Fertilizers & Agrochemicals
Valuation | |
|---|---|
| Market Cap | 20.96 kCr |
| Price/Earnings (Trailing) | 39.44 |
| Price/Sales (Trailing) | 6.2 |
| EV/EBITDA | 26.64 |
| Price/Free Cashflow | 60.85 |
| MarketCap/EBT | 29.4 |
| Enterprise Value | 20.94 kCr |
Fundamentals | |
|---|---|
Growth & Returns | |
|---|---|
| Price Change 1W | 3.2% |
| Price Change 1M | -11.3% |
| Price Change 6M | -27.2% |
| Price Change 1Y | -19.8% |
| 3Y Cumulative Return | -1.1% |
| 5Y Cumulative Return | 5.7% |
Cash Flow & Liquidity | |
|---|---|
| Cash Flow from Investing (TTM) |
| Revenue (TTM) |
| 3.38 kCr |
| Rev. Growth (Yr) | -10.1% |
| Earnings (TTM) | 531.44 Cr |
| Earnings Growth (Yr) | -13.3% |
Profitability | |
|---|---|
| Operating Margin | 22% |
| EBT Margin | 21% |
| Return on Equity | 16.6% |
| Return on Assets | 11.97% |
| Free Cashflow Yield | 1.64% |
| -392.06 Cr |
| Cash Flow from Operations (TTM) | 452.73 Cr |
| Cash Flow from Financing (TTM) | -69.08 Cr |
| Cash & Equivalents | 40.88 Cr |
| Free Cash Flow (TTM) | 423.28 Cr |
| Free Cash Flow/Share (TTM) | 8.48 |
Balance Sheet | |
|---|---|
| Total Assets | 4.44 kCr |
| Total Liabilities | 1.24 kCr |
| Shareholder Equity | 3.2 kCr |
| Current Assets | 3.54 kCr |
| Current Liabilities | 1.14 kCr |
| Net PPE | 408.59 Cr |
| Inventory | 613.34 Cr |
| Goodwill | 60.44 Cr |
Capital Structure & Leverage | |
|---|---|
| Debt Ratio | 0.00 |
| Debt/Equity | 0.01 |
| Interest Coverage | 93.12 |
| Interest/Cashflow Ops | 72.52 |
Dividend & Shareholder Returns | |
|---|---|
| Dividend/Share (TTM) | 1.2 |
| Dividend Yield | 0.29% |
| Shares Dilution (1Y) | 0.00% |
| Shares Dilution (3Y) | 0.00% |
Profitability: Very strong Profitability. One year profit margin are 16%.
Balance Sheet: Strong Balance Sheet.
Technicals: Bullish SharesGuru indicator.
Smart Money: Smart money has been increasing their position in the stock.
Size: Market Cap wise it is among the top 20% companies of india.
Buy Backs: Company has bought back it's stock in the past which is a good thing.
Past Returns: Underperforming stock! In past three years, the stock has provided -1.1% return compared to 12.8% by NIFTY 50.
Profitability: Very strong Profitability. One year profit margin are 16%.
Balance Sheet: Strong Balance Sheet.
Technicals: Bullish SharesGuru indicator.
Smart Money: Smart money has been increasing their position in the stock.
Size: Market Cap wise it is among the top 20% companies of india.
Buy Backs: Company has bought back it's stock in the past which is a good thing.
Past Returns: Underperforming stock! In past three years, the stock has provided -1.1% return compared to 12.8% by NIFTY 50.
Investor Care | |
|---|---|
| Dividend Yield | 0.29% |
| Dividend/Share (TTM) | 1.2 |
| Shares Dilution (1Y) | 0.00% |
| Earnings/Share (TTM) | 10.65 |
Financial Health | |
|---|---|
| Current Ratio | 3.12 |
| Debt/Equity | 0.01 |
Technical Indicators | |
|---|---|
| RSI (14d) | 49.32 |
| RSI (5d) | 100 |
| RSI (21d) | 34.24 |
| MACD Signal | Buy |
| Stochastic Oscillator Signal | Hold |
| SharesGuru Signal | Buy |
| RSI Signal | Hold |
| RSI5 Signal | Sell |
| RSI21 Signal | Hold |
| SMA 5 Signal | Buy |
| SMA 10 Signal |
Summary of SUMITOMO CHEMICAL INDIA's latest earnings call, featuring management's outlook on business performance, financial results, and analyst Q&A sessions that highlight key strategic initiatives and market challenges.
