Advanta H1 revenue rises 18% as Egypt seed deal is agreed

Advanta increased first-half fiscal 2027 (H1FY27) revenue by 18% year on year to Rs 3,629 crore and earnings before interest, tax, depreciation and amortisation (EBITDA) by 21% to Rs 868 crore. It also agreed to acquire 99.98% of Egypt’s Misr Hytech Seed International for about $110 million, subject to regulatory approvals.

How did Advanta perform in H1FY27?

Advanta delivered 18% H1FY27 revenue growth to Rs 3,629 crore, while contribution also increased 18% to Rs 2,074 crore and EBITDA rose 21% to Rs 868 crore. EBITDA grew faster than revenue, with its margin rising 50 basis points to 23.9%; contribution margin rose 30 basis points to 57.2%.

The reported growth reflected seeds pricing and favourable foreign-exchange movements. Corn growth in Argentina, other Latin American countries and Indonesia led the seeds performance, while sunflower and grain sorghum contributed in Argentina; India and Thailand were affected by El Niño conditions and monsoon delays.

Advanta’s second-quarter fiscal 2027 (Q2FY27) results showed continued expansion through the September quarter. Revenue rose 12% year on year to Rs 1,875 crore, contribution rose 15% to Rs 1,104 crore and EBITDA increased 19% to Rs 510 crore.

The Q2FY27 EBITDA margin was 27.2%, up 150 basis points year on year and above the 23.9% recorded across H1FY27. Advanta said contribution-margin accretion was led by improved crop mix, while robust post-harvest growth came from the United States, Latin America and South Africa.

What is Advanta buying in Egypt?

Advanta agreed to acquire 99.98% of Misr Hytech Seed International in Egypt for about $110 million. UPL Limited said completion is expected on or before January 31, 2027, subject to regulatory approvals.

The November 2, 2026 release does not disclose Misr Hytech Seed International’s revenue, profitability, crop portfolio or expected financial contribution after closing. The disclosed 99.98% stake indicates that the transaction covers nearly all of the target’s equity, but the release gives no integration timetable beyond the expected completion date.

The proposed transaction is the only acquisition described in UPL Limited’s Q2FY27 and H1FY27 release. It would add an Egypt-based seed business to Advanta, whose reported H1FY27 growth was led by corn in Argentina, other Latin American countries and Indonesia, as well as sunflower and grain sorghum in Argentina.

UPL Limited reported total net debt of $3.0 billion in September 2026, up $312 million year on year, citing working capital, planned capital expenditure and investments. The company also said it prepaid a $500 million term loan due in December 2026 through $400 million of refinancing extending to fiscal 2032.

How does Advanta compare with UPL Limited’s other platforms?

Advanta was not UPL Limited’s fastest-growing platform by H1FY27 revenue because SUPERFORM increased revenue by 21%, compared with Advanta’s 18% growth. Advanta’s Rs 3,629 crore of H1FY27 revenue was below SUPERFORM’s Rs 6,498 crore and UPL Corporation Ltd.’s Rs 14,345 crore.

At the consolidated level, UPL Limited reported H1FY27 revenue of Rs 22,041 crore, up 4%, contribution of Rs 9,693 crore, up 7%, and EBITDA of Rs 3,812 crore, up 9%. Contribution margin increased 140 basis points to 44.0%, while EBITDA margin rose 80 basis points to 17.3%.

UPL Corporation Ltd. contrasted with Advanta, reporting a 2% H1FY27 revenue decline amid lower volumes. UPL Limited attributed the decline to weather disruption and sales phasing in Brazil and other Latin American markets, plus drought-like conditions in Europe, while Advanta cited pricing, foreign exchange and specified crop demand.

What operating and cash factors should readers watch?

Advanta’s reported growth remains exposed to weather and regional crop conditions because El Niño and delayed monsoons affected its India and Thailand businesses in H1FY27. The release does not provide a revenue, EBITDA or margin outlook for Advanta for the full fiscal year.

The disclosed crop mix also shows that H1FY27 growth was geographically concentrated in several markets. Corn demand supported revenue in Argentina, other Latin American countries and Indonesia, while the post-harvest business expanded in the United States, Latin America and South Africa.

At group level, net working capital reached 145 days in September 2026, compared with 118 days a year earlier. UPL Limited put working capital at $2.2 billion, saying higher inventory was the main driver and that its H2 focus is improving inventory conversion and cash generation.

Management said its capital priorities remain converting earnings into cash, deleveraging and improving returns. UPL Limited reported operational profit after tax and minority interest, excluding exceptional items, of Rs 441 crore for H1FY27, up 33% year on year, mainly due to higher EBITDA and other income.

Conclusion

Advanta combined 18% H1FY27 revenue growth with 21% EBITDA growth, supported by pricing, favourable foreign exchange, selected seed markets and post-harvest expansion. Its revenue performance exceeded UPL SAS’s 1% growth and contrasted with the 2% decline at UPL Corporation Ltd., although SUPERFORM’s 21% growth was faster.

The next disclosed milestone is completion of the proposed 99.98% acquisition of Misr Hytech Seed International on or before January 31, 2027, subject to regulatory approvals. Readers can also track UPL Limited’s H2 plan to improve inventory conversion and cash generation after net working capital rose 27 days to 145 days in September 2026.