How Weather and Costs Hit Godrej Agrovet's Profits

Godrej Agrovet, a big name in India's agriculture sector, saw its profits drop in the last quarter. This was mainly because of too much rain and rising costs. The heavy rainfall, which was way more than usual, messed up farming schedules. Farmers couldn't spray pesticides and other treatments as planned. This hit the company's crop protection business hard, with a big drop in revenue. The dairy business also took a hit, with a small decline compared to last year. However, the animal feed unit, which is the company's biggest money-maker, saw a tiny increase. But don't celebrate yet. Analysts say that the growth in this area will be slow, and profits might stay tight because of rising costs of basic ingredients. Overall, the company's revenue did go up by about 5%. But the profit drop is a red flag. The extra rain and higher costs for raw materials are the main culprits. Analysts think that things might get better in the next year or so, thanks to some government tax cuts and more people buying branded products. But for now, Godrej Agrovet is feeling the pinch. The weather and costs are playing a big role in how the company is doing. It's a reminder of how much agriculture depends on nature and how changes in costs can impact profits.