UPL Q3FY23 results out; Net profit rises by 16%

UPL Ltd reported 16% year-on-year (YoY) rise in consolidated net profit for the quarter ended December to INR 1,087 crore. Revenue from operations increased 21% on-year to INR 13,679 crore, and was higher than the estimated INR 13,076 crore.

The company saw continued growth momentum in the crop protection business in the quarter, along with robust growth in Advanta Seeds at 31% YoY. Growth in revenue continued to be led by marginal increase in volumes, higher realizations, and favourable exchange rate. Realisations increased 13% on year, while volumes grew a marginal 1%.

Operating profit, calculated as earnings before interest, taxes, depreciation and amortization (EBITDA), rose 14% YoY to INR 3,035 crore. However, operating margin contracted 141 basis points to 22.2%. Higher selling and administrative expenses to strengthen customer relations and build capabilities to drive differentiated and sustainable portfolio led to the marginal compression in operating margin, the company said.