment, how is the company maintaining leadership in cotton segments with products like Sanket and Jambo?
Satish Kagliwal
Question to Mr. Harish Pand. Somebody please mute your mobile. Can you Repeat the question? Mr. Harish Pand would like to answer that.
Deepesh Sancheti
Yeah. So in the regulated environment. Mr. Arish, can you hear me?
Satish Kagliwal
Yeah, he.
Harshul Mehta
Okay.
Satish Kagliwal
Okay.
Unidentified Participant
Okay.
Deepesh Sancheti
So fine. So in the. In a regulated environment how is the company maintaining leadership in the cotton segment? So products like San Andre.
Satish Kagliwal
Okay.
Unidentified Participant
Actually overall our product performance is outstanding.
Rajiv Damani
Very.
Unidentified Participant
Unfortunately last year because of some environmental issues we could not get the stock what we Were expecting to get. So whatever we have got we have sold in a premium in the market. While doing the activities and convincing to the farmers, we are farmers and convincing them to buy our product and showing them the what is the usp. We have differently because our products are completely different from the markets. What our products are? Our products are drought tolerant number one. Number two, our products are second waste tolerant which others are not having. Number three, our products are adopted to most of the geographies where important key markets are there.
Right. If you take Telangana, Maharashtra, Gujarat, Karnataka cotton market and followed by mp. All these markets we are ruling except northern part. We are on top five demanding product companies. Right. So this is how we are maintaining our leadership in the market. And it will be continue. And this year again it will be strengthened. Because this year we are expecting to supply more than let’s say 60 to 70% what we have sold this year.
Unidentified Participant
Okay.
Deepesh Sancheti
So I just want to understand what is your fire vision of the company.
operator
If you could come back in the queue for further questions please.
Satish Kagliwal
You said five year vision.
Deepesh Sancheti
Yeah, I just wanted to know the fire vision. Actually you spelled the things about saying that you know every in two years you’ll do 500 crores. So just wanted to understand your long term vision of five years. And you know, how do you plan to maintain? I mean what is your sales growth target? Just 100.
Satish Kagliwal
Okay, once again like I said that the first target is 500. The next as a target will be obviously thousand. Fine, but for 500 I only gave you how we are going to go about it. With the strategy and all that. For thousand we tend to also expand internationally. That means research, markets, products and international business. If Uzbekistan comes through properly the way we are expecting it that will itself give me around 100cr down the line. So let’s see.
Deepesh Sancheti
I’ll come back in the line for questions.
Satish Kagliwal
Again.
Deepesh Sancheti
I have a few more questions.
operator
Thank you. The next question is from the line of Divesh from Fin Interest Capital. Please go ahead.
Harshul Mehta
Hello.
Satish Kagliwal
Am I audible, sir? Yes, please.
Harshul Mehta
Congratulations on a good set of numbers, sir. My first question is what market dynamics and product strategies contributed to the exceptional growth in the vegetable seed segment.
Satish Kagliwal
Very good question. Let me. Can I answer this? He’s asking vegetable. Okay, so. Okay. Let Harish answer that.
Unidentified Participant
Number one is market potential is there. Right? We have strengthened our team across India. 2 and 3 is wherever our products are performing.
Satish Kagliwal
We are focusing in a limited market.
Unidentified Participant
We are not focusing across India. Right. We are focusing wherever there is a potential available. So this is the Reason here we will definitely continue the same strategy for.
Deepesh Sancheti
Next two, three days.
Harshul Mehta
Okay.
Satish Kagliwal
Okay. Sorry, sorry. I would also like to add if you remember our call two, three years back we had said that we want to give emphasis to vegetable because it is a beautifully contribution paying business. That kind of thing was not happening. So that is why there was a lagarde that. Now Mr. Harish Pandey has also taken over vegetables and you can see the results. We are doing well.
Unidentified Participant
Okay.
Satish Kagliwal
So my second question is can you explain the strategic role of new biotinic.
Amol Gupta
Products like Wingoli and Windpro in expanding.
Satish Kagliwal
The plant nutrition segment? Dr. Kulkarni, can you give us highlight on this please?
