Kaveri Seed Company Ltd

AGM Details

• AGM held 29 September 2026 at 12:00–12:40 via VC/OAVM; 71 attendees present.

Resolutions approved

• Ordinary: Adopt standalone financial statements for the year ended.
• Ordinary: Adopt consolidated financial statements for the year ended.
• Ordinary: Ratify interim dividend payment (amount not disclosed).
• Ordinary: Re-appoint C. Vamsheedhar as Director on retirement by rotation.
• Ordinary: Re-appoint C. Mithunchand as Director on retirement by rotation.
• Special: Re-appoint G.V. Bhaskar Rao as Chairman & MD; remuneration approved.
• Special: Re-appoint G. Vanaja Devi as Whole-time Director; remuneration approved.
• Special: Re-appoint C. Vamsheedhar as Whole-time Director; remuneration approved.
• Special/Ordinary: Re-appoint Mithun Chand as Whole-time Director; remuneration approved.

Dividend

• Interim dividend on equity shares ratified (amount not disclosed in filing).

Director changes

• G.V. Bhaskar Rao re-appointed as Chairman & MD; terms and remuneration approved.
• G. Vanaja Devi re-appointed as Whole-time Director; terms and remuneration approved.
• C. Vamsheedhar re-appointed as Whole-time Director; terms and remuneration approved.
• C. Mithun Chand re-appointed as Whole-time Director; terms and remuneration approved.

AGM Details

• Date and time: 29 September 2026 at 12:00 Noon; mode: Video Conferencing (OAVM).
• AGM conducted to transact resolutions listed in the notice; remote e-voting and VC participation were available.
• Total shareholders on record date: 57,817.

Key Resolutions

• Agenda 1: Adoption of standalone financial statements for year ended 31 March 2026.
• Agenda 2: Adoption of consolidated financial statements for year ended 31 March 2026.
• Agenda 3: Interim dividend payment on equity shares approved.
• Agenda 4: Appoint director C. Vamsheedhar; retires by rotation; eligible for reappointment.
• Agenda 5: Appoint director C. Mithunchand; retires by rotation; eligible for reappointment.
• Agenda 6: Special resolution to re-appoint Bhaskar Rao as Chairman & MD; terms approved.
• Agenda 7: Re-appoint G. Vaneja Devi as Whole-time Director; remuneration approved.
• Agenda 8: Re-appoint and continue C. Vamsheedhar as Whole-time Director.
• Agenda 9: Re-appoint and continue C. Mithunchand as Whole-time Director.

Voting Results

• Agenda 1 passed by requisite majority.
• Agenda 2 passed by requisite majority.
• Agenda 3 passed; interim dividend approved.
• Agenda 4 passed.
• Agenda 5 passed.
• Agenda 6 passed; special resolution approved.
• Agenda 7 passed.
• Agenda 8 passed.
• Agenda 9 passed.

agm details

• Date: 29 September 2026; Time: 12:00 Noon; Mode: VC/OAVM.

key resolutions

• Ordinary: Adopt standalone financial statements for the year ended 31 March 2026.
• Ordinary: Adopt consolidated financial statements for the year ended 31 March 2026.
• Ordinary: Ratify interim dividend payment on equity shares for FY 2025-26.
• Ordinary: Re-appoint C. Vamsheedhar as director (retiring by rotation).
• Ordinary: Re-appoint C. Mithunchand as director (retiring by rotation).
• Special: Re-appoint G.V. Bhaskar Rao as Chairman & MD with remuneration terms.
• Special: Re-appoint Mrs. G. Vanaja Devi as Whole-time Director with terms.
• Special: Re-appoint C. Vamsheedhar as Whole-time Director.
• Special: Re-appoint C. Mithun Chand as Whole-time Director.

voting status

• Results of e-voting and AGM to be announced within 48 hours.

ITAT hearing on tax demand

• Notice received 18 September 2026; hearing scheduled 15 October 2026.
• Appeal No. ITA2422/Hyd/2026 filed by Income Tax Department against CIT(A) order for AY 2022-23.
• Tax demand of Rs 56.21 crore; CIT(A) had deleted the demand by accepting agricultural income exemption.
• Company evaluating notice and will defend the matter before ITAT.
• Annexure I provides details; the issue relates to agricultural income exemption claimed by the company.
• Management reports no expected material adverse impact; strong case on merits asserted.

ITAT hearing update

• Receipt of ITAT Hyderabad hearing notice against IT Dept's appeal for AY 2022-23.
• Tax demand amount cited: Rs 56,21,17,500.
• ITAT appeal follows CIT(A) order dated 7 April 2026 allowing agricultural income exemption and deleting demand.
• Hearing set for 15 October 2026; company to defend the matter.
• Company evaluating notice; believes merits are strong and no material adverse impact anticipated.

Financial Performance

• Revenue from operations: Rs 815 crores; vs Rs 945 crores prior year
• EBITDA: Rs 285 crores; vs Rs 332 crores prior year
• Operating