DHANUKA AGRITECH LTD.

ANNUAL
REPORT
ANALYSIS

Prepared By :
Chirag Bhutada
Dhanuka Agritech Limited - ONE PAGE PROFILE

Dhanuka Agritech Limited is a leading Indian agri-input company, recognized among Forbes Asia's "200 Best Under a Billion."
With a portfolio of 330+ products, it serves around 10 million farmers across India. Recently, Dhanuka acquired global rights for
key ingredients from Bayer AG and launched products like ‘Defend’, ‘Mesotrax’, and ‘TIZOM’ through partnerships with Mitsui
Chemicals and Nissan Chemical, targeting ₹500 million revenue in FY24. It is investing ₹2.5 billion in a new Dahej, Gujarat
facility and exploring a JV with Spain’s Kimitec for biological products. Backed by strong R&D, strategic expansion, and eco-
friendly initiatives, Dhanuka drives sustainable farming and farmer empowerment.
INR(Lac.)
Key Financial Metrics 22-Mar 23-Mar 24-Mar Share Price- 3Yrs
2,000.00
Sales 151136.22 174497.6 179350.47
Sales Growth 6.35% 15.46% 2.78% 1,500.00
Gross Margin 18.37% 17.35% 17.77%
EBITDA Margins 19.44% 18.36% 20.03% 1,000.00
EBIT Margin 18.37% 17.35% 17.77%
Net Profit Margin 13.82% 13.38% 13.33% 500.00
Earning Per Share 44.85 50.35 52.46
EPS Growth % 0.54% 12.26% 4.19% 0.00
Dividend per share 14 2 14 2022 2023 2024 2025

Dividend Payout Ratio 31.22% 3.97% 26.69%

Key Financial Ratios 22-Mar 23-Mar 24-Mar Volume- 3Yrs
1200K
Price to earning 13.60X 19.97X 23.87X 1000K
EV/EBITDA 0.20X 0.18X 0.16X 800K
600K
EV/Sales 0.04X 0.03X 0.03X
400K
Price to Book value 3.59X 3.67X 3.67X 200K
Return On Equity (%) 0.22X 0.22X 0.19X 0
Return On Capital Employed (%) 0.21X 0.21X 0.19X 2022 2023 2024 2025

Market value Shareholding

Top Shareholders No. of Shares Held (In Cr) Shareholding Pattern
(in Cr) (%)

Public
M/s Triveni Trust 2.59 3405.07 56.96% 9.42% DIIs
M/s Pushpa Dhanuka Trust 0.46 604.76 10.14% 18.06%
M/s DSP Blackrock Trustee Co. Pvt Ltd 0.41 539.03 9.03% FIIs
2.19% Promote
rs
70.32%

Remuneration X of Median
Managerial Remuneration Designation
(In Cr) Salary
Capital Structure

Dr. R.G. Agarwal Chairman 6.46 138.66x Share Price 1314.7

Mr. M.K. Dhanuka Vice Chairman & Managing Director 5.84 125.29x Number of Shares O/S (Cr) 4.56
Mr. Rahul Dhanuka Joint Managing Director 6.43 138.04x Market Cap (Cr) 5,992.16
Mr Harsh Dhanuka Executive Director 5.00 107.25x Less: Cash & Equivalents 50.91
Mr. Ashish Saraf Whole Time Director 0.32 6.55x Add: Total Debt 26.98
Enterprise Value 5,968.23
 Dhanuka Agritech
Transforming India Through Agriculture

About the Company:-

Dhanuka Agritech Limited, founded in 1985, is one of India's prominent agrochemical

companies specializing in the formulation and marketing of crop protection products.
The company offers a broad range of solutions including insecticides, herbicides, fungicides,
and plant growth regulators (PGRs), catering to the diverse needs of Indian farmers.
With a strong rural presence and extensive distribution network, Dhanuka reaches over
75,000 retailers through 7,500+ distributors across the country.

It collaborates with leading global innovators to introduce advanced formulations,

strengthening its position in the highly competitive Indian agrochemical market.
Dhanuka’s business model emphasizes farmer engagement, technological partnerships, and a
balanced product portfolio. Dhanuka is transitioning from being a pure formulation company
to gradually integrating technical manufacturing through its new facility at Dahej, Gujarat.
This backward integration will help reduce dependence on imports and enhance profitability
over the medium term. The company is also strengthening its digital initiatives like the
'Krishi Salah' app, expanding its direct farmer engagement efforts, and broadening its
geographical footprint, particularly in Eastern and Southern India. Management remains
 optimistic about achieving double-digit volume growth, supported by innovation, deeper rural
penetration, and a widening product basket.

Dr. Ram Gopal Verma is the chairman while Mr. Mahendrakumar Dhanuka is the vice
chairman and the Managing Director. The company is signing deals with Government
institutes and various other agricultural institutes for aiming towards advanced agricultural
practices through farmer training, capacity building, adaption for technology, etc. The
company also has many growth opportunities with coming potential collaborations as the
company has been evolving and upgrading itself as well as the business, they have by
launching new products and services that could help the farmers of the nation. They aim to
contribute more in the agricultural segment of the country and wish to see a greener, and a
better India in the coming years.
The company has now become a great company to work with for the farmers as they bring
various products in the form of technology, AI, personal applications, etc. The spray drones
have been one of the successful innovations, and their apps like Kohinoor and InDhan apps
have benefited farmers by acting as a connecting bridge between the Dhanuka team and the
farmers. Not only drone-based agriculture, but also, they are working on digital innovations
like remote sensors and UAVs.
The company is focused on asset building which shows that the promoters and owners of the
business have a lot of confidence in the business and align the management interest closely
with the shareholders.

Products they offer:-

Category Product Focus

Solutions for pest control on crops like cotton, paddy,

Insecticides
vegetables.

Weed management solutions — especially for rice, wheat,

Herbicides
sugarcane.

Fungicides Disease management — for fruits, vegetables, cereals.

