Kaveri Seeds Expects To Grow Only In The Next Financial Year
Kaveri Seeds said it doesn’t expect “significant sales” in the fourth quarter but anticipates to grow at 15-20 percent in the next financial year.
Cotton is a Kharif crop which will be harvested in July-September and “the first quarter is the main” for the seed producer, Executive Director of the company C Mithun Chand told BloombergQuint in an interview. “In India, 90 percent of the cotton crops come in the Kharif season, which contributes to more than 55 percent to our revenue.”
In the third quarter, the cotton acreage had come down due to pink bollworm and delayed rains which impacted sales.
The company’s net profit declined 33 percent on a yearly basis to Rs 3.6 crore in the December quarter, while its operating profit nearly wiped off. The operating margin contracted to 0.3 percent from 13.6 percent a year ago.