This article first appeared on GuruFocus .
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Revenue:INR12,269 crore, 12% growth year-on-year.
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Volume Growth:8% increase, supported by exchange impact.
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Latin America Revenue Growth:6% increase, driven by herbicides and corn in Argentina.
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North America Revenue Growth:3% increase, despite tariff-related uncertainties.
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Europe Revenue Growth:21% increase, driven by herbicide volumes and NPP Biosolutions.
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India Revenue Growth:4% increase, supported by seed and crop protection segments.
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Rest of World Revenue Growth:32% increase, driven by crop protection in Africa and China.
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UPL Corp Revenue Growth:8% increase, with a 200 basis point contribution margin expansion.
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Advanta Revenue Growth:22% increase, with a 14% volume expansion in seeds.
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SUPERFORM Revenue Decline:11% decrease, due to phasing-related shifts and lower input costs.
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Contribution Margin:Expanded to 43%, a 160 basis point improvement.
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EBITDA:INR2,434 crore, 13% growth year-on-year.
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Profit Before Tax (PBT):INR671 crore, 90% increase year-on-year.
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Net Debt:INR23,317 crore, reduced by INR2,553 crore year-on-year.
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Net Debt to EBITDA Ratio:Improved from 3.8x to 2.5x.
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Net Debt to Equity Ratio:Improved from 0.8x to 0.6x.
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Free Cash Flow to Equity:Approximately INR2,400 crore, adjusted for working capital changes.
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Release Date: February 02, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
Positive Points
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UPL Ltd ( LSE:UPLL ) delivered a record quarter with a 12% revenue growth, driven by an 8% increase in volumes.
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The company reported a strong EBITDA growth of 13%, maintaining impressive margins.
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UPL Ltd's Advanta seeds business achieved a robust 22% growth, fueled by volume expansion.
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The company's ESG rating improved, ranking number one among global agricultural solutions companies with a DJSI score of 77.
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UPL Ltd successfully reduced net debt by INR2,553 crore, improving key gearing ratios significantly.
Negative Points
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The crop production value chain remains under pressure from geopolitical uncertainties and pricing pressures.
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The company's insecticides portfolio in Brazil faced intense competition, resulting in price erosion.
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Higher expected credit loss provisioning impacted results due to liquidity stress on retailers and distributors.
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The SUPERFORM platform saw an 11% decline in revenue due to phasing-related shifts and lower input costs.
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Tariff-related uncertainties in North America led to postponed sales and potential impacts on Q4 results.
Q & A Highlights
Q: What are UPL's top-line growth expectations for the year, and how do you foresee the performance in Q4, especially in Europe and the Rest of the World? A: Michael Frank, CEO of UPL Global Crop Protection : We anticipate growth in all regions for Q4, driven by strong momentum and supply chain readiness. We maintain our guidance, focusing on bottom-line and cash generation. The US market, affected by tariff uncertainties, is expected to see better growth in Q4 as postponed sales from Q3 are realized.
Q: How is the pricing environment for UPL Corp and SUPERFORM, and is there an increase in external procurement? A: Raj Tiwari, CEO of Specialty Chemicals : The revenue decline in SUPERFORM is due to cost corrections and product discontinuations. Pricing remains stable in the post-patent segment, but there are headwinds in differentiated products like Sperto in Brazil. Overall, Q4 is expected to be volume-driven.
Q: What is the rationale behind the Advanta IPO, and how does it create value for shareholders? A: Bikash Prasad, CFO : The IPO aims to deleverage the group and provide value unlock for KKR. Advanta's cash surplus and strategic growth plans support this move. The IPO will help in restructuring and aligning capital allocation needs between crop protection and seeds businesses.
Q: Can you provide an update on UPL's major debt maturities for 2026 and the funding plans? A: Bikash Prasad, CFO : We have a $500 million maturity in March, covered by our cash balance and unutilized lines. We expect $700-800 million cash release in Q4. The next maturity is $400 million in September, which will be funded through operational cash and available lines.
Q: How will the India-EU trade deal impact UPL's European operations? A: Michael Frank, CEO of UPL Global Crop Protection : The trade deal is not expected to have a material impact. While there may be minor benefits due to our manufacturing footprint in Europe, the overall effect will be non-material.
For the complete transcript of the earnings call, please refer to the full earnings call transcript .