Category Product Focus

Plant Growth Regulators (PGRs) Improving crop yield, stress tolerance, and sustainable
& Biologicals farming inputs.

Newly launched Products:-

Their newly launched products are as follows:-

a) Tizom to revolutionize weed control in sugarcane farming

b) LaNevo for enhanced crop protection against sucking and chewing pests
c) MyCore Super which boosts crop yield and quality, especially in high-value crops
d) Purge is highly effective in controlling both narrow and broad leaf weeds and may
play a pivotal role in enhancing crop yield, thus, benefitting farmers a great deal
e) Mesotrax herbicide delivers enhanced and prolonged control of both grass and
broadleaf weeds
f) Defend is used to providing complete protection against major rice hopper species like
BPH and WBPH
g) Semacia is offering broad-spectrum insect control against lepidopteran pests across
various crops
h) Implode launched to combat both narrow-leaf and broad-leaf weeds

Apart from this, they also have various other products and have a wide and dynamic product
portfolio.

Services offered by them:-

Service Details

Personalized mobile-based crop advisory service; over 10 lakh

Krishi Salah App
farmers registered.

On-Ground Conducting 10,000+ demo plots every year showing product

Demonstrations effectiveness.
Service Details

Farmer Field Schools

Regular training camps to educate farmers about best practices.
(FFS)

Free or subsidized soil health testing to optimize fertilizer and

Soil Testing Services
pesticide usage.

Video tutorials, webinars, and WhatsApp advisory groups for

Digital Campaigns
farmers.

1,500+ field executives offering customized solutions at the

Field Force Advisory
village level.

Overall, we can say that,

Total Products: ~400 SKUs

New Launches: 5–7 products every year (focus: specialty molecules)
Services: Advisory, digital connect, soil testing, field demonstrations
Crops Focus: Broad — Rice, Cotton, Vegetables, Fruits, Wheat, Pulses
New Trends: Bio-products, low-residue molecules, sustainability focus.
Figure (In Lacs)
Particulars 2021 Common size 2022 Common size 2023 Common size 2024 Common size Comparative 21-22 Comparative 22-23 Comparative 23-24
I. Assets
1. Non-current assets
a) Property, Plant and Equipment 16,501.18 14.59% 15,712.35 11.97% 16,341.63 11.63% 32,123.42 20.34% -4.78% 4.01% 96.57%
b) Investment Property 759.40 0.67% 4,834.72 3.68% – 1,592.54 1.01% 536.65%
c) Capital work in progress 192.92 0.17% 154.63 0.12% 15,321.63 10.90% 2,824.63 1.79% -19.85% 9808.58% -81.56%
d) Other Intangible assets 119.49 0.09% 89.93 0.06% -24.74%
e) Financial Assets
i) Investments 9,029.72 7.98% 13,983.44 10.66% 15,892.04 11.31% 16,781.38 10.63% 54.86% 13.65% 5.60%
ii) Loans 22.96 0.02% 10.72 0.01% 40.59 0.03% 17.92 0.01% -53.31% 278.64% -55.85%
iii) Other financial assets 388.82 0.34% 439.21 0.33% 2,593.07 1.85% 1,590.16 1.01% 12.96% 490.39% -38.68%
f) Other non-current assets 391.56 0.35% 616.64 0.47% 606.14 0.43% 313.98 0.20% 57.48% -1.70% -48.20%
Total Non-Current Assets 27,286.56 24.12% 35,751.71 27.25% 50,914.59 36.23% 55,333.96 35.04% 31.02% 42.41% 8.68%
2. Current assets
a) Inventories 29,550.34 26.12% 34,718.41 26.46% 34,506.56 24.55% 41,788.94 26.46% 17.49% -0.61% 21.10%
b) Financial Assets
i) Investments 18,768.00 16.59% 19,606.32 14.94% 9,577.04 6.81% 7,183.98 4.55% 4.47% -51.15% -24.99%
ii) Trade receivables 24,266.38 21.45% 28,249.16 21.53% 33,903.99 24.13% 34,677.28 21.96% 16.41% 20.02% 2.28%
iii) Cash and cash equivalents 61.31 0.05% 147.6 0.11% 347.91 0.25% 50.91 0.03% 140.74% 135.71% -85.37%
iv) Bank balances other than (iii) 87.03 0.08% 95.09 0.07% 80.08 0.06% 79.93 0.05% 9.26% -15.79% -0.19%
v) Loans 3,968.46 3.51% 72.7 0.06% 47.07 0.03% 2,583.21 1.64% -98.17% -35.25% 5388.02%
vi) Other financial assets 5,081.15 4.49% 9,047.16 6.89% 6,694.86 4.76% 8,805.31 5.58% 78.05% -26.00% 31.52%
c) Other current assets 4,044.85 3.58% 3,530.71 2.69% 4,457.61 3.17% 7,410.36 4.69% -12.71% 26.25% 66.24%
Total Current Assets 85,827.52 75.88% 95,467.15 72.75% 89,615.12 63.77% 102,579.92 64.96% 11.23% -6.13% 14.47%
Total Assets 113,114.08 100.00% 131,218.86 100.00% 140,529.71 100.00% 157,913.88 100.00% 16.01% 7.10% 12.37%

