Godrej Agrovet Q1 Results Review - Animal Feed, Dairy Business Drives Operating Profit: Motilal Oswal

Motilal Oswal Report

Godrej Agrovet Ltd. reported strong operating performance (Ebit up ~22% YoY) in Q1 FY25, driven by improved profitability in the animal feed business (Ebit up ~45% YoY) and a turnaround in the dairy business (Ebit of Rs 185 million versus operating loss of ~Rs 25 million).

The crop protection business also contributed positively, with Ebit growing 9% YoY, driven by standalone crop protection business. However, the palm oil /poultry and processed food (Tyson) business recorded a weaker performance, with Ebit declining ~14%/28% YoY.

Factoring in strong operating performance, we raise our Ebitda estimates for FY25/FY26 by 8% each to account for improved profitability of the animal feed, dairy and standalone crop protection businesses. We retain our Neutral rating on the stock.

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.