Harshul Mehta
I think Harish only will give this.
Satish Kagliwal
Okay.
Unidentified Participant
Yeah. So if you see both these products we have launched about two, three years back, both these products. Right. And huge scope is there because of its spraying. You know, difficulties, labor issues where farmers are using these, both these products very easily. And you know, farmers are not having any issue related to the labor. Right. Number one. Number two is the kind of result we are getting in the vegetables of the Oli is coming. You know, in a better way to number three is this is market trend where in general farmers are coming and buying this packaging is also making the huge difference.
If you go to the market, farmers go to the market and buy 10kg buckets, 20kg buckets, 50kg drum. So that is a new trend which farmers are following. So this is another reason where we are getting good sales for both these products. And the quality is definitely quality.
Unidentified Participant
Okay. Okay.
Harshul Mehta
For my last question is what were.
Amol Gupta
The key contributors to maintaining gross margins beyond 60% and how do you plan.
Harshul Mehta
To manage input cost pressures going forward?
Satish Kagliwal
If you. I know this question was imminent. Okay. In CFO’s speech he said that we have been able to maintain. Let me read it again for you. That the gross margin remains strong at 52% plus with an exceptional jump in the current year. Kindly please remember that we can’t be maintaining 60. It just happened once in a while. Which is fine. We have been maintaining 52, 53, 54 and that is generally with the top line. This kind of contribution is good into a field market. Please don’t expect us to maintain 50 plus in the coming years.
We are quite happy with 52, 54.
Unidentified Participant
Okay. Okay.
Satish Kagliwal
That’s it from Michael.
operator
Thank you. Before we take the next question we would like to remind participants that you may press Star and one to ask a question. The next question is from the line of Aditya Sen from Robo Capital Please go ahead.
Harshul Mehta
Hi. Thank you for the opportunity. So since we are already one month into the first quarter, the basis of this, can you please share how this cotton business is shipping for this quarter?
Satish Kagliwal
Okay. Okay. Harisha cotton business. Now he says that already one month is over and how the cotton is going to come. So basically this.
Unidentified Participant
Okay, so the quarterly is like saving.
Satish Kagliwal
Okay.
Unidentified Participant
Not great, right? Because if you see last year tech has already go down, right?
Harshul Mehta
Coming quarter.
Unidentified Participant
Right. Coming quarter. One month is already over.
Satish Kagliwal
So what is the strategy for the coming quarter?
Unidentified Participant
For bottom.
Satish Kagliwal
Okay, 26.
Unidentified Participant
What is that?
Unidentified Participant
325. We have planned well. And across the India we are in the supplying the product everywhere, wherever demand is there. Right. And because of some government restrictions, there are few state where the supply has not been made till now. Right. From my onward it will be continued. Right. And if you’re asking about our placement or also can you give me more.
Harshul Mehta
Clarity on your building?
Satish Kagliwal
You see what happens is. Can let me add to your question. You are asking how the cotton will sell in the coming quarter. Please understand that it’s not only cotton. The Paddy goes, maize goes, Madhura goes. You know, including Jawar goes. We are currently in the process of packing. The goods will be dispatched to the branches, to the go down or across the country. They will be kept. The moment the rains onset, they start going into the market. Last year the sales return was very low. It was only around 15% because the material itself was at the premium.
And we didn’t have that kind of goods this year also. We’ll try and maintain that. So as a result, the company is gearing up. It’s gearing up. Don’t worry on that.
Harshul Mehta
All right. And can you please share the prior volumes for FY25. Sorry, paddy volumes for FY25.
Satish Kagliwal
Paddy volumes for FY25. We had a total quantum of 61. 349 quintels. Sorry, my bad. 60653 quintels, which turned into 89. Okay, you get that please?
Harshul Mehta
Yeah, I got that. And so that’s a minor declining volumes.
Satish Kagliwal
A minor decline. But you see. Okay, now let me also address that you always ask the question. Thank you very much. It helps me in giving the issue. We have made a strategy that we are moving more into hybrid padding and lesser into the RS. It’s a gradual change. This year 19% of quantum in paddy has given me 38% of the volume value. So even with the decrease in the minor decrease, the values have gone up by about 10cr. That’s a the hybrid magic.