II. Equity and Liabilities

1. Equity
a) Equity Share Capital 931.57 0.82% 931.57 0.71% 911.57 0.65% 911.57 0.58% 0.00% -2.15% 0.00%
b) Other Equity 78,699.08 69.57% 95,110.42 72.48% 105,219.02 74.87% 124,676.01 78.95% 20.85% 10.63% 18.49%
Total Equity 79,630.65 70.40% 96,041.99 73.19% 106,130.59 75.52% 125,587.58 79.53% 20.61% 10.50% 18.33%
2. Non-current liabilities
a) Financial Liabilities
i) Lease Liability 3,629.29 3.21% 2,735.36 2.08% 2,566.21 1.83% 2,245.72 1.42% -24.63% -6.18% -12.49%
ii) Other financial liabilities 1,339.66 1.18% 1,425.13 1.09% 1,515.31 1.08% 1,573.96 1.00% 6.38% 6.33% 3.87%
b) Provisions 100.12 0.09% 23.8 0.02% 285.44 0.20% 180.93 0.11% -76.23% 1099.33% -36.61%
c) Deferred tax liabilities (Net) 829.47 0.73% 556.2 0.42% 239.03 0.17% 511.44 0.32% -32.95% -57.02% 113.96%
Total Non-Current Liabilities 5,898.54 5.21% 4,740.49 3.61% 4,605.99 3.28% 4,512.05 2.86% -19.63% -2.84% -2.04%
3. Current liabilities
a) Financial Liabilities
i) Borrowings 835.84 0.74% 96.24 0.07% 380.84 0.27% 46.81 0.03% -88.49% 295.72% -87.71%
ii) Lease Liability 377.86 0.33% 349.06 0.27% 404.64 0.29% 405.32 0.26% -7.62% 15.92% 0.17%
iii) Trade payables
- Dues of Micro & Small Enterprises 619.39 0.55% 1,085.79 0.83% 434.89 0.31% 595.23 0.38% 75.30% -59.95% 36.87%
- Others 10,243.47 9.06% 16,385.96 12.49% 17,088.41 12.16% 14,354.01 9.09% 59.96% 4.29% -16.00%
iv) Other financial liabilities 10,083.99 8.91% 9,092.00 6.93% 7,487.21 5.33% 8,030.55 5.09% -9.84% -17.65% 7.26%
b) Other current liabilities 4,818.37 4.26% 2,298.90 1.75% 2,931.09 2.09% 3,538.94 2.24% -52.29% 27.50% 20.74%
c) Provisions 24.71 0.02% – 21.13 0.02% 11.48 0.01% -45.67%
d) Current Tax Liabilities (Net) 581.26 0.51% 1,128.43 0.86% 1,044.92 0.74% 831.91 0.53% 94.14% -7.40% -20.39%
Total Current Liabilities 27,584.89 24.39% 30,436.38 23.20% 29,793.13 21.20% 27,814.25 17.61% 10.34% -2.11% -6.64%
Total Equity and Liabilities 113,114.08 100.00% 131,218.86 100.00% 140,529.71 100.00% 157,913.88 100.00% 16.01% 7.10% 12.37%
Figures (in Lacs)
Particulars 2021 Common Size 2022 Common Size 2023 Common Size 2024 Common Size Comparative 21-22 Comparative 22-23 Comparative 23-24
I. Revenue from Operations 138746.87 97.63% 147777.52 97.78% 170022.00 97.44% 175854.39 98.05% 6.51% 15.05% 3.43%
II. Other Income 3370.27 2.37% 3358.70 2.22% 4475.60 2.56% 3496.08 1.95% -0.34% 33.25% -21.89%
III. Total Income (I + II) 142117.14 100.00% 151136.22 100.00% 174497.60 100.00% 179350.47 100.00% 6.35% 15.46% 2.78%
IV. Expenses
Cost of materials consumed 75710.06 53.27% 80384.94 53.19% 92544.83 53.04% 89995.30 50.18% 6.17% 15.13% -2.75%
Purchase of Stock-in-Trade 14120.65 9.94% 14614.42 9.67% 19587.89 11.23% 20785.49 11.59% 3.50% 34.03% 6.11%
Changes in inventories of finished goods, stock-in-trade, WIP -3499.59 -2.46% -1090.62 -0.72% -587.27 -0.34% -3561.43 -1.99% -68.84% -46.15% 506.44%
Employee Benefit Expenses 11826.69 8.32% 12050.28 7.97% 12625.87 7.24% 15535.88 8.66% 1.89% 4.78% 23.05%
Finance Costs 269.38 0.19% 320.27 0.21% 311.80 0.18% 308.67 0.17% 18.89% -2.64% -1.00%
Depreciation and Amortization Expense 1518.00 1.07% 1627.75 1.08% 1760.67 1.01% 4056.36 2.26% 7.23% 8.17% 130.39%
Other Expenses 13678.28 9.62% 15480.91 10.24% 17981.14 10.30% 20354.76 11.35% 13.18% 16.15% 13.20%
Total Expenses 113623.47 79.95% 123387.95 81.64% 144224.93 82.65% 147475.03 82.23% 8.59% 16.89% 2.25%
V. Profit Before Exceptional Items and Tax (III - IV) 28493.67 20.05% 27748.27 18.36% 30272.67 17.35% 31875.44 17.77% -2.62% 9.10% 5.29%
VI. Exceptional Items
VII. Profit Before Tax (V - VI) 28493.67 20.05% 27748.27 18.36% 30272.67 17.35% 31875.44 17.77% -2.62% 9.10% 5.29%
VIII. Tax Expenses
- Current Tax 7142.10 5.03% 7143.32 4.73% 7704.93 4.42% 8035.41 4.48% 0.02% 7.86% 4.29%
- Tax of earlier years (written back) -465.88 -0.27% -341.64 -0.19% -192.46% 70.48% -26.67%
- Deferred Tax 295.56 0.21% -273.27 -0.18% -317.17 -0.18% 272.40 0.15% -185.88%
IX. Profit for the Year 21056.01 14.82% 20878.22 13.81% 23350.79 13.38% 23909.27 13.33% -0.84% 11.84% 2.39%
X. Other Comprehensive Income
- Items not to be reclassified to P&L 129.82 0.09% 190.95 0.13% 10.71 0.01% 141.05 0.08% 47.09% -94.39% 1216.99%
- Tax relating to above items -2.69 0.00% -35.50 -0.02% 1219.70%
XI. Total Comprehensive Income (IX + X) 21185.83 14.91% 21069.17 13.94% 23358.81 13.39% 24014.82 13.39% -0.55% 10.87% 2.81%
XII. Earnings per Equity Share (₹)
- Basic 44.61 0.03% 44.82 0.03% 50.35 0.03% 52.46 0.03% 0.47% 12.34% 4.19%
- Diluted 44.61 0.03% 44.82 0.03% 50.35 0.03% 52.46 0.03% 0.47% 12.34% 4.19%
Figures (in Lacs)
Particulars 2021 Common Size 2022 Common Size 2023 Common Size 2024 Common Size Comparative 21-22 Comparative 22-23 Comparative 23-24
I. ASSETS
1. Non-Current Assets
a) Property, Plant and Equipment 16501.18 14.59% 15712.35 11.97% 16341.63 11.63% 32123.42 20.34% -4.78% 4.01% 96.57%
b) Investment Property 759.40 0.67% 4834.72 3.68% 1592.54 1.01% 536.65% -100.00%
c) Capital Work in Progress 192.92 0.17% 154.63 0.12% 15321.63 10.90% 2824.63 1.79% -19.85% 9808.58% -81.56%
d) Other Intangible Assets 119.49 0.09% 89.93 0.06% -24.74%
e) Financial Assets – Investments 9029.63 7.98% 13982.35 10.66% 15892.04 11.31% 16781.38 10.63% 54.85% 13.66% 5.60%
e) Financial Assets – Loans 11.40 0.01% 10.72 0.01% 40.59 0.03% 17.92 0.01% -5.96% 278.64% -55.85%
e) Financial Assets – Other Financial Assets 388.82 0.34% 439.21 0.33% 2593.07 1.85% 1590.16 1.01% 12.96% 490.39% -38.68%
f) Other Non-Current Assets 391.56 0.35% 616.64 0.47% 606.14 0.43% 313.98 0.20% -48.20%
Total Non-Current Assets 27274.91 24.12% 35750.62 27.25% 50914.59 36.23% 55333.96 35.04% 31.08% 42.42% 8.68%
2. Current Assets
a) Inventories 29550.34 26.13% 34718.41 26.46% 34506.56 24.55% 41788.94 26.46% 17.49% -0.61% 21.10%
b) Financial Assets – Investments 18768.00 16.59% 19606.32 14.94% 9577.04 6.81% 7183.98 4.55% 4.47% -51.15% -24.99%
b) Financial Assets – Trade Receivables 24266.38 21.46% 28249.16 21.53% 33903.99 24.13% 34677.28 21.96% 16.41% 20.02% 2.28%
b) Financial Assets – Cash & Cash Equivalents 61.38 0.05% 148.48 0.11% 348.30 0.25% 50.91 0.03% 141.90% 134.58% -85.38%
b) Financial Assets – Bank Balances other than (iii) above 87.03 0.08% 95.09 0.07% 80.08 0.06% 79.93 0.05% 9.26% -15.79% -0.19%
b) Financial Assets – Loans 3968.46 3.51% 72.70 0.06% 47.07 0.03% 2583.21 1.64% -98.17% -35.25% 5388.02%
b) Financial Assets – Other Financial Assets 5081.15 4.49% 9047.16 6.89% 6694.86 4.76% 8805.31 5.58% 78.05% -26.00% 31.52%
c) Other Current Assets 4044.85 3.58% 3530.71 2.69% 4457.61 3.17% 7410.36 4.69% -12.71% 26.25% 66.24%
Total Current Assets 85827.59 75.88% 95468.03 72.75% 89615.12 63.77% 102579.92 64.96% 11.23% -6.13% 14.47%
Total Assets 113102.50 100.00% 131218.65 100.00% 140529.10 100.00% 157913.88 100.00% 16.02% 7.10% 12.37%

