Sharda Cropchem Limited is an India-based agrochemicals company principally engaged in the export of agrochemicals (technical grade and formulations) and non-agro products such as conveyor belts, rubber belts/sheets, dyes, and dye intermediates to various countries across the world. The company was incorporated in 1985 and specializes in the manufacturing and marketing of crop protection and nutrition products. Founded in 1987 and headquartered in Mumbai, India, Sharda Cropchem has established itself as a significant player in the global agrochemical industry.
It is a leading player in the agrochemical industry with operations in over 40 countries. The company operates through an asset-light business model, focusing on developing product dossiers and obtaining product registrations across different international markets. This strategic approach allows Sharda Cropchem to maintain operational efficiency while expanding its global reach.
The Company operates through two segments: Agrochemicals and Non-agrochemicals.
- Agrochemicals Segment: This segment is engaged in the production and marketing of insecticides, herbicides, fungicides, and biocides.
- Non-agrochemicals Segment: This segment is engaged in the supply of industrial products such as conveyor belts, V-belts, and timing belts.
Sharda Cropchem Ltd offers a wide range of products, including insecticides, herbicides, fungicides, plant growth regulators, and fertilizers. Its popular brands include Sharda, Agrozim, and Agrofos. The company also acts as an exclusive distributor for BASF, Syngenta, and Bayer products in India.
The non-agrochemical segment extends beyond crop protection to include industrial products. The company provides various types of conveyor belts (textile ply, rough top, steel cord, chevron/pattern, elevator, sidewall, pipe, and PVC/PVG solid woven), cotton transmission belts, PVC and polyurethane light-duty belting products, and V-belts. These are used in sectors such as mining projects, steel plants, quarries, grain silos, cement manufacturing facilities, ports, and tunneling projects.
Sharda Cropchem has a strong presence in India, with a network of over 500 distributors and over 1,000 retailers. Internationally, the company has a significant presence in the Middle East, Africa, and Latin America. The group is present across the agrochemical value chain, with 500 third-party distributors and over 400 sales personnel serving clients in more than 80 countries.
The company's international expansion strategy has been successful, with Europe, NAFTA, and LATAM being key contributors to volume growth in recent quarters. This diversified geographical presence helps mitigate regional market risks and provides multiple growth opportunities.
- Revenue: ₹1,828.53 Crore as on March 2025 (Q4 FY25). Sharda Crop Consolidated reported a 39.36% increase in net sales for March 2025, demonstrating strong top-line growth.
- Net Profit: ₹203.60 Crore as on March 2025 (Q4 FY25). Net profit rose by 41.89% to ₹203.57 crore.
- EBITDA: Grew by 29.9% during the quarter.
- Revenue: For FY25, Revenues grew by 37% Year-on-Year (YoY) to Rs. 4,320 crores.
- Net Profit: The company posted a net profit of Rs. 304.37 crores for the Financial Year ended March 31, 2025.
- Gross Profit Margins: Expanded by 400 basis points to 29.8%, demonstrating pricing resilience amid global headwinds.
- Overall Volumes: Increased by 42.1% YoY in FY25, with Agrochemical volumes growing by 43.9% and Non-Agrochemical volumes growing by 9%.
- Market Capitalization: ₹7,554 Crore (up 65.5% in 1 year) as tracked by leading financial platforms. This reflects investor confidence in its growth trajectory and market position.
- Valuation: The stock is trading at 3.02 times its book value, indicating the market's premium valuation of the company's assets and growth prospects.
- Debt Status: The company is almost debt-free. As of March 31, 2025, the Company remains debt-free with cash, bank, and liquid investments totaling Rs. 558 crores. This strong balance sheet provides financial flexibility for growth investments and acquisitions.
- Return on Equity: The company has a low return on equity of 9.97% over the last 3 years, indicating an area for potential improvement.
- Debtors: Company has high debtors of 165 days, indicating areas for working capital optimization.
- Product Registrations: Stand at 2,964 with 1,014 applications globally pending at various stages as on 31st March 2025. This extensive portfolio of registered products across multiple countries provides a competitive moat and enables the company to serve diverse markets effectively. The pending applications indicate ongoing efforts to expand market access and product offerings.
- Chairperson: Ramprakash V Bubna leads the company's strategic direction.
- Directors: Ashish R Bubna, Manish R Bubna, Sharda R Bubna, M S Sundara Rajan, Shitin Desai, Shobhan Thakore, and Sonal Desai are some of the other directors.
- Chief Financial Officer: Ashok Vashisht.
- Promoter Holding: 74.8% as of March 2025, indicating strong promoter confidence and a stable ownership structure. The high promoter holding provides stability and alignment with long-term value creation objectives.
Despite a 27.52% decline in shares over the last six months, the stock has gained 41.16% over the past year. This volatility reflects both market-specific challenges and the company's underlying growth momentum. Revenue has shown consistent quarterly improvement, increasing from ₹802.37 Cr to ₹1.85K Cr over the last 3 quarters, with an average increase of 31.8% per quarter.
The company continues to focus on expanding its global footprint while maintaining operational efficiency. With its debt-free status, strong product registration pipeline, and growing market presence across multiple continents, Sharda Cropchem is well-positioned to capitalize on the growing global demand for agrochemical products. The management's emphasis on volume growth, margin expansion, and strategic investments in product registrations supports the company's long-term growth prospects in the competitive agrochemicals industry.
