Kaveri Seed reports strong H1 2026 revenue growth driven by non-cotton portfolio

Kaveri Seed Company Limited announced a 17.09% increase in revenue from operations for the first half of FY2025-26, reaching INR 1,041.91 crore compared to INR 889.85 crore in H1 FY2025. EBITDA grew by 11.12% to INR 333 crore, while net profit rose 7.9% to INR 301.45 crore from INR 279.41 crore in the prior period. Cash-on-book stood at INR 363 crore. For Q2 FY2026 alone, revenue from operations was INR 96.61 crore, with EBITDA at INR 0.16 crore and a net loss of INR 15.05 crore. The board recommended a 250% dividend, or INR 5 per equity share.

Maize volumes increased by 29.7%, contributing to a 56.76% revenue growth in this segment, highlighting its potential in the non-cotton portfolio. Hybrid rice volumes grew by 0.9% (revenue up 21.48%), and selection rice volumes increased by 2.6% (revenue up 11.07%). Vegetable seed revenue saw a significant boost of 31.06%. However, cotton sales were impacted by increased illegal cotton seed usage and higher production costs, although new products now contribute 36% of cotton sales, up from 11%.

The company anticipates continued growth in maize and rice segments, with Rabi season sales expected to be strong despite extended monsoon delays. Exports are projected to grow by 25% to 30%, reaching approximately INR 35 crore this year, primarily in Q3 and Q4, driven by positive results in various international markets.