II. EQUITY AND LIABILITIES

1. Equity
Equity Share Capital 931.57 0.82% 931.57 0.71% 911.57 0.65% 911.57 0.58% 0.00% -2.15% 0.00%
Other Equity 78,687.40 69.57% 95,110.00 72.48% 1,05,218.04 74.87% 1,24,676.01 78.95% 20.87% 10.63% 18.49%
Total Equity 79,618.97 70.40% 96,041.57 73.19% 1,06,129.61 75.52% 1,25,586.58 79.53% 20.63% 10.50% 18.33%
2. Non-Current Liabilities
Financial Liabilities – Lease Liability 3,629.29 3.21% 2,735.36 2.08% 2,566.21 1.83% 2,245.72 1.42% -24.63% -6.18% -12.49%
Financial Liabilities – Other Financial Liabilities 1,339.66 1.18% 1,425.13 1.09% 1,515.31 1.08% 1,573.96 1.00% 6.38% 6.33% 3.87%
Provisions 100.12 0.09% 23.8 0.02% 285.44 0.20% 180.93 0.11% -76.23% 1099.33% -36.61%
Deferred Tax Liabilities (Net) 829.47 0.73% 556.2 0.42% 239.03 0.17% 511.44 0.32% -32.95% -57.02% 113.96%
Total Non-Current Liabilities 5,898.54 5.22% 4,740.49 3.61% 4,605.99 3.28% 4,512.05 2.86% -19.63% -2.84% -2.04%
3. Current Liabilities
Financial Liabilities – Borrowings 835.84 0.74% 96.24 0.07% 380.84 0.27% 46.81 0.03% -88.49% 295.72% -87.71%
Financial Liabilities – Lease Liability 377.86 0.33% 349.06 0.27% 404.64 0.29% 405.32 0.26% -7.62% 15.92% 0.17%
Financial Liabilities – Trade Payables (MSME) 619.39 0.55% 1,085.79 0.83% 434.89 0.31% 595.23 0.38% 75.30% -59.95% 36.87%
Financial Liabilities – Trade Payables (Others) 10,243.47 9.06% 16,385.96 12.49% 17,088.41 12.16% 14,354.01 9.09% 59.96% 4.29% -16.00%
Financial Liabilities – Other Financial Liabilities 10,084.09 8.92% 9,092.21 6.93% 7,487.58 5.33% 8,030.55 5.09% -9.84% -17.65% 7.25%
Other Current Liabilities 4,818.37 4.26% 2,298.90 1.75% 2,931.09 2.09% 3,538.94 2.24% -52.29% 27.50% 20.74%
Provisions 24.71 0.02% - 21.13 0.02% 11.48 0.01% -45.67%
Current Tax Liabilities (Net) 581.26 0.51% 1,128.43 0.86% 1,044.92 0.74% 831.91 0.53% 94.14% -7.40% -20.39%
Total Current Liabilities 27,584.99 24.39% 30,436.59 23.20% 29,793.50 21.20% 27,814.25 17.61% 10.34% -2.11% -6.64%
Total Equity and Liabilities 113102.50 100.00% 131218.65 100.00% 140529.10 100.00% 157913.88 100.00% 16.02% 7.10% 12.37%
Figures (In Lacs)
Particulars FY 2020–21 Common Size FY 2021–22 Common Size FY 2022–23 Common Size FY 2023–24 Common Size Comparative 21-22 Comparative 22-23 Comparative 23-24
I. Revenue from Operations 138746.87 97.63% 147777.52 97.78% 170022.00 97.44% 175854.39 98.05% 6.51% 15.05% 3.43%
II. Other Income 3370.27 2.37% 3358.70 2.22% 4475.60 2.56% 3496.08 1.95% -0.34% 33.25% -21.89%
III. Total Revenue (I + II) 142117.14 100.00% 151136.22 100.00% 174497.60 100.00% 179350.47 100.00% 6.35% 15.46% 2.78%

