MRC Agrotech Ltd (540809)
Latest quarterly results (Q1 FY27)
In its latest reported quarter, Q1 FY27, MRC Agrotech's revenue was ₹26.7 Cr (+459.0% year on year, -61.0% on the previous quarter), and net profit ₹0.4 Cr (+180.4% year on year); the operating margin was 1.1%.
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Revenue | ₹26.7 | +459.0% | -61.0% |
| Operating profit | ₹0.3 | — | -79.4% |
| Net profit | ₹0.4 | +180.4% | -61.5% |
| EPS (₹) | 0.01 | -83.3% | -96.9% |
| Operating margin | 1.1% | — | — |
📢 Recent Corporate Announcements
MRC Agrotech Limited's Board approved the notice for its 11th Annual General Meeting, scheduled for September 30, 2026. The Board approved the resignation of statutory auditor M/s Choudhary Choudhary & Co. and appointed M/s P C Surana & Co. as the new Statutory Auditor up to FY 2030-31. Additionally, Mr. Paramar Vishal Surendra was appointed as a Non-Executive Non-Independent Director for a 5-year term ending February 23, 2031.
- 11th AGM scheduled for September 30, 2026, via Video Conferencing
- M/s P C Surana & Co. appointed as Statutory Auditors until the FY 2030-31 AGM
- Resignation of outgoing auditor M/s Choudhary Choudhary & Co. accepted w.e.f. conclusion of ensuing AGM
- Appointment of Mr. Paramar Vishal Surendra as Non-Executive Non-Independent Director for 5 years (Feb 24, 2026 to Feb 23, 2031)
- Book closure from September 24 to September 30, 2026, with cut-off date for e-voting on September 23, 2026
MRC Agrotech Ltd has scheduled a meeting of its Board of Directors on September 4, 2026. The agenda includes approving the Annual General Meeting (AGM) notice, fixing book closure dates, and regularizing the appointment of Mr. Paramar Vishal Surendra as a Non-Executive Director. Additionally, the Board will consider appointing M/s P C Surana & Co as Statutory Auditors to fill a vacancy until FY 2030-31 following the retirement of M/S Choudhary Choudhary & Company.
- Board meeting scheduled on September 4, 2026 to finalize AGM schedule and notice
- Proposal to appoint M/s P C Surana & Co as Statutory Auditors up to the AGM for FY 2030-31
- Current auditors M/s Choudhary Choudhary & Company to retire post-AGM due to professional commitments
- Approval sought for appointment of Mr. Paramar Vishal Surendra as Non-Executive Non-Independent Director
MRC Agrotech reported consolidated revenue of Rs 26.67 Cr (Rs 2,666.63 lacs) for Q1 ended June 30, 2026, jumping 458.7% YoY from Rs 4.77 Cr in Q1 FY26, though dropping sequentially from Rs 68.35 Cr in Q4 FY26. Consolidated net profit reached Rs 0.39 Cr (Rs 39.25 lacs) compared to Rs 0.02 Cr in Q1 FY26 and Rs 0.92 Cr in Q4 FY26. The company adopted Ind AS accounting standards starting April 1, 2026. Additionally, the board approved an executive remuneration of Rs 5.00 Lakhs per month (Rs 60 Lakhs annually) for Chairman & CEO Ashok Kumar Singh, subject to shareholder approval.
- Consolidated revenue from operations grew 458.7% YoY to Rs 2,666.63 lacs (Rs 26.67 Cr) vs Rs 477.27 lacs in Q1 FY26.
- Consolidated net profit stood at Rs 39.25 lacs (Rs 0.39 Cr), up from Rs 2.36 lacs YoY but down 57.2% QoQ from Rs 91.73 lacs.
- Standalone revenue came in at Rs 2,445.89 lacs with a net profit of Rs 30.56 lacs vs Rs 0.18 lacs in Q1 FY26.
- Approved remuneration of Rs 5.00 Lakhs per month for CEO and Chairman Ashok Kumar Singh effective April 1, 2026, subject to AGM approval.