The management of Sumitomo Chemical India Limited provided a cautiously optimistic outlook for FY25, emphasizing recovery in the agrochemical sector driven by favorable monsoon forecasts and strategic initiatives. Key points include:
Market Recovery: Expect normalization in demand due to improved weather (IMD predicts above-normal rainfall) and stabilization in global agrochemical markets, including LatAm.
Operational Focus: Aim to recover lost FY24 revenue through volume growth (vs. price-led recovery) and demand generation for new products. Margins are expected to remain stable due to procurement efficiencies, cost controls, and disciplined pricing.
New Products: Launched 6 new products (3 herbicides, 1 insecticide, 2 fungicides) in FY24, with plans to scale sales. Additional 3"“4 proprietary products targeting Kharif/Rabi seasons are in the pipeline.
Manufacturing Expansion: Two "Make in India" projects (Bhavnagar, Tarapur) started commercialization; ramp-up expected in FY25. Dahej plant awaits environmental clearance (target: end-2024) for future proprietary products.
Exports: Global recovery slower but progressing; Bhavnagar plant to operate at full capacity (exports), while Tarapur's utilization delayed to FY26 due to global inventory adjustments.
Cost Discipline: Maintained gross margins (41.7% in Q4) via liquidation of high-cost inventory and procurement strategies. Working capital days reduced by 33 through inventory/collection efficiency.
Sustainability & Diversification: Expanding renewable energy adoption and exploring non-agro segments (e.g., IT chemicals, seeds) via parent company collaborations.
Capex: INR 250"“300 crore planned for new projects, funded internally.
The management remains confident in India's growth potential and long-term leadership in agrochemicals, balancing near-term challenges with strategic investments.
Understand SUMITOMO CHEMICAL INDIA ownership landscape with insights into key distribution patterns, offering investors a clear view of stakeholder dynamics.
| Shareholder Name | Holding % |
|---|---|
| Sumitomo Chemical Co. Ltd. | 75% |
| Aditya Birla Sun Life Trustee Private Limited A/C Aditya Birla Sun Life Flexi Cap Fund | 1.61% |
| Hsbc Mutual Fund - Hsbc Small Cap Fund | 1.09% |
| Sumitomo Pharma Taiwan Co., Ltd. | 0% |
| Taoka Chemical India Private Limited | 0% |
| Taoka Chemical Singapore Private Limited | 0% |
Detailed comparison of SUMITOMO CHEMICAL INDIA against industry peers, highlighting key financial metrics, valuation ratios, and performance indicators to provide competitive context within the sector.
Ticker | Name | Mkt Cap | Revenue | Price %, 1M | Returns, 1Y | P/E | P/S | Rev 1-Yr | Inc 1-Yr |
|---|---|---|---|---|---|---|---|---|---|
| SRF | SRF | 86.15 kCr | 15.6 kCr | -4.80% | -1.80% | 48.41 | 5.52 | - | - |
| COROMANDEL | Coromandel International | 66.35 kCr | 30.87 kCr |
Comprehensive comparison against sector averages
SUMICHEM metrics compared to Fertilizers
| Category | SUMICHEM | Fertilizers |
|---|---|---|
| PE | 40.26 | 30.36 |
| PS | 6.33 | 2.14 |
| Growth | 3.7 % | 9.3 % |
Sumitomo Chemical India Limited engages in the manufacture and sale of household and public health insecticides, agricultural pesticides, and animal nutrition products in India and internationally. It also offers crop protection products, such as insecticides, herbicides, fungicides, and miticides; animal nutrition and plant growth regulators; fumigants and rodenticides; weedicides; and biological products. The company exports its products. Sumitomo Chemical India Limited was incorporated in 2000 and is headquartered in Mumbai, India. The company is a subsidiary of Sumitomo Chemical Company Limited.