IV. Expenses
a. Cost of Materials Consumed 75710.06 53.27% 80384.94 53.19% 92544.83 53.04% 89995.30 50.18% 6.17% 15.13% -2.75%
b. Purchase of Stock-in-Trade 14120.65 9.94% 14614.42 9.67% 19587.89 11.23% 20785.49 11.59% 3.50% 34.03% 6.11%
c. Changes in Inventories of Finished Goods, Stock-in-Trade and Work-in-Progress -3499.59 -2.46% -1090.62 -0.72% -587.27 -0.34% -3561.43 -1.99% -68.84% -46.15% 506.44%
d. Employee Benefit Expenses 11826.69 8.32% 12050.28 7.97% 12625.87 7.24% 15535.88 8.66% 1.89% 4.78% 23.05%
e. Finance Costs 269.38 0.19% 320.27 0.21% 311.80 0.18% 308.67 0.17% 18.89% -2.64% -1.00%
f. Depreciation and Amortization Expense 1518.00 1.07% 1627.75 1.08% 1760.67 1.01% 4056.36 2.26% 7.23% 8.17% 130.39%
g. Other Expenses 13678.31 9.62% 15469.65 10.24% 17981.70 10.30% 20354.78 11.35% 13.10% 16.24% 13.20%
Total Expenses 113623.50 79.95% 123376.69 81.63% 144225.49 82.65% 147475.05 82.23% 8.58% 16.90% 2.25%

V. Profit Before Exceptional Items and Tax (III - IV) 28493.64 20.05% 27759.53 18.37% 30272.11 17.35% 31875.42 17.77% -2.58% 9.05% 5.30%
VI. Exceptional Items
VII. Profit Before Tax (V - VI) 28493.64 20.05% 27759.53 18.37% 30272.11 17.35% 31875.42 17.77% -2.58% 9.05% 5.30%

VIII. Tax Expenses

a. Current Tax 7142.10 5.03% 7143.32 4.73% 7704.93 4.42% 8035.41 4.48% 0.02% 7.86% 4.29%
b. Tax of Earlier Years (Provided/Written Back)
c. Deferred Tax 295.56 0.21% -273.27 -0.18% -317.17 -0.18% 272.40 0.15% -192.46% 16.06% -185.88%
IX. Profit for the Year 21055.98 14.82% 20889.48 13.82% 23350.23 13.38% 23909.25 13.33% -0.79% 11.78% 2.39%

X. Other Comprehensive Income

A (i) Items that will not be reclassified to Profit or Loss 129.82 0.09% 190.95 0.13% 10.71 0.01% 141.05 0.08% 47.09% -94.39% 1216.99%
A (ii) Income Tax relating to above -2.69 0.00% -35.50 -0.02% 1219.70%
B (i) Items that will be reclassified to Profit or Loss
B (ii) Income Tax relating to above
XI. Total Comprehensive Income for the Year (IX + X) 21185.80 14.91% 21080.43 13.95% 23358.25 13.39% 24014.80 13.39% -0.50% 10.81% 2.81%