Unidentified Participant
Yeah.
Harshul Mehta
I understand that this change is highly welcome. And just the last question. Any recoveries from the provisions that we made few years back of that eight years.
Satish Kagliwal
Not. Not something which is boasted of. We last year we had around 3.5 cr this year it came down to only 154 lakhs. But we aren’t giving up. We are riding it off this year again. I’m expecting more recoveries to come but it is not affecting my sales. It is not affecting my bottom line. Yes, it will add.
operator
Thank you. The next question is from the line of Majit Ahmed from Tradewalk Research. Please go ahead.
Harshul Mehta
I’m audible sir.
Satish Kagliwal
Yes please.
Harshul Mehta
Thanks. Thank you for the opportunity. My first question is how are you going to tackle the competitive intensity in the market with multiple players like Cauvery Seeds and other players are there in the market. How are you going to differentiate in terms of R D and something. That’s my first question.
Satish Kagliwal
Yeah. Thank you. Let me request the guy who is going to tackle this to answer this. Mr. Pandey please.
Unidentified Participant
Hello.
Satish Kagliwal
Yeah.
Unidentified Participant
You are asking for any crop specifically you want to have a whole as a whole. Okay. So as you all if you see crop by crop in isa the kind of demand we have in a cotton right. Cauvery don’t have as present this year.
Amol Gupta
You will see the significant improvement by.
Unidentified Participant
The end of this quarter you will realize what kind of growth math is having over the Cauvery in the quarter in demand. While I’m talking right now not telling around about the quantity. Right. And if you see in other crops right our product performance is coming better than Cauvery either it’s a note down there are two three products which has performed outstandingly well in the market in quadrant corn which is double 1, double 3 and dominator 401 which is performing outstanding well. And farmers are getting around 40 to 45 quinta yield per acre which was not there in the early and our competition are not having such type of potential hybrid with them.
Number three when it comes to permanent permanent we are far far better than Cauvery in terms of volume, value and product performance in all three criteria. We are doing very well when it comes to padi definitely they are doing better than us. They are having the competitive product. But the kind of performance we have received out of our Dharak Gold definitely within next three years time map would be either similar to Cauvery or better to Cauvery in hybrid segment when it comes to selection Peddy definitely there is a close Fight in between cavalry and maps in some states.
But yes, being a old player, they are doing better than us. But in future in like two to three years if you see their product performance and our product performance is better not matching. Our three, four products are performing outstandingly well in most of the, you know, pad area. So this is overall definitely next three to four years would be nap years not cavalry.
Unidentified Participant
I like to just add. To answer this, your question is not a question of cavalry alone. Your question was about how are we going to compete in the competitive environment. Issue is we are competing by product differentiation, superior products. And coupled with this superior product and better products, we are also having excellent marketing. Our promotion, our extension work, our efforts in the marketplace also define and differentiate ourselves. So we are going to be getting an edge and mileage because of the product and the marketing efforts that we are making. And this is not only competition with one company, it is ahead.
It is actually competition with all the all the companies. It’s not question of only one company. We are company with practically entire industry itself. And this competition is always there. This is nothing new today. So that’s how I answer your question as to how we are going to compete. We are competing with superior products and superior marketing efforts.
Satish Kagliwal
Just a second. I would also. It’s a. Just a second please. I would also like to add the financial angle to this. Last year our Advanced bookings were 92.59 Cr. This year it was 151.21 Cr. 150 crores of advanced booking detriment. It shows that the company is accepted into the market. It is a 63% jump over the last year. So apart from all the strategies that Mr. Harish Pandey and MD sir has given the acceptance in the market is also reflected through the balance sheet. Next question please.
Harshul Mehta
Yes. And second question is some. Can you share some details about your venture in Uzbek and Philippines? How will they improve and contribute to your margins and revenue going forward?
Satish Kagliwal
Uzbekistan, I just covered in one of the previous questions. Kindly go through the script again. Philippines. We are currently not saying much because nothing much is coming out of Philippines. As of now. The effort in the trial both are still on. If I have something substantial to speak on Philippines then maybe yes or we will talk about it in the meantime. I did say that if we need to touch a thousand crore our exports also have to match our the domestic sales.
