ICICI Securities recommends a buy on Godrej Agrovet with a target price of Rs 855. The company reported revenue of INR 30bn in Q2FY27, showing 17% growth. While animal feed and vegetable oil segments performed well, dairy and crop protection faced pressure. Management remains optimistic about future volume growth targets.
ICICI Securities research report on Godrej Agrovet Godrej Agrovet (GOAGRO) reported recurring EBITDA/PAT of INR 2/INR 1.2bn in Q2FY27, down 6%/up 24% YoY. Revenue grew 17% YoY to INR 30bn, driven by animal feed, vegetable oil and B2C foods, while EBITDA margin contracted to 6.7% on weakness in crop protection and dairy. Animal feed EBIT rose 32% YoY, and vegetable oil volumes (FFB +14% YoY) stayed strong, with the PKO derivatives plant commissioned on 1 Sep'26. Management retains double-digit FFB volume growth guidance for FY27/FY28. Crop protection, Astec and dairy are likely to stay under pressure in the near term, while Godrej Foods (B2C +50% YoY) and the ACI Godrej Bangladesh JV are emerging as growth drivers. Outlook We cut FY27E/FY28E EPS by 5%/1.5%, to factor in weaker performance in dairy, poultry and crop protection segments.
Maintain BUY with a revised TP of INR 855 (from INR 845). For all recommendations report, click here Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions. Godrej Agrovet - 0911026 - icici