This is an informational page just to provide a quick 'first look' at the stock. You must do your own deeper research. Know your risk appetite. Consult a SEBI-registered financial advisor before making any investment decisions.
| Buy |
| SMA 20 Signal | Buy |
| SMA 50 Signal | Sell |
| SMA 100 Signal | Sell |
SUMICHEM vs Fertilizers (2021 - 2026)
Major Questions and Answers from Sumitomo Chemical India Limited Q4 and FY24 Earnings Call
Question: What guidance can be provided for FY25? Will the company surpass its past peak performance?
Answer: The focus is on increasing product volumes rather than revenue targets due to significant price declines (25"“30% in generics). Recovery depends on monsoon conditions and demand normalization. Gross margins are expected to remain stable barring geopolitical disruptions.
Question: What is Barrix's performance, and what were its FY24 numbers?
Answer: Barrix, acquired in December 2023, contributed ~INR 10"“12 crore in FY24. Growth is expected in FY25 as its eco-friendly pest-control products gain traction.
Question: What drove the sharp Q4 gross margin expansion (41.7%)?
Answer: Improved product mix, liquidation of high-cost inventory by August 2023, procurement of cheaper raw materials, and disciplined cost controls. Margins are sustainable if input prices remain stable.
Question: How are global agrochemical demand and exports performing?
Answer: Domestic recovery is prioritized due to IMD's above-normal monsoon forecast. LatAm markets face weather-related challenges, but stabilization is expected. Exports (20% of revenue) face pricing pressure but show gradual recovery.
Question: Update on capex projects (Bhavnagar, Tarapur, Dahej) and revenue potential.
Answer:
Question: Why the delay in new molecule approvals from the parent company?
Answer: Sumitomo Japan is cautious about commoditization risks post-COVID. India remains a strategic manufacturing hub, with proprietary, high-margin products prioritized for Dahej.
Question: Plans to diversify into non-agrochemical segments (e.g., electronics)?
Answer: Preliminary discussions with SCC Japan about IT chemicals and seeds. Skill development and partnerships are under evaluation, but no immediate commitments.
Question: Sustainability of Q4 gross margins (41.7%) in FY25?
Answer: Margins reflect normalized operations post high-cost inventory liquidation. Stability depends on stable input prices and monsoon-driven demand.
Question: Volume vs. price decline breakdown in FY24.
Answer: Domestic generics saw 8"“9% volume decline and 25"“30% price erosion. Specialty products had minimal price drops (~2%) but 8"“9% volume decline.
Question: New product launches and contributions in FY25.
Answer: Three 9(3) proprietary products launched in FY24 (herbicides, insecticides, fungicides). FY25 targets include 8"“10% revenue contribution from new launches, pending regulatory approvals.
Question: Working capital outlook after FY24 improvements.
Answer: Inventory/receivable days reduced by 33 days in FY24. FY25 may see slight loosening to support volume growth but discipline will remain.
Question: Update on renewable energy adoption.
Answer: Targeting 100% green power by FY25-end via solar installations, saving ~INR 4/unit. Capex of ~INR 25 crore allocated.
