BASF India Ltd's Q2 FY27 numbers came in soft, with revenue of Rs. 4,832.19 Cr (+23.77% YoY) and PAT growth of -38.93% YoY. Here's a quick read of what worked, what to watch, and what management said.
| Results date | November 04, 2026 |
|---|---|
| Revenue (Q2) | Rs. 4,832.19 Cr (+23.77% YoY) |
| PAT (Q2) | Rs. 61.71 Cr (-38.93% YoY) |
| EBITDA margin | 1.89% (-204 bps YoY) |
| EPS (Q2) | Rs. 14.30 (-38.63% YoY) |
Revenue grew 23.77% YoY to Rs.4,832.19 Cr but PAT fell 38.93% YoY to Rs.61.71 Cr as cost of materials surged 54.15% YoY, compressing EBITDA margin to 1.89% (−204 bps). Nutrition & Care and Industrial Solutions delivered profit growth, but three of six segments were loss-making and H1 operating cash flow remained negative at −Rs.356.51 Cr. Management provides no P&L guidance by policy; the QoQ PBT collapse is largely an inventory-timing artifact, but the YoY decline reflects a real feedstock-cost squeeze.
| Driver | Expected before results | What happened | Verdict |
|---|---|---|---|
| Revenue | "in-line to modestly behind the Q1 momentum… industrial likely held the Q1 volume gains, agro likely behind" | Revenue Rs.4,832.19 Cr, −0.11% QoQ; Ag Solutions −5.00% YoY | Partially |
| Margins | "likely compressing on feedstock" (crude Indian basket $82→$116 across the quarter, per pre-call note, web-sourced) | EBITDA margin 1.89% vs 3.93% YoY; cost of materials +54.15% | Played out |
| Inventory offset | Q1's −Rs.570 Cr inventory-change swing could cut either way | Swing reversed: +Rs.44.31 Cr charge in Q2 (Δ Rs.614.35 Cr) | Played out |
| Working capital | "whether inventory days (79) normalized" | Inventory days 63.2 (stable vs Mar), absolute build Rs.3,342.32 Cr; H1 CFO −Rs.356.51 Cr vs −Rs.932.11 Cr | Partially |
| Volume/price split | "quantify… whether price realization turned positive" | Not disclosed in the filing | Not observable |
| Agro herbicide impact | "quantify the delayed-monsoon herbicide impact" | Segment direction visible (−Rs.28.63 Cr loss); quantum not disclosed | Partially |
| Portfolio items | "NCLT status vs end-2026… any new exceptional items" | Coatings completed; demerger still "subject to requisite approvals"; no new exceptional in Q2 | Played out |
Read our full results preview.
| What management said | Where | What happened | Verdict |
|---|---|---|---|
| FY26 dividend Rs.25/share | Approved at the 82nd AGM, Aug 12, 2026 | Rs.108.25 Cr paid in H1 FY27 | Completed |
| Coatings sale (Rs.230.16 Cr) | Board decision disclosed in the Mar 2026 quarter; filing note | Completed Jun 30, 2026; gain Rs.18.15 Cr | Completed |
| BASIL demerger NCLT approval "by end-2026" | Management timeline commitment (prior calls) | Filing (Nov 4, 2026) still states "subject to receipt of requisite approvals" — not yet sanctioned | On Track |
| FY27 capex "exceed Rs.200 Cr" | Management commentary, Q4 FY26 call | H1 capex Rs.59.84 Cr (consolidated, cash-flow basis) | Too Early |
| "Opex control… that is a focus area" | CFO, prior-quarter commentary (opex was 13.2% of revenue in H1 FY26) | Opex ex-COGS at 10.22% of revenue in Q2 vs 12.23% QoQ and 11.11% YoY (computed basis incl. inventory-change line in COGS) | Confirmed |
| H2 caution on feedstock/monsoon: "less herbicide sprays… difficult to predict" | Management commentary, Q1 FY27 call | Cost of materials +54.15% YoY; Agricultural Solutions revenue −5.00% YoY and a −Rs.28.63 Cr result | Confirmed |
| "NWC management is a key element… cash is king" | Management, prior calls | Net working capital rose Rs.859.08 Cr since March 2026; H1 operating cash flow still negative (−Rs.356.51 Cr, though improved from −Rs.932.11 Cr) — as yet | Contradicted |
| Q1 framing: "results very, very strong… not only top-line but also profitability" | Management, Q1 FY27 communication | Q1 PBT was flattered by the Rs.570.04 Cr inventory-build credit; Q2 PBT −82.73% QoQ on the reversal — Q1 strength was inventory-timing-assisted | Partially |
| Metric | H1 FY25 | H1 FY26 | H1 FY27 |
|---|---|---|---|
| Opex % of revenue | 11.5 | 13.2 | 11.23 (computed; basis note in §2c) |
| Inventory days | 61 | 79 | 63.2 (annualised-revenue basis) |
| H1 CFO (Rs. Cr, consol.) | −8.0 | −932.1 | −356.5 |
Disclaimer: This results analysis is published for educational and informational purposes only. It is not investment advice, not a recommendation to buy, sell or hold any security.