XII. Earnings Per Equity Share (in ₹)

1) Basic 44.61 0.03% 44.85 0.03% 50.35 0.03% 52.46 0.03% 0.54% 12.26% 4.19%
2) Diluted 44.61 0.03% 44.85 0.03% 50.35 0.03% 52.46 0.03% 0.54% 12.26% 4.19%
Figures (In Lacs)
PARTICULARS 20-21 21-22 22-23 23-24 Comparative 21-22 Comparative 22-23 Comparative 23-24
A. CASH FLOW FROM OPERATING ACTIVITIES
Profit / (Loss) Before Tax 28,493.64 27,759.53 30,272.11 31,875.42 -2.58% 9.05% 5.30%
Depreciation, Amortization and Impairment Expenses 1,518.00 1,627.75 1,760.67 4,056.36 7.23% 8.17% 130.39%
Net (Gain)/Loss on Sale of Property, Plant and Equipment -22.84 -62.36 -2,146.19 -89.44 173.03% 3341.61% -95.83%
Finance Costs 269.38 320.27 311.8 308.67 18.89% -2.64% -1.00%
Interest Income -1,569.53 -1,386.80 -1,800.05 -1,963.69 -11.64% 29.80% 9.09%
Dividend Income from Investments -25 -100.00%
Net (Gain)/Loss on Sale of Investments -335.87 -464.12 -264.65 -103.33 38.18% -42.98% -60.96%
Net (Gain)/Loss on Investments measured at FVTPL -1,129.71 -842.77 -183.06 -778.73 -25.40% -78.28% 325.40%
Allowance for Bad and Doubtful Debts & Advances 351.5 236.36 130.27 168.45 -32.76% -44.88% 29.31%
Property, Plant and Equipment Written Off 19.48 13.31 0.68 -31.67% -94.89%
Liabilities No Longer Required, Written Back -11.37 -18.19 -2.22 -12.02 59.98% -87.80% 441.44%
Forex Fluctuation on Translation of Assets & Liabilities -39.25 33.74 -36.64 7.37 -185.96% -208.60% -120.11%
Operating Profit before Working Capital Changes 27,523.95 27,197.89 28,055.35 33,469.74 -1.18% 3.15% 19.30%
Changes in Working Capital
(Increase)/Decrease in Trade Receivables -25.52 -4,072.51 -5,786.87 -891.27 15858.11% 42.10% -84.60%
(Increase)/Decrease in Current Financial Assets - Loans 23.91 -4.24 25.63 -36.14 -117.73% -704.48% -241.01%
(Increase)/Decrease in Non-Current Financial Assets - Loans 3.88 0.68 -29.87 22.67 -82.47% -4492.65% -175.90%
(Increase)/Decrease in Other Current Financial Assets -302.27 -561.97 294.22 105.87 85.92% -152.36% -64.02%
(Increase)/Decrease in Other Non-Current Financial Assets -53.84 43.23 22.98 -143.43 -180.29% -46.84% -724.15%
(Increase)/Decrease in Other Current Assets -51.89 496.94 -926.9 -2,952.75 -1057.68% -286.52% 218.56%
(Increase)/Decrease in Other Non-Current Assets -171.97 187.8 -1.39 -35.37 -209.21% -100.74% 2444.60%
(Increase)/Decrease in Inventories -4,564.64 -9,057.65 211.85 -7,282.38 98.43% -102.34% -3537.52%
Increase/(Decrease) in Trade Payables -417.47 6,590.50 88.52 -2,573.79 -1678.68% -98.66% -3007.58%
Increase/(Decrease) in Other Current Financial Liabilities 4,379.83 -1,454.06 -2,024.45 1,009.73 -133.20% 39.23% -149.88%
Increase/(Decrease) in Other Non-Current Financial Liabilities -2.5 85.47 90.17 58.65 -3518.80% 5.50% -34.96%
Increase/(Decrease) in Other Current Provisions -0.87 -24.71 21.13 -9.64 2740.23% -185.51% -145.62%
Increase/(Decrease) in Other Non-Current Provisions -338.91 114.63 272.34 36.54 -133.82% 137.58% -86.58%
Increase/(Decrease) in Other Current Liabilities 3,208.31 -2,518.62 635.13 609.99 -178.50% -125.22% -3.96%
Cash Generated from Operations Before Tax 29,210.00 17,023.38 20,947.84 21,388.42 -41.72% 23.05% 2.10%
Net Direct Taxes Paid (Net of Refunds) -6,103.69 -6,596.15 -7,325.25 -7,942.27 8.07% 11.05% 8.42%
Net Cash from Operating Activities (A) 23,106.31 10,427.23 13,622.59 13,446.15 -54.87% 30.64% -1.30%

B. CASH FLOW FROM INVESTING ACTIVITIES

Acquisition of Property, Plant and Equipment (incl. CWIP, Intangibles, Advances, Creditors) -1,261.71 -5,982.17 -12,417.64 -8,933.80 374.13% 107.58% -28.06%
Proceeds from Sale of Property, Plant and Equipment 36.16 165.92 2,425.27 127.67 358.85% 1361.71% -94.74%
Loan Given to Corporates and Others -1,900.00 -1,100.00 -2,000.00 -2,500.00 -42.11% 81.82% 25.00%
Repayment of Loan by Corporates and Others 500 5,000.00 2,071.52 54.78 900.00% -58.57% -97.36%
Investment in Bank Deposits (Net) -1,152.20 952.85 198.83 -1,119.24 -182.70% -79.13% -662.91%
Purchase and Sale of Investments (Net) -10,445.43 -4,580.29 8,496.79 2,385.78 -56.15% -285.51% -71.92%
Interest Received 1,561.53 1,258.55 1,481.71 1,895.50 -19.40% 17.73% 27.93%
Dividend Income 25.00 -100.00%
Net Cash from Investing Activities (B) -12,661.65 -4,260.14 256.48 -8,089.31 -66.35% -106.02% -3253.97%

C. CASH FLOW FROM FINANCING ACTIVITIES

Short Term Borrowings (Net) 37.35 -739.6 284.6 -334.03 -2080.19% -138.48% -217.37%
Payment of Principal portion of Lease Liabilities -348.86 -362.29 -381.84 -453.7 3.85% 5.40% 18.82%
Dividend Paid - -4,657.83 -2,794.70 -4,557.83 -40.00% 63.09%
Buy Back of Shares -10,000.00 - -8,500.00 –
Taxes on Buy Back of Shares -2,324.94 - -1,975.51 –
Interest Paid -269.38 -320.27 -311.8 -308.67 18.89% -2.64% -1.00%
Net Cash from Financing Activities (C) -12,905.83 -6,079.99 -13,679.25 -5,654.23 -52.89% 124.99% -58.67%

Net Cash from Operating, Investing and Financing Activities (A+B+C) -2,461.17 87.1 199.82 -297.39 -103.54% 129.41% -248.83%

D. CASH & CASH EQUIVALENTS

Opening Balance 2,522.55 61.38 548.12 348.3 -97.57% 792.99% -36.46%
Closing Balance 61.38 148.48 348.3 50.91 141.90% 134.58% -85.38%
- Cash on Hand 54.69 37.29 37.47 45.79 -31.82% 0.48% 22.20%
- Balance with Banks (Current Accounts) 6.69 98.44 310.83 5.12 1371.45% 215.76% -98.35%
- Cheques in hand 12.75 -100.00%
Total 61.38 148.48 348.3 50.91 141.90% 134.58% -85.38%
Ratio Analysis:-