| Taoka Advanced Materials (Shanghai) Co., Ltd. | 0% |
| Sumitomo Pharma Trading (Suzhou) Co., Ltd. | 0% |
| The Polyolefin Company (Singapore) Pte. Ltd. | 0% |
| Botanical Resources Australia Pty Ltd. (BRA Group) | 0% |
| Sumitomo Chemical Australia Pty. Ltd. | 0% |
| McLaughlin Gormley King Company | 0% |
| Mycorrhizal Applications, LLC | 0% |
| Sumika Polymers North America LLC | 0% |
| Sumitomo Chemical Advanced Technologies LLC | 0% |
| Sumitomo Chemical America, Inc. | 0% |
| Sumitomo Pharma America, Inc. | 0% |
| Sumitomo Pharma Canada, Inc. | 0% |
| Valent BioSciences LLC | 0% |
| Valent Canada Inc. | 0% |
Distribution across major stakeholders
Distribution across major institutional holders
| -2.80% |
| +19.40% |
| 27.65 |
| 2.15 |
| - |
| - |
| UPL | UPL | 63.13 kCr | 49.67 kCr | -6.50% | +15.80% | 35.81 | 1.27 | - | - |
| PIIND | PI Industries | 47.67 kCr | 7.78 kCr | -4.10% | -12.60% | 31.52 | 6.13 | - | - |
| BAYERCROP | Bayer CropScience | 19.83 kCr | 6.24 kCr | -1.10% | -11.50% | 24.17 | 3.18 | - | - |
| 487 |
| 731 |
| 855 |
| 578 |
| 557 |
| 760 |
| Profit Before exceptional items and Tax | -50.6% | 118 | 238 | 241 | 133 | 116 | 260 |
| Exceptional items before tax | - | -16.11 | 0 | 0 | 0 | 0 | 0 |
| Total profit before tax | -57.4% | 102 | 238 | 241 | 133 | 116 | 260 |
| Current tax | -56.9% | 26 | 59 | 62 | 31 | 28 | 66 |
| Deferred tax | -1385.7% | -0.04 | 0.93 | 0.39 | 2.43 | 0.83 | 0.92 |
| Total tax | -57.6% | 26 | 60 | 62 | 33 | 29 | 67 |
| Total profit (loss) for period | -57.6% | 76 | 178 | 178 | 100 | 87 | 193 |
| Other comp. income net of taxes | 962.5% | 5.25 | 1.4 | -1.34 | 0.04 | 1.11 | -2.51 |
| Total Comprehensive Income | -55.1% | 81 | 179 | 177 | 100 | 89 | 190 |
| Earnings Per Share, Basic | -79.7% | 1.52 | 3.56 | 3.57 | 2 | 1.74 | 3.85 |
| Earnings Per Share, Diluted | -139.1% | 0 | 3.56 | 0 | 2 | 0 | 0 |
| 8.9% |
| 246 |
| 226 |
| 217 |
| 201 |
| 193 |
| 178 |
| Finance costs | 2.7% | 4.87 | 4.77 | 5.39 | 6.16 | 5.56 | 5.51 |
| Depreciation and Amortization | 3.3% | 63 | 61 | 52 | 45 | 47 | 41 |
| Other expenses | 5.3% | 380 | 361 | 356 | 354 | 309 | 305 |
| Total Expenses | 4.6% | 2,536 | 2,425 | 2,901 | 2,514 | 2,208 | 2,136 |
| Profit Before exceptional items and Tax | 34.1% | 674 | 503 | 655 | 586 | 453 | 298 |
| Exceptional items before tax | - | 0 | 0 | 0 | 0 | 0 | -30.89 |
| Total profit before tax | 34.1% | 674 | 503 | 655 | 586 | 453 | 267 |
| Current tax | 36.9% | 168 | 123 | 167 | 143 | 102 | 75 |
| Deferred tax | -74.5% | 3.55 | 11 | 0.42 | 8.87 | 6.13 | -13.66 |
| Total tax | 28.6% | 172 | 134 | 168 | 152 | 108 | 62 |
| Total profit (loss) for period | 35.8% | 502 | 370 | 488 | 434 | 345 | 206 |
| Other comp. income net of taxes | -93% | -0.66 | 0.14 | 2.03 | 2.72 | 1.29 | -6.02 |
| Total Comprehensive Income | 35.5% | 501 | 370 | 490 | 436 | 347 | 200 |
