Q3FY22 results: Sharda Cropchem outshines; reports record-breaking numbers

Sharda Cropchem seems to be immune from the sharp sell-off witnessed in the Indian benchmark indices. In fact, the stock registered a fresh 52-week high on Monday on the back of blockbuster Q3 numbers.   

Revenue for the company has jumped 78.2 per cent YoY to Rs 879.8 crore in Q3FY22, led by strong volume growth across geographies as well as better product mix & price realisation. Agrochemicals revenue during Q3FY22 jumped 79.8 per cent YoY while non-agrochemicals revenue during Q3FY22 surged 70.9 per cent YoY. Agrochemicals and non-agrochemical mix stood at 82:18 in Q3FY22 as against 81:19 in Q3FY21.   

The net profit in Q3FY22 was more-than-doubled to Rs 102.2 crore while PAT margin expanded 184 bps YoY to 11.6 per cent in Q3FY22, mainly due to lower effective tax rates (24.7 in Q3FY22 vs 37.8 per cent in Q3FY21).   

EBITDA margin expanded 220 bps YoY to 22.8 per cent in Q3FY22. The company is focussing on operational efficiencies, continual investment in product registrations, expansion & strength distribution presence, and forward integration.   

The stock has gained more than 20 per cent on an MTD basis.