Agrochemical Small-cap Company Reports Stellar Earnings for Q1FY26, PAT Grows 116% YoY to Rs 326 Million

Dharmaj Crop Guard Limited has announced its Quarterly Results for Q1FY26, reporting strong year-on-year growth across key financial metrics. The company posted revenue of Rs 3,674 million, up 44 per cent YoY, driven by robust demand in both domestic and export markets. EBITDA stood at Rs 507 million, an increase of 88 per cent YoY, while profit after tax (PAT) surged 116 per cent YoY to Rs 326 million.

According to Chairman and Managing Director Mr. Rameshbhai Talavia, the strong performance was supported by favourable market conditions, including an early and healthy start to the Kharif season and positive rainfall trends across most regions. The India Meteorological Department has forecast above-average rainfall for the remainder of the season in August and September, further supporting agricultural demand.

The company’s core formulations business achieved sales growth of 35 per cent in the branded vertical and 38 per cent in the institutional vertical. The domestic active ingredients segment recorded 62 per cent YoY growth, aided by higher capacity utilisation at the Sayakha Technical plant. Export sales, which had slowed in FY25, showed a sharp rebound during the quarter.

EBITDA margins improved to 14 per cent in Q1FY26 from 11 per cent in the same period last year, supported by a higher contribution from branded formulations and operating leverage. The active ingredients business, a recent addition to the company’s portfolio, continues to be a key margin driver. Dharmaj plans to focus on new product commercialisation, product mix optimisation, increasing captive consumption, and enhancing capacity utilisation at the Sayakha plant to strengthen profitability further.

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Dharmaj Crop Guard operates in the agrochemicals sector, manufacturing and marketing insecticides, fungicides, herbicides, plant growth regulators, and micro fertilisers. The company serves both B2C and B2B segments and recently expanded into active ingredient manufacturing with its 8,000 TPA intermediates and technicals facility at Sayakha, commissioned in Q4FY24.

With the peak agricultural quarter ahead, Dharmaj aims to capitalise on ongoing market momentum, positioning itself strongly in both formulations and active ingredients segments.

On Thursday, shares of Dharmaj Crop Guard Limited hit a 2 per cent upper circuit to Rs 333.5 per share from its previous closing of Rs 327 per share. The stock gave multibagger returns of 101 per cent from its 52-week low of Rs 165.10 per share.

Disclaimer: The article is for informational purposes only and not investment advice.