scorecardresearchRallis India slumps over 6% after Q3 net profit falls 43%

Rallis India slumps over 6% after Q3 net profit falls 43%

Updated: 19 Jan 2023, 11:09 AM IST
TL;DR.
  • The stock price fell 18.0 percent and underperformed its sector by 11.9 percent in the past year.
Rallis India down over 6% following weak Q3FY23 results

Rallis India down over 6% following weak Q3FY23 results

Shares of Rallis India Ltd slumped over 6 percent on Thursday after the company reported weak Q3FY23 (October-December) earnings.

The stock recorded a low of 228.80 and a high of 236.35 in today's trading session. At 10:27 IST, the stock was down over 4 percent.

The Tata Group company's net profit for the quarter ended December fell 43 percent on year to 22.6 crore from 39.6 crore. While, the revenue for October-December was just up by 0.3 percent on year to 630.9 crore from 628.1 crore.

"Our Q3 revenues witnessed 0.3% growth over last year. This has been in the backdrop of erratic rainfall in the domestic market and headwinds in international business. During the quarter, our domestic crop protection business grew by 7.7%, crop nutrition business by 22%," said Sanjiv Lal, Managing Director and CEO of the company.

The crop care segment grew 1 percent on year to 606 crore while seeds segment de-grew 14 percent on year to 24 crore. Exports declined 6.5 percent, primarily due to inventory build-up at the customer end.

The stock price fell 18.0 percent and underperformed its sector by 11.9 percent in the past year.

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Rallis India one-year stock performance

According to analysts, the opening of the stock was seen with a huge gap-down and post gap-down, prices were trying to bounce back. However, the stock remains under pressure at higher levels with strong resistance seen around 242 level, and support is at 225 level.

According to Mintgenie poll, 14 analysts on average recommended ‘buy’ rating on the stock.

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Commodity prices and stock market
First Published: 19 Jan 2023, 11:09 AM IST