UPL Q1 FY27 Results: Revenue Up 10% YoY to ₹10,181 Crore; EBITDA Up 15%

What Happened ?

UPL Limited announced its Q1 FY27 financial results, delivering revenue of ₹10,181 crore, up 10% YoY, with EBITDA growing 15% YoY to ₹1,500 crore. Contribution margin expanded 180 bps to 45.2% led by pricing action, higher capacity utilisation, and favourable portfolio mix. Net debt remained stable at $2.5 billion with improved gearing ratios. The company delivered its seventh consecutive quarter of revenue and EBITDA growth and its strongest Q1 net income in three years.

key details

• Revenue up 10% YoY to ₹10,181 crore; EBITDA up 15% YoY to ₹1,500 crore.
• Contribution margin expanded 180 bps to 45.2%; EBITDA margin up 60 bps to 14.7%.
• Broad-based revenue growth across platforms: UPL Corp (+7%), Advanta (+26%), SUPERFORM (+14%).
• Regional growth: North America (+18%), India (+15%), Latin America (+8%), Rest of World (+7%).
• Net debt stable at $2.5 billion; Net Debt/EBITDA improved to 2.4x (vs 2.6x in June 2025).
• CARE Edge upgraded UPL’s long-term rating to CARE AA+ (Stable).
• FY27 guidance: Revenue growth of 7-11%; EBITDA growth of 10-14%.
• Overall pricing up 3% YoY, supported by favourable FX.

Note:

• Net Working Capital increased due to strategic build-up of inventory and FX translation impact. The company continued to maintain net debt and improve gearing despite seasonality-led increase in working capital. UPL Corp delivered seventh consecutive quarter of EBITDA growth.

Risk Analysis

Summary:

• While the company delivered strong Q1 performance with margin expansion and improved gearing, risks include macro uncertainty, weather-related volume pressure, and currency fluctuations.

Key Risks:

• Global macro uncertainty and uneven demand environment across regions.
• Weather-related volume pressure, particularly in Europe.
• Currency fluctuations affecting revenue and profitability.
• Raw material price volatility and supply chain disruptions.
• Regulatory changes in the agriculture and crop protection sector.
• Integration of strategic initiatives and platform restructuring.

Worst Case:

• Sustained macro headwinds, adverse weather conditions, or significant currency depreciation could impact revenue growth and margin targets.

Risk Level: Medium

Company Commentary

Management highlighted that:

• “Rising global food demand continues to keep seeds, crop protection and bio-solutions at the heart of agriculture, a structural need that endures despite the current macro uncertainty.”
• “We have begun FY27 with strong momentum and high-quality, profitable growth, backed by the resilience of our integrated platforms.”
• “We continue to see significant opportunities to create value for our shareholders through the proposed single, focused global crop protection platform and the value unlocking of our seeds & post-harvest businesses.”
• “Our focus remains absolute, ‘Accelerating Profitable Growth’ as we convert this clarity into long-term value for all our stakeholders.”