- Company completed transition to Ind AS reporting standards effective April 1, 2026.
MRC Agrotech reported consolidated revenue from operations of ₹26.67 Cr for Q1 FY27 (ended June 30, 2026), up significantly from ₹4.77 Cr in Q1 FY26, though lower sequentially compared to ₹68.35 Cr in Q4 FY26. Consolidated net profit came in at ₹0.39 Cr compared to ₹0.02 Cr in the previous year's corresponding quarter. The Board also approved a monthly remuneration of ₹5,00,000 (₹60 Lakhs per annum CTC) for Chairman & CEO Ashok Kumar Singh, effective April 1, 2026, subject to shareholder approval. The company officially transitioned to Ind AS starting this fiscal quarter.
- Consolidated revenue from operations surged to ₹2,666.63 lacs (₹26.67 Cr) from ₹477.27 lacs in Q1 FY26.
- Consolidated net profit stood at ₹39.25 lacs vs ₹2.36 lacs in the year-ago period.
- Standalone revenue stood at ₹2,445.89 lacs with a net profit of ₹30.56 lacs.
- Approved CEO remuneration of ₹5,00,000 per month (CTC) to Ashok Kumar Singh effective April 1, 2026.
- Transitioned accounting framework to Indian Accounting Standards (Ind AS) effective April 1, 2026.
MRC Agrotech has scheduled a board meeting for August 14, 2026, to approve un-audited financial results for the quarter ended June 30, 2026. A key agenda item is the proposed remuneration of ₹5,00,000 per month (₹60 lakh annually) for Chairman and CEO Ashok Kumar Singh, effective from April 1, 2026. This proposed salary is significant, representing approximately 60% of the company's TTM Net Profit of ₹1 crore. The trading window for the company's securities has been closed since July 1, 2026.
- Board meeting scheduled for August 14, 2026, to consider Q1 FY27 results.
- Proposed CEO remuneration of ₹5,00,000 per month on a CTC basis.
- Remuneration effective date set retroactively to April 1, 2026.
- Trading window closed from July 1, 2026, until 48 hours after result declaration.
MRC Agrotech Limited has entered into a strategic collaboration and license agreement with Banaras Hindu University (BHU) on July 17, 2026. The company has secured a non-exclusive, non-transferable license for the commercial production and marketing of the 'HUW 838' wheat variety for an initial period of 5 years. This agreement covers the entire value chain from production of Foundation and Certified seeds to packaging and sale. While financial terms like royalty or upfront fees were not disclosed, the partnership leverages BHU's scientific research for the company's seed portfolio.
- Agreement executed on July 17, 2026, with Banaras Hindu University (BHU).
- Initial license duration of 5 years with a provision for renewal by mutual consent.
- Rights granted for commercial production and sale of 'HUW 838' wheat variety seeds.
- Covers three seed categories: Foundation Seed, Certified Seed, and Truthfully Labelled Seed.
Financial Performance
Revenue Growth by Segment
Total revenue from operations grew by 121.34% YoY, reaching INR 32.45 Cr in FY25 compared to INR 14.66 Cr in FY24. The growth is driven by the Agriculture Produce segment, including cultivation, manufacturing, and exports.
Geographic Revenue Split
Not specifically disclosed, although the company identifies as an exporter of agriculture produce and serves the Indian domestic market for staples.
Profitability Margins
Net Profit Margin declined significantly from 6.08% in FY24 to 2.70% in FY25. While revenue more than doubled, total expenditure rose by 109.33% to INR 31.82 Cr, leading to a slight decrease in Profit After Tax from INR 89.14 Lakhs to INR 87.60 Lakhs.
EBITDA Margin
Not explicitly disclosed; however, Profit Before Tax (PBT) margin stood at 3.70% in FY25 (INR 1.20 Cr) compared to 7.88% in FY24 (INR 1.16 Cr), indicating a compression in core operational profitability due to rising production costs.