Harshul Mehta
Okay sir. And another question that I have is on what. What is your guidance going forward in terms of your volume growth or revenue growth? What are you looking currently at it’s.
Satish Kagliwal
Always better to top of revenue growth only we have last two years have been almost stable at around 8989%. I’m hoping to break that barrier this year. And we are targeting for 15 but let’s see how it goes.
Harshul Mehta
Okay, but. And you’re also saying on the margin front you are saying you’re moving towards more premium products and looking for the non paddy and segment that will drive growth. What type of margin profile on a overall on yearly basis how we are looking at.
Satish Kagliwal
Like I said before, I’m repeating it for you. We expect a margin of around our average Contribution margin is around 50, 52. It has been increasing. Last year it was 52, 53, 54. This year we had an exceptional jump because of hybrid paddy. If that continues, thank God. No issues in that. But we expect it to maintain between 52 to 54% for over at least next year. Then we will see about the balance subsequently.
Harshul Mehta
Now can you see about the EBITDA and PBT margins? Not contribution, EBITDA and beauty margin.
Satish Kagliwal
Okay, give me a second please. Let me see what is.
Harshul Mehta
Okay, okay.
Satish Kagliwal
Okay. Okay.
Unidentified Participant
EBITDA is around 15.54.
Satish Kagliwal
There was a time when we used to touch 20. Let’s try and reach that target. Net profit again is around 11.24%. We were there on 13, 14%. So let us say the aim should be to increase about 2 to 3 basis points on both these issues.
Harshul Mehta
2 to 3 basis points of percentage point. Okay, thank you.
operator
The next question is from the line of Priyanka Nambodri from Sequin Investments. Please go ahead.
Unidentified Participant
Hi sir. Am I audible?
Satish Kagliwal
Yes ma’am.
operator
Yes ma’am.
Unidentified Participant
Yes sir. So I just wanted to know how much are we exporting? How much is export contributing to the revenue?
Satish Kagliwal
Madam, it is. It is chicken feed. It is only around 4.5cr last year and with the top line of 363 it doesn’t work into any percentage. Until Uzbekistan happens two years down the line or Philippine crops up. Our normal exports to other countries are going to be on a low key only. There is a basic reason behind that. We can only sell our crops to the areas which are agroclimatically same as India. So that means you go to Pakistan, it is knocked off. You go to Oman. Some new stuff at Sudan which again got knocked off.
So regular exports are always like 5 to 6 crores only. It may go up to 10 cr. That’s it. Which will not making a dent on my top line. But yes, if they can come through two years down the line we’ll be able to give you the conduct.
Unidentified Participant
All right. Right sir, I understand. Also I had a second question. I wanted to understand what your mode of operations. What is the difference in your mode of operations in Philippines and Uzbekistan and what are some expected revenue or margins in the next two, three years?
Satish Kagliwal
I think that is the correct question for Dr.
Harshul Mehta
In Uzbekistan we are into a JD we are there a full fledged company with COO production head sales, sales and marketing and scientists there In Philippines we have got approval for our BT quartile. Normally in Philippines all the teams have subsidized. So now we are trying to go through that route. We are trying to speak to Filfida and bring our hybrids into a government procurement mode. This is actually a people management project and we are doing it actually very nicely in Uzbekistan. North Bayazin as a brand it is present as a company, as a satellite company of North Bison India Ltd.
Unidentified Participant
All right, so are you expecting greater margins from Philippines or Uzbekistan?
Harshul Mehta
First is low hanging fruit is Uzbekistan and probably next year you might find a good result from that place.
Unidentified Participant
All right. Okay, that’s all.
Harshul Mehta
Thank you. Thank you.
operator
The next question is from the line of Anurag Jain, an individual investor. Please go ahead.
Unidentified Participant
Good evening sir.
Amol Gupta
My question is at the industry level.
Unidentified Participant
For your main segments like cotton, bajra.
Satish Kagliwal
And maize and wheat as well.
Unidentified Participant
What is the outlook for the industry.