| Earnings Per Share, Basic | 41.3% | 10.06 | 7.41 | 10.09 | 8.69 | 6.92 | 4.12 |
| Earnings Per Share, Diluted | 41.3% | 10.06 | 7.41 | 10.09 | 8.69 | 6.92 | 4.12 |
| 55.5% |
| 14 |
| 9.36 |
| 8.51 |
| 3.97 |
| 23 |
| 53 |
| Goodwill | - | 0 | 0 | 0 | 0 | 28 | 0 |
| Non-current investments | 42.1% | 207 | 146 | 79 | 79 | 0.63 | 0.63 |
| Loans, non-current | -48.9% | 90 | 175 | 106 | 6.81 | 0.72 | 0.65 |
| Total non-current financial assets | -8.2% | 360 | 392 | 191 | 92 | 23 | 37 |
| Total non-current assets | -5.5% | 893 | 945 | 733 | 644 | 586 | 581 |
| Total assets | 12% | 4,401 | 3,930 | 3,814 | 3,287 | 3,528 | 3,369 |
| Total non-current financial liabilities | 5.9% | 91 | 86 | 16 | 15 | 16 | 54 |
| Provisions, non-current | - | 0 | 0 | 34 | 25 | 23 | 0 |
| Total non-current liabilities | 5.9% | 91 | 86 | 74 | 63 | 57 | 54 |
| Borrowings, current | 5.9% | 19 | 18 | 0 | 0 | 0 | 0 |
| Total current financial liabilities | 16.8% | 1,017 | 871 | 933 | 723 | 875 | 875 |
| Provisions, current | -49.1% | 4.87 | 8.6 | 8.35 | 9.57 | 8.24 | 6.31 |
| Current tax liabilities | 798.9% | 41 | 5.45 | 40 | 0.52 | 9.22 | 2.84 |
| Total current liabilities | 17.9% | 1,116 | 947 | 1,027 | 784 | 946 | 935 |
| Total liabilities | 16.8% | 1,206 | 1,033 | 1,102 | 847 | 1,003 | 989 |
| Equity share capital | 0% | 499 | 499 | 499 | 499 | 499 | 499 |
| Total equity | 10.3% | 3,194 | 2,897 | 2,713 | 2,440 | 2,525 | 2,380 |
| Total equity and liabilities | 12% | 4,401 | 3,930 | 3,814 | 3,287 | 3,528 | 3,369 |
| 27.3% |
| 164 |
| 129 |
| 168 |
| 143 |
| - |
| - |
| Net Cashflows From Operating Activities | -39.3% | 459 | 756 | 389 | 223 | - | - |
| Cashflows used in obtaining control of subsidiaries | -101.3% | 0 | 78 | 0 | 0 | - | - |
| Proceeds from sales of PPE | 72% | 0.86 | 0.5 | 0.35 | 1.06 | - | - |
| Purchase of property, plant and equipment | -54.2% | 28 | 60 | 120 | 114 | - | - |
| Proceeds from sales of investment property | -9.4% | 1,445 | 1,594 | 1,330 | 597 | - | - |
| Purchase of investment property | -2.1% | 1,887 | 1,928 | 1,552 | 780 | - | - |
| Purchase of intangible assets | -11.1% | 0 | 0.1 | 0 | 0 | - | - |
| Purchase of intangible assets under development | -9900% | 0 | 0.99 | 0 | 0 | - | - |
| Dividends received | -566.7% | 0 | 0.85 | 0.15 | 9.14 | - | - |
| Interest received | 40% | 64 | 46 | 14 | 5.89 | - | - |
| Net Cashflows From Investing Activities | 5.2% | -403.94 | -426 | -327.05 | -280.81 | - | - |
| Payments of lease liabilities | -15.8% | 17 | 20 | 21 | 21 | - | - |
| Dividends paid | -86.1% | 44 | 310 | 50 | 40 | - | - |
| Interest paid | 691.4% | 3.77 | 1.35 | 1.54 | 1.45 | - | - |
| Other inflows (outflows) of cash | - | -1.1 | 0 | 0 | 0 | - | - |
| Net Cashflows from Financing Activities | 79.8% | -66.21 | -331.18 | -72.54 | -62.55 | - | - |
| Net change in cash and cash eq. | -514.6% | -11.23 | -0.99 | -10.18 | -120.17 | - | - |