Capital Expenditure
The company is undertaking plant modernization and field development to attain cost efficiency and quality upgradation, though specific INR Cr figures for these investments were not disclosed.
Credit Rating & Borrowing
The company has not obtained any credit rating from agencies. It maintains a conservative debt policy where the debt component is described as very marginal.
Operational Drivers
Raw Materials
Agricultural produce including wheat (for flour) and lemon grass, which are the primary inputs for their manufacturing and export activities.
Import Sources
Not specifically disclosed; however, the company mentions 'field development' and 'contract farming' expertise, suggesting domestic sourcing within India.
Capacity Expansion
The company is currently focused on plant modernization and field development to improve efficiency, but specific installed capacity in MT or units is not disclosed.
Raw Material Costs
Not disclosed as a specific line item, but the company identifies the yearly increase in the cost of production as a major threat, noting it often rises disproportionately to sale realizations.
Manufacturing Efficiency
Efficiency is being targeted through 'Quality upgradation' and 'cost efficiency' missions, supported by the implementation of Good Manufacturing Practices (GMP) systems in the factory.
Strategic Growth
Growth Strategy
Growth is targeted through a major acquisition of MARSAPI Life sciences Private Limited (100% stake) via a share swap. Additionally, the company is raising INR 4.28 Cr in cash through preferential allotment to fund operations, focusing on marketing strategies, product quality, and expanding exports of staples like wheat flour.
Products & Services
Agriculture produce including wheat flour and lemon grass, along with other staples.
Brand Portfolio
MRC Agrotech.
New Products/Services
The acquisition of MARSAPI Life sciences Private Limited suggests a strategic move into life sciences/agro-tech related products, though specific revenue contribution % is not yet disclosed.
Market Expansion
The company is focusing on increasing exports and leveraging correct marketing strategies to capitalize on the rapidly rising agricultural industry in India.
Market Share & Ranking
Not disclosed; the company notes it faces stiff competition from global and national players.
Strategic Alliances
Acquisition of 100% equity of M/s. MARSAPI Life sciences Private Limited on a share swap basis.
External Factors
Industry Trends
The agricultural industry is rising rapidly as a basic need. The industry is evolving toward higher quality standards and cost efficiency, with MRC Agrotech positioning itself through plant modernization and GMP compliance.
Competitive Landscape
Faces intense competition from a mix of global, national, and local agricultural players.
Competitive Moat
The company's moat is based on a 'minimal risk business strategy' and a 'conservative debt policy.' However, this moat is challenged by 'stiff competition' and low pricing power in the commodity-linked agriculture segment.
Macro Economic Sensitivity
Highly sensitive to economic recessions which affect the agriculture produce industry and inflationary pressures on production costs.
Consumer Behavior
Demand for staples like wheat flour remains consistent, but shifts toward quality-assured and branded produce are driving the need for GMP and modernization.
Geopolitical Risks
Exposure to global market dynamics due to export activities, though specific trade barrier impacts were not detailed.
Regulatory & Governance
Industry Regulations
The company must comply with Good Manufacturing Practices (GMP) and agricultural quality standards for its manufacturing and export activities.
Taxation Policy Impact
The effective tax rate for FY25 was approximately 27% (INR 32.40 Lakhs tax on INR 1.20 Cr PBT).
Legal Contingencies
The company reported zero pending shareholder complaints as of March 31, 2025. No other material legal disputes or case values were disclosed.
Risk Analysis
Key Uncertainties
The primary uncertainty is the disproportionate rise in production costs compared to sales realization, which could further compress the thin 2.7% net margins.
Geographic Concentration Risk
Not disclosed, but the company operates out of Mumbai, Maharashtra, with a focus on both Indian markets and exports.
Third Party Dependencies
Not disclosed; however, the company relies on ECGC for export credit protection.
Technology Obsolescence Risk
The company is mitigating technology risks by upgrading all information systems resources and reviewing them periodically.
Credit & Counterparty Risk
Credit risk on exports is managed and insured through the Export Credit and Guarantee Corporation Limited (ECGC).
