In Q1 FY24, Godrej Agrovet experienced growth in various segments of its business. In the animal feed category, the company gained market share in cattle-feed, resulting in a 19% increase in volumes compared to the previous year.

The vegetable oil segment saw continued volume growth in fresh fruit bunch (FFB) arrivals, but lower crude palm oil prices and a slight decline in oil extraction ratio affected the overall performance. The company signed agreements with the State Governments of Odisha and Telangana to develop and expand oil palm cultivation.

The standalone crop protection segment achieved record revenue and margin performance due to strong volume growth and higher realizations in herbicides.

Astec LifeSciences faced challenges in its enterprise products portfolio, leading to a decline in revenue and profitability.

The dairy business turned EBITDA positive, driven by margin growth and sustained volume growth in value-added products.

Godrej Tyson Foods performed well across categories, with growth in branded business and improved profitability.

ACI Godrej Agrovet in Bangladesh saw a 15% revenue growth driven by higher realizations.

Commenting on the performance, B. S. Yadav, managing director, Godrej Agrovet, said, the company had a strong start to FY24. It achieved 21% YoY growth and recorded a pre-tax profit of Rs 124.5 crore in Q1. This growth was driven by the excellent performance of the domestic Crop Protection, Animal Feed, and Poultry businesses. Crop Protection saw a significant improvement with a 224% increase in profitability, thanks to volume growth and improved realizations of HITWEED herbicide. Feed business had sustained volume growth in cattle-feed and aqua feed, along with margin recovery. Food businesses maintained volume growth and achieved margin expansion. Poultry segment saw a 15% YoY increase in revenues from branded products, supported by higher volumes and operational efficiencies. Astec LifeSciences and Vegetable Oil businesses faced challenges. Astec's profitability declined due to demand-supply imbalance and lower volumes and realizations of key products. Vegetable Oil business suffered from price correction, offsetting higher volumes. Godrej Agrovet commissioned its first downstream project in the Vegetable Oil business, an edible oil refinery in Andhra Pradesh with a capacity of 400 MT per day.

Godrej Agrovet is an agri-business company in India that focuses on research and development to improve the productivity of Indian farmers. It offers a range of products and services to increase crop and livestock yields sustainably. The company is a leader in various sectors, including animal feed, crop protection, oil palm, dairy, poultry, and processed foods.