Satish Kagliwal
This year in terms of volume growth.
Unidentified Participant
And in terms of price realization? Okay, so crop by crop we will talk bazaar. Definitely the kind of, you know, interest government of India has shown, definitely it will go up. When it comes to cotton. Cotton acreages never goes down by 7%, never increase more than 5%. So the possibility is almost in between on 5 to 10% all the things when it comes to corn. Yes, definitely because of government focus on so many other things going up last three to four years core matrix has gone up by around 35 to 36%. Right. Overall. Right. And when it comes to paddy, definitely paddy because of good range in last 3, 4 years everywhere Paddy exes has.
So there is a good, you know, future for all four type drops which we are dealing. That is in terms of volume growth.
Amol Gupta
And how do you see the price realizations for the effort at the industry level for these fields?
Unidentified Participant
Do you see that there is scope.
Amol Gupta
For growth and price realizations this year.
Unidentified Participant
When it comes to cotton? Cotton is completely under government control. Nobody, no company can decide the MRP and everything. Right. This is under completely control 901 and about other God. Definitely when the products are performing outstandingly, right. The profit of margin goes up for all the companies. So the product which we are dealing, either it is supercruptized or Dara gold or double 1, double 3, dominator gold or 5, 6 product we are selling at premium price. And definitely the premium will remain same in future also.
Unidentified Participant
I just like to add for the industry, the outlook for cotton is naturally because there is an increase in cotton MRP by the government by 37 rupees per packet this year. So normally that much increase should be possible. At least a part of that should be possible to be retained by the crop company. Number two is other crops. Other crops. There will definitely be a little bit of increase in the prices realization. Because the commodity prices are going up. If you look at maize, if you look at Bagra, if you look at paddy also going up, that also has a reflection on the seed prices.
So I expect a little bit of increase in the prices. All right.
Unidentified Participant
Thank you.
operator
Thank you. The next question is a follow up question. It’s from the line of Aditya Sen from Robo Capital. Please go ahead.
Harshul Mehta
Yeah, I got my answer. Thank you.
Unidentified Participant
Okay. Okay.
operator
Thank you. The next question is from the line of Rajiv Tabani from SKD Consulting. Please go ahead.
Rajiv Damani
Namaste sir. Am I audible?
Unidentified Participant
Yeah.
Satish Kagliwal
Yes please.
Rajiv Damani
Congratulations on very excellent set of numbers. And really appreciate and pay respect to the founders and the current management of the company which is really contributing to the agricultural growth of the country by providing very good quality seed. So I would start with that. And now I will come to certain financial questions. Can I?
Satish Kagliwal
Of course you can.
Deepesh Sancheti
Brother.
Rajiv Damani
What is the nature of other income in our P and L? Can I know?
Satish Kagliwal
You would know because the full balance sheet is not yet out. It is what approved yesterday. Give me a second. I will answer your question. Don’t worry on that. And other income was around 472 cr. Right out of that you see if we give money on interest, we get the interest back. So basically Is interest only 82 lakhs go to foreign exchange gain 358 is for interest received on lending and balance is balance. Okay.
Rajiv Damani
Thank you sir.
Unidentified Participant
Thank you.
Rajiv Damani
I got the answer. No problem. Now coming to sir. One Food park was proposed by the group. Whether this is part of NAS Biogene or Agritech is your another company. So what is the development on the.
Satish Kagliwal
Food park that was proposed by patron Mega food Park Private Limited. Our venture by NAAB Group duly supported by us and Agritech. And this is a project over almost 100 acres of land. One of the only projects approved by the Ministry of Food Processing for Marathwada. So it is a star project in Marathon point number one. Secondly, the loan was made by contribution from the group Then. Sorry, the project was made by contribution from the group. Bank term loan of Run 43 CRS and subsidy by the government. I am happy to announce that this 43cr is almost nil as of date.
So the food park has become self sufficient. It is definitely not part of Biogene. It is also not part of Agritech. As of now it is an independent entity. But the equity is being held by Biogene, by Agritech and another of micro companies on agriculture part.
Unidentified Participant
Right sir.