[Link]. Particulars 2022 2023 2024

1 ROCE 20.90% 20.71% 18.55%

2 ROE 21.75% 22.00% 19.04%
3 ROI 15.92% 16.62% 15.14%
4 NP ratio 18.37% 17.35% 17.77%
5 Debt Equity ratio 0.0482 0.0485 0.0355
6 Debt Service Coverage Ratio 9.1895x 10.6268x 12.5995x
7 Interest Coverage Ratio 87.6754 98.0882 104.2670
8 Current Ratio 3.1366 3.0079 3.6880
9 Asset Turnover Ratio 1.1518 1.2417 1.1357
10 Working Capital Turnover Ratio 2.3240 2.9170 2.3988
11 Debtors Turnover Ratio 5.3501 5.1468 5.1720
12 Inventory Turnover Ratio 3.5444 4.1706 3.5217
13 EPS 44.8500 50.3500 52.4600
14 Operating Cash Flow Ratio 0.3426 0.4572 0.4834
Capital Expenditure Coverage
15 Ratio 1.7431x 1.0970x 1.5051x
16 Debtor Days 68.2228 70.9176 70.5725
17 Creditor Days 51.8233 44.4433 37.0769
18 Inventory Days 102.9789 87.5170 103.6443
19 Cash Conversion Cycle 119.3785 113.9913 137.1399
20 Price to Earning 13.5987 19.9722 23.8687

1) The Return on Capital Employed is not having much fluctuations and it shows that the
company is able to use the capital efficiently to generate profits.

2) The Return on Equity is increasing which means that the company is giving good returns
to the equity holders. There has been a constant increase in equity and hence it shows a
slightly decreasing trend but the company is using the shareholders fund efficiently and
appropriately.

3) Return on Investment is good which states that the company can generate returns on the
invested amount for the investors.

4) The net profits of the company have healthy margins, and it states that the company is able
to retain good profits from sales.

5) The debt-to-equity ratio is very less and hence it means that the company has a low
financial risk.
6) The company can easily recover its debt obligations which is indicated by a high Debt
Service Coverage Ratio.

7) Interest Coverage ratio is increasing which clearly states that the company can meet all its
interest payments on the outstanding debt.

8) Current ratio is high which means that too much of working capital is being used by the
company but it is showing that it can meet their short-term obligations very easily.

9) The Asset Turnover Ratio shows that the company is able to generate potential revenues by
the help of the assets.

10) Working Capital Turnover Ratio is showing that the company is efficient in generating
sales efficiently.

11) A good Debtors Turnover ratio is stating that the company has a better and efficient credit
management process.

12) Inventory Turnover Ratio is indicating that the company is selling and replenishing the
stock quickly and it is decent which shows that it has less capital tied up in unsold goods (i.e.
a steady inventory management)

13) A greater EPS is stating that the company has more profits for each shareholder.

14) An increasing Operating Cash Flow ratio is showing that the company is increasing the
ability to cover its current liabilities with the help of cash flow from its operations.

15) Capital Expenditure Coverage ratio is negative here, which is again a good sign for the
company as it is indicating that the company is heavily investing in its assets and has a vision
of long-term growth.

16) Debtor days are almost in a range of 70 days which states that the company takes an
average of 70 days to collect payments from customers.

17) Creditor days have been reducing with the increasing timeline which again shows that the
company is able to pay quickly to its suppliers.

18) Inventory days is indicating that the company keeps its inventories for an average of 100
days which can reduce if the demand from the buyers increases. A reducing number will
always indicate a quick sale.
19) The company needs to work on the cash conversion cycle as it is increasing, and the ideal
solution for it would be to improve the inventory days and working capital.

20) Increasing P/E ratio determines us that the investors to the company are bullish for the
stock, they see a potential growth in the company and are ready to pay a premium for the
stock.

Overall, we can say that:-

1) The company has strong and healthy financials which shows that the business is good and
growing in nature.

2) It is profitable as well (also it pays dividends to the shareholders)

3) The company has too much idle working capital which state that the company has a good
liquidity.

4) Company has made investments in capital expenditures as well which again shows that the
management of the company has a growth outlook for the business.

5) Company has generated potential returns for their investors and hence we can say that the
investors can build confidence in the company.
Year on Year growth in some key components:-

EPS TOTAL EQUITY

55.00 150000.00

50.00 100000.00
45.00 50000.00
40.00 0.00
2022 2023 2024 2022 2023 2024

Profits for shareholders have been The equity is increasing every year which is
increasing and is shown by increasing EPS. a sign of increasing investments by the
investors in the company.

INVENTORIES FINANCE COSTS

60000.00 330.00
40000.00 320.00
20000.00 310.00
0.00 300.00
2022 2023 2024 2022 2023 2024

Inventories show an average growth of Company is able to reduce its finance costs
12.66% in the 3 years. which is a good sign of money management.

LEASE LIABLITIES TOTAL LIABLITIES

3000.00 36000.00
2000.00 34000.00
1000.00 32000.00
0.00 30000.00
2022 2023 2024 2022 2023 2024

Decreasing lease liabilities states that the Total liabilities are decreasing down the
company is repaying its debt obligations. line which is a sign of healthy growth.
 INVESTMENTS PAT
20000.00 26000.00
24000.00
10000.00 22000.00
20000.00
0.00 18000.00
2022 2023 2024 2022 2023 2024

The investments have shown an increasing Increased PAT brings more money for the
trend and are aggressive towards growth. shareholders of the company.

