UPL Corp. Ltd: Strong 4QFY26 growth; Deleveraging progress offset by geopolitical risk, MW

Research evidence excerpt

UPL Corp. Ltd: Strong 4QFY26 growth; Deleveraging progress offset by geopolitical risk, MW

Other takeaways from the 4Q earnings

- Global crop protection segment (UPL Corp) reported 11% YoY revenue growth

in FY26 to INR383bn, driven largely by volume recovery and Fx gains and

partially offset by ongoing pricing pressure.

- UPL SAS delivered almost flat FY26 revenue at INR32bn as adverse weather

conditions in the 2Q offset strong growth in branded products.

- The seeds business (Advanta) continued to outperform, posting INR68bn of

revenue, +23% YoY, led by strong volumes in corn across key regions,

underpinning its role as a structurally higher‑margin and lower‑cyclicality

contributor.

- In case of Superform, revenue came in flat at INR103bn as 3% YoY increase in

volumes was offset by 2% pressure on prices.

- Advanta's contribution margin came in softer by about 100bps. However, all

other businesses recorded stronger FY26 margins led by improved product mix,

higher capacity utilization and/or lower input costs: UPL Corp (+200bps YoY to

35%), UPL SAS (+500bps to 32%) and Superform (+300bps to 25%).

- Regionally, UPL reported revenue growth across the board including North

America (+18% to INR112bn), Latin America (+10% to INR176bn), India (+7%

to INR39bn), Europe (+14% to INR98bn) and other regions (+10% to INR96bn).

- UPL is also in execution mode on a legally structured demerger‑cum‑merger to

create a listed, global crop‑protection pure play (UPL Global) and a cleaner UPL

holdco.

Exhibit 1: Only marginal recovery in corn prices seen recently Exhibit 2: Wheat prices improving to 1H25 but still under pressure

BBG C1 COMB Comdty Index BBG W N6 COMB Comdty Index

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Corn prices Wheat prices

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600 650 USD/bushels USD/bushels

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