Jalgaon, India | January 30, 2025 – Jain Irrigation Systems Ltd. (BSE: 500219, NSE: JISLJALEQS), a global leader in irrigation solutions, has released its unaudited financial results for the quarter and nine months ended December 31, 2024. The company reported declining profitability despite stable revenue due to higher costs and foreign exchange losses.
Key Financial Highlights (Standalone)
Particulars
Q3 FY25 (₹ Lakhs)
Q2 FY25 (₹ Lakhs)
Q3 FY24 (₹ Lakhs)
9M FY25 (₹ Lakhs)
9M FY24 (₹ Lakhs)
Revenue from Operations
79,573
57,505
80,528
223,169
275,587
Total Income
80,255
57,994
80,685
224,695
276,229
Total Expenses
78,390
60,877
80,418
225,026
271,403
Profit Before Tax (PBT)
1,865
(2,883)
267
(331)
4,826
Net Profit
1,060
(2,061)
177
(357)
3,040
Revenue remained relatively stable compared to the same quarter last year.
Net profit declined due to increased material costs and a rise in finance costs.
The company faced foreign exchange losses amounting to ₹599 lakhs in Q3 FY25.
Segment-Wise Performance (Standalone)
Segment
Q3 FY25 Revenue (₹ Lakhs)
YoY Change (%)
Hi-tech Agri Input Products
53,633
+19.8%
Plastic Division
26,118
-26.1%
Other Business
222
-44.6%
Growth in Hi-tech Agri Input Products driven by higher demand for micro-irrigation systems.
The Plastic Division saw a significant decline due to reduced demand.
Key Financial Highlights (Consolidated)
Particulars
Q3 FY25 (₹ Lakhs)
Q2 FY25 (₹ Lakhs)
Q3 FY24 (₹ Lakhs)
9M FY25 (₹ Lakhs)
9M FY24 (₹ Lakhs)
Revenue from Operations
136,078
119,197
135,777
403,061
442,073
Total Expenses
136,136
122,047
135,352
404,493
434,287
Profit Before Tax (PBT)
143
(1,678)
1,093
20
8,234
Net Profit
(122)
(1,318)
859
(217)
5,348
On a consolidated basis, revenue remained flat YoY.
Higher raw material costs and finance costs contributed to the decline in profit.
Loss from discontinued operations resulted in an overall net loss.
Corporate Announcements
Appointment of Lead Independent Director: Dr. Narendra Jadhav was appointed the lead independent director.
ESOP Allocation: The company allotted 2,589,400 equity shares under the Employee Stock Option Plan 2011, increasing the total paid-up equity capital.
Sale of Jain Farm Fresh Shares: The company sold 253,977 Jain Farm Fresh Foods Ltd. shares to Mandala Capital AG at ₹389.82 per share, generating ₹558 lakhs in profit.
Management Commentary
Anil B. Jain, Vice Chairman & Managing Director, stated: "We continue to focus on operational efficiency and cost management amidst challenging macroeconomic conditions. The growth in our Hi-tech Agri Input segment is encouraging, but we recognize the need to address profitability concerns and strengthen our financial position."
Outlook
Cost Optimization: The company is taking measures to control material and finance costs.
Market Expansion: Plans to strengthen its presence in international markets, particularly North America and Europe.
Debt Reduction Strategy: Management is actively working on deleveraging to improve the company's financial health.
Jain Irrigation’s financial performance in Q3 FY25 highlights a mixed picture. While revenue remains stable, profitability challenges persist. Investors will closely monitor the company’s cost-control measures and strategic moves in the upcoming quarters.