Cash Flow
20,000.00 500.00

0.00 0.00
2022 2023 2024
-20,000.00 -500.00

Net Cash from Operating Activities (A)

Net Cash from Investing Activities (B)
Net Cash from Financing Activities (C)
Net Cash from Operating, Investing and Financing Activities (A+B+C)

A clear picture about positive cash flow from operating activities is boosting investor
confidence.
The company also made heavy investments in all the years in their fixed assets which is
attracting investors.
A negative cash flow of financing activities is due to repayments of debts and lease liabilities,
along with dividends being paid to the shareholders.
Overall, the company is showing an attractive cash flow statement.
ESG:-

Dhanuka Agritech has placed sustainability at the core of its long-term strategy, aligning its
operations with global Environmental, Social, and Governance (ESG) standards.

On the environmental front, the company operates all its manufacturing facilities under Zero
Liquid Discharge (ZLD) norms, ensuring no untreated effluent leaves its premises. During
FY24, Dhanuka successfully reused over 92% of treated water across its plants, showcasing
its strong commitment to water conservation. Furthermore, the company has initiated the
transition toward renewable energy by implementing solar power projects at its depots and
offices, aiming to source 20% of total energy requirements from renewables by FY26.
Dhanuka is also consciously shifting its portfolio, with over 10% of its new product launches
in FY24 being in the category of bio-stimulants and low-residue pesticides, reflecting its
focus on green chemistry and safer farming solutions.

In terms of social responsibility, Dhanuka continues to strengthen its bond with rural India.
During FY24, it conducted over 10,000 farmer training camps across 20 states, imparting
knowledge about responsible agrochemical usage, crop productivity enhancement, and
sustainable farming practices. Under its CSR initiatives, the company supported several rural
healthcare camps benefiting more than 50,000 villagers, and upgraded infrastructure in rural
schools across Uttar Pradesh and Rajasthan. Additionally, through its 'Sakhi' initiative,
Dhanuka trained over 1,200 women farmers in sustainable agriculture techniques, promoting
women's participation in the agri-economy.

On the governance front, Dhanuka maintains a highly transparent structure with six
independent directors out of a ten-member board, ensuring strong corporate oversight. The
company adheres to all SEBI-mandated governance norms and undergoes regular statutory
and internal audits without any major observations. During FY24, Dhanuka also initiated its
first carbon footprint assessment exercise, a key milestone towards formalizing its climate-
related disclosures and preparing for the future ESG reporting framework expected to be
mandated in India.

Overall, Dhanuka’s ESG strategy reflects a balanced approach — combining environmental

stewardship, community development, and best-in-class governance practices — that not
only enhances its brand credibility but also positions it well for long-term sustainable value
creation.
Management Outlook:-

Dhanuka Agritech’s management maintains a cautiously optimistic outlook for the upcoming
financial year. While acknowledging the short-term pressures faced by the agrochemical
sector due to volatile monsoon patterns and weak rural sentiments, the company is confident
that structural growth drivers for Indian agriculture remain intact. Management expects a
mid-single-digit revenue growth for FY25, supported by a likely normal monsoon, the
introduction of 6–7 new product launches, and increased traction in high-margin specialty
segments such as biologicals and fungicides.

With the commissioning of its Dahej technical manufacturing unit, Dhanuka anticipates
margin expansion over the next 2–3 years, as backward integration starts yielding benefits
through lower raw material dependence and improved operating leverage. The management
has indicated that EBITDA margins could improve by 100–150 basis points once the Dahej
facility reaches optimum utilization. Moreover, no major capital expenditure is planned post-
Dahej, ensuring that the company’s return ratios remain healthy and free cash flow generation
improves.

In terms of strategic priorities, Dhanuka will continue to focus on deepening its rural
penetration, particularly in underpenetrated regions like Eastern and Southern India, and
scaling up its direct-to-farmer digital initiatives through platforms like the Krishi Salah App.
The management is also exploring exports of technical-grade molecules, although the
contribution to revenue from exports is expected to remain modest (<5%) in the near term.

Despite external uncertainties, Dhanuka’s management remains committed to its vision of

becoming a leading integrated crop protection player, driven by a combination of innovation,
farmer-centricity, and sustainability. The company’s debt-free balance sheet, strong brand
equity, and expanding product portfolio provide a solid foundation to navigate short-term
challenges and capitalize on long-term agri-sector opportunities.

The key risks in the business are:-

• Dependence on monsoon rainfall (~65% seasonal sales exposure).

• Volatile raw material prices linked to Chinese imports.
• Regulatory uncertainties around pesticide bans.
Overall Financial Health and view:-
Despite the seasonal changes and tough macro headwinds, Revenue has grown from
151136.22 to 179350.47 lacs. The gross margins, EBITDA margins and PAT margins have
also shown an increasing trend. EPS grew steadily down the line reflecting the earnings to be
compounding. Continuous launch of speciality products, high margin products are driving the
top line of the Profit and Loss.
Apart from this, Dhanuka Agritech has no long-term debt. The ROE and ROCE have
maintained the levels between 19% and 21% which is better than the peers and the industry.
Despite some build-up inventories in FY24, working capital cycle remains manageable and
can be improved. The balance sheet shows heavy investments in assets which are beneficial
for long term growth; and despite of expansion in Gujrat, there is no negative effect on the
Balance Sheet of the company.
Positive operating cash flows are an attraction to the investors, and the accounting profits are
backed by real cash as we can see a high cash conversion. The company is efficient in taking
care of their investors and shareholders as it keeps on paying interim as well as final
dividends and also is repaying its obligations which were in the form of lease liabilities
(majorly). The Consolidated Cash Flow statement is also as healthy as the balance sheet and
the profit and loss statements of the company.
Dhanuka Agritech stands out as a fundamentally robust, strategically focused, and financially
sound agrochemical player.
Despite near-term sector challenges, its clean balance sheet, consistent profitability, strategic
backward integration, and strong cash generation provide a solid platform for sustainable
growth.
Current valuations are also almost fair and has a lower P/E ratio than the peers in the sector.

As per my view, an individual can invest in this company keeping in mind all the growth
factors, with a time horizon of 4-5 years.