UPL Limited
UPL is principally engaged in the business of agrochemicals, industrial chemicals, chemical intermediates, speciality chemicals and production and sale of field crops and vegetable seeds. UPL is a leading provider of agricultural solutions and services, with 14,000+ product registrations, a presence in ~140 countries, access to 90% of the world’s food basket.
Products
The products include Crop Protection Chemicals like Insecticides, Fungicides, Herbicides etc. also Seeds, Biosolutions. It is a 5th largest Agrochemical company globally with 43 manufacturing facilities across the globe.
Speciality Chemicals
Company through its subsidiary UPL Speciality Chemicals, supplies high-quality agro chemical active ingredients and specialty chemicals to the UPL Group companies and 600+ other external B2B clients.
Shareholding Pattern
- Promoters
- Public
Financial Summary
| Particulars | March 2024 | March 2023 | March 2022 |
| Sales | 43,098 | 53,576 | 46,240 |
| Sales Growth % | -19.56% | 15.87% | 19.50% |
| Operating Profit | 4,297 | 10,196 | 9,529 |
| OPM % | 10% | 19% | 21% |
| Profit before tax | -2,087 | 5,150 | 4,966 |
| YOY Growth | 86% | -38% | – |
| EPS in Rs | -15.99 | 47.56 | 47.46 |
Synopsis of Financials
- Sales has increased due to increase in sale of agri products.
- Moreover, Revnue has increased from export incentives.
- Majorly Profit of the company is increased dur to increase in royalty income.
Final Outlook
UPL Ltd. is a leading agrochemical company focused on strengthening its financial position. The company is facing challenges such as a low interest coverage ratio. It announced a right issue of up to Rs 4200 Cr in December 2023 to reduce debt. UPL expects improved performance in the next two quarters and anticipates normalized business performance from the second quarter of fiscal 2025. With a healthy dividend payout of 22.9% and a median sales growth of 16.1% over the last 10 years, UPL has shown its ability to generate consistent revenue and growth in EBITDA. Additionally,UPL SAS has outperformed the broader market with a remarkable revenue CAGR of 18% over the past four years. UPL’s strategic initiatives, including debt reduction, position it as a strong long-term investment option and one of the largest agrochemical players globally. Focus on profitable business and improving working capital.Growth focus on platforms such as Advanta, Specialty Chemicals, India Crop Protection, and UPL Corporation. So there is a buyin reccomedation on it.
UPL-Limited