Rajiv Damani
So now will we be selling the plots there or we are going.
Satish Kagliwal
It has already been. It is already commenced. Unluckily the food park was inaugurated just ahead of the COVID period. So for three years everything went for a toss. But now almost about 40% of plots have been either earmarked for sale or sold. And the balance will be out by over next two years.
Rajiv Damani
So our company also will be be utilizing some part of this food part that is mass biogene will be utilizing some of the plots.
Satish Kagliwal
Definitely. Definitely.
Unidentified Participant
Yes.
Satish Kagliwal
Definitely. Yes. If you people have some time to come out to Aurangabad. Our entire processing plant is in the same facility. We have taken up another two plots because we need to expand the way things are growing. I need the separate processing plant for vegetables and for PNs. So we are definitely also having our foot in the Food park. But then that has been actually paid for directly not as part of my kudi. Okay, got it.
Rajiv Damani
Sir, we purchased it. I mean the company owns it under plant machinery and equipment. That is 243 crore there in the balance sheet.
Amol Gupta
So out of 243 crore lot of.
Rajiv Damani
Land must be there because we have to.
Satish Kagliwal
Sir, land does not form part of plant and machinery. It is in the part of land and otherwise. Yes, our plant and machinery is there and we are doing our entire processing for last almost about four, five years now in that one. It’s a beautiful one.
Rajiv Damani
More small question. Out of the 330 crore inventory that we are showing as closing inventory as on 31 March. These are largely seeds only or some sort of other items are also there as inventory.
Satish Kagliwal
All seed items are 11.89 cr only.
Unidentified Participant
Okay.
Satish Kagliwal
And most of it is cotton seeds.
Unidentified Participant
Cotton seeds only.
Rajiv Damani
Sir.
Unidentified Participant
Really looking forward to a wonderful year.
Rajiv Damani
Because you have already said that 60 to 70% more this year. You are going to sell. So I really look forward to some extraordinary performance in the current year.
Satish Kagliwal
So are we. So are we. So are we.
Rajiv Damani
Thank you, sir.
Unidentified Participant
Thank you.
operator
Thank you. A reminder to all participants that you may press star and one to ask a question. Ladies and gentlemen, if you wish to ask a question, you may press star and one at this time.
Satish Kagliwal
I think we answered all.
operator
Yes, sir. There’s one more question. It’s from the line of Sanjeev Damani from SKD Consulting. Please go ahead.
Rajiv Damani
Thank you sir for the opportunity given. Again. So sir, as you said that you are also looking forward to something interesting coming up. I had a very small question because I tracked certain ethanol companies also. So the rice, there can be certain changes in our rice seeds to yield more for ethanol from the rice rather than making it a sweet or, you know, flavored rice. I mean, are we planning any such thing where yield can be higher and that such rice or such maize can be used for ethanol? Are we, Are we really looking at.
Satish Kagliwal
Okay, research question, Dr. Please.
Harshul Mehta
We are actually. See, excess stock or excess bad stock which is available at the StockX normally goes to economic. We are breeding for high yielding rice which is for consumption and public distribution. In addition to that there is a starch component which has to be measured for ethanol purposes. However, either in maize or in rice. This kind of activity we are not doing. Not simply us, a lot of people are not doing just because any starch or any rice or any will be available for the ethanol purpose. Ethanol extraction.
operator
Thank you ladies and gentlemen. That was the last question for today’s conference call. I would like to hand the conference over to the management for closing comments.
Satish Kagliwal
Okay. Dr. Purana, again, thank you very much all of you for being there. I’m actually extremely grateful. Over last few years the questions asked are very forward looking and we get enamored and we also get, you know, motivated to continue to perform better. We just laid ourselves a few targets trying to reach 500 over next two years and then trying to get 1000 growth drivers. Also we discussed, let me tell you sir, our company is here with Pan India Pan product present. And in that we will try and achieve all our targets and I’m sure that your support will continue to guide us further.
Thanks for being here and thank you very much.
operator
Thank you on behalf of Go India Advisors. That concludes this conference. Thank you for joining us and you may now disconnect your lines. Thank you.
Unidentified Participant
Thank you.