BWI: Dhanuka Agritech Ltd Q1 FY11-12 Net Sales at Rs. 94.23 crores, Up 17.8%

Press release from Business Wire India
Source: Dhanuka Agritech Ltd.
Tuesday, August 02, 2011 11:30 AM IST (06:00 AM GMT)
Editors: General: Consumer interest, Economy; Business: Agriculture, Banking & financial services, Business services, Chemicals, Financial Analyst, Stock exchanges
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Dhanuka Agritech Ltd Q1 FY11-12 Net Sales at Rs. 94.23 crores, Up 17.8%


New Delhi, Delhi, India, Tuesday, August 02, 2011 -- (Business Wire India) -- Dhanuka Agritech Ltd - Bombay Stock Exchange (BSE: 507717) and National Stock Exchange (NSE: DHANUKA) listed, is a leading agrochemical formulation company with presence of nearly 30 years in India with long term tie-ups with the leading agrochemical companies around the world like Nissan, DuPont, Sumitomo, Hokko among others. The company continues to grow from strength to strength. The Company achieved net sales of Rs. 94.23 crores, a growth of 17.8% over the first quarter of last year.

EBITDA for the quarter was at Rs.15.87 crores, a growth of 15.4% over the first quarter in last year.

PBT for the quarter was at Rs 13.30 crores, a growth of 19.7% over the first quarter in last year on the back of marked reduction in interest expenses.

The higher revenue growth is attributed to new capacity expansion, increased utilization and higher net realization of the company's product line.

The company achieved PAT of Rs. 10.09 crores which is a growth of 15.3% over the first quarter in last year. An aggressive marketing plan, favorable season and increased production to meet demand helped the company maintain its growth trajectory.

According to Mr. M K Dhanuka, Managing Director, Dhanuka Group "The growth registered by Dhanuka is a result of consistent efforts in achieving strong financials. Our existing channel partners have been crucial in catapulting the business growth to newer heights. With our strong expansion plans underway, we are sure to achieve a higher growth in our turnover.

We are poised for capacity expansion at our manufacturing capabilities at Sanand (Gujarat) and Udhampur (J&K) and are aiming for 25 per cent growth in the top line and about 40 per cent growth in the bottom line for 2011-12." added Mr. Dhanuka.

Dhanuka Agritech was assigned "4/5" fundamental grade by CRISIL Equities, raising it from the previous "3/5" grade with a one-year fair value of Rs 109 per share, in its July 11, 2011 report. With current retail and dealer base of almost 70,000 and 30 offices and warehouses across India, Dhanuka is among the top five Companies in India when it comes to branded sales.

Maintaining a consistent record of high growth over the years, for the Financial Year ended on March 31, 2011, Dhanuka recorded net revenue at Rs. 49,359 lakhs compared Rs.40,872 lakhs in the same period in previous fiscal, up by 21%. The Board recommended final dividend @100 % i.e. Rs.2/- per equity share of Rs.2/- each on the paid-up share capital of the Co., to be considered by share holders in forth coming AGM.

Dhanuka Agritech Limited is engaged in manufacturing of a wide range of pesticides and Bio Fertilizers. The company manufactures a large number of herbicides/weedicides, insecticides, fungicides, plant growth regulators, plant growth stimulants and foliar fertilizers, in various forms - dust, granules, EC, SC and WDG. The Company has its pesticides manufacturing units located at Gurgaon (Haryana), Sanand (Gujarat) and Udhampur (J&K).

Dhanuka has around 80 brands in their portfolio and keeps on adding new brands every year. The highest consumed product is Targa Super and its contribution to the top line is more than 20%, which can be attributed to Co's technical tie-up with Nissan Chemical Industries Ltd., Japan. The top three brands contributing to Co's revenue are: Targa Super, Caldan and Omite.

The Company has floated a 100% wholly owned subsidiary company for starting its operations in Bangladesh to do agrochemicals business in the growing market.

The Company also got approval for NSE listing and got listed on June 29th. With these, the shares of the Company are traded on both the national stock exchanges (BSE and NSE).

About Dhanuka Agritech Limited

Dhanuka Agritech Limited is in the business of Agro-Chemicals, fertilizers and Seeds. The company reaches out to more than 10 million farmers with its eco-friendly high quality crop care products. The Agri-Division has a pan-India presence through its marketing offices in all major states in India. It has manufacturing units at Gurgaon, Sanand & Udhampur. It has one of the largest distribution networks in India with over 6700 distributors/ dealers selling to over 70,000 retailers and ultimately benefitting 10 million farmers across India. "Dhanuka" is now the preferred choice of farmers.

Dhanuka Agritech has, in its 30 years of existence in the agro chemicals sector in India, laid special emphasis on eco-friendly formulations, low-dose active pesticides, integrated pest and weed management. Numerous measures taken by the company in the line of educating farmers regarding use of pesticides, directly and through its field force of 'Dhanuka Doctors'; rain water harvesting and adopting better agricultural practices, coupled with an aggressive growth strategy have contributed to the company's growth over the years.


CONTACT DETAILS
Neeraj Atri, Mavcomm Consulting, +91 9811714871
Amir Hashmi, +91 9911190972
Amit Jha, +91 9312883594

KEYWORDS
CONSUMER, ECONOMY, AGRICULTURE, BANKING, BUSINESS SERVICES, CHEMICALS, Financial Analyst, STOCK EXCHANGES

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