Sumitomo Chemical India Q2 Results: FY27 Signals

Q2 FY27 results are due on October 26

Sumitomo Chemical India is scheduled to announce its Q2 FY27 results on October 26, 2026. The company has also planned an earnings call with investors and analysts on October 27 at 2:30 PM IST to discuss its Q2 and first-half performance. The result comes after a first quarter in which profit growth outpaced revenue growth. Investors will be looking for management commentary on agricultural demand, product pricing, raw-material costs and the outlook for the Rabi season. Weather conditions remain an important operating variable for agrochemical companies because they affect product application and farm demand. The company has described its FY27 outlook as cautiously optimistic while highlighting uncertainty around monsoon conditions and El Nino.

Q1 FY27 profit rose faster than revenue

For the quarter ended June 30, 2026, Sumitomo Chemical India reported revenue of ₹1,063 crore, up 0.6% from ₹1,057 crore a year earlier. Profit for the quarter rose 20.8% to ₹214.5 crore from ₹177.6 crore. The company said the Q1 profit increase was supported by margin expansion and an exceptional insurance claim. This means the reported profit growth should be read alongside the impact of that exceptional item. The company had earlier reported earnings per share of ₹3.56 for the second quarter of 2026, compared with ₹3.85 in the corresponding quarter of 2025. That update also showed revenue of ₹930 crore, down 5.9% year-on-year, and net income of ₹178 crore, down 7.6%.

FY26 established a high profitability base

The company reported FY26 consolidated revenue of ₹3,238.3 crore, up 3% from the prior year. Domestic revenue increased 4%, while exports declined 2%. EBITDA was ₹670.9 crore and the EBITDA margin was 20.7%. Reported profit after tax was ₹543 crore, with the company describing it as its highest-ever profitability. It said PAT increased 7% despite challenging conditions in the agrochemical market. Management also cited record gross and EBITDA margins, new product launches and domestic sales growth as FY26 supports.

Q4 demand faced weather and regulatory pressure

In Q4 FY26, revenue increased 1% year-on-year to ₹683.7 crore. Domestic growth was partly offset by lower export revenue. The company said performance was affected by the discontinuation of the AND business, soft Rabi demand and regulatory constraints in bio-rationals. It also noted that extreme weather conditions had curtailed domestic agrochemical applications during an earlier challenging quarter. Despite these operating pressures, the company said it maintained pricing discipline and a gross margin of 43.1% in Q2 FY26. Full reservoirs were cited as a constructive factor for the Rabi season.

Key financial figures

Analyst estimates point to steady expansion

Anand Rathi has broadly retained its FY27E and FY28E estimates and forecast organic EBITDA CAGR of about 15% over FY26 to FY30E. Its revenue estimate is ₹3,602.5 crore for FY27E and ₹4,158.6 crore for FY28E. The brokerage estimates EBITDA of ₹769.1 crore in FY27E and ₹923.2 crore in FY28E. Its FY27E earnings-per-share estimate was reduced 2.5% to ₹12.9. The FY28E EPS estimate was increased 1.1% to ₹15.7. These are analyst estimates, not company guidance.

Manufacturing and China+1 plans remain relevant

The company has highlighted investments in manufacturing, research and development, and digital outreach. It has also referred to capex plans at Dahej and Tarapur as part of its China+1 strategy. These projects form part of its effort to strengthen manufacturing capabilities. The company maintained a debt-free balance sheet and strong cash reserves in FY26, according to the available update. Its stated strategy also includes new product launches and expansion in the domestic market. The October earnings call may provide further operational detail on these initiatives.

What investors will monitor in the Q2 update

The Q2 release will be assessed for revenue growth, profitability and any movement in gross or EBITDA margins. Commentary on domestic demand and exports will matter because domestic sales supported FY26 growth while exports fell. Investors will also watch for the effect of weather on product applications and farmer demand. Management has identified raw-material inflation and geopolitical developments as risks that it is monitoring. Regulatory constraints in bio-rationals and the discontinued AND business are also relevant to comparisons with earlier periods. No specific FY27 revenue or operating-profit target has been provided by management.

Outlook remains conditional on operating conditions

Sumitomo Chemical India enters the Q2 announcement after delivering higher Q1 profit on broadly flat revenue and completing FY26 with record reported profitability. The company’s FY27 outlook remains cautious, with weather, El Nino uncertainty, raw-material costs and geopolitical developments identified as key variables. The October 26 result and the October 27 earnings call are the next scheduled events for investors seeking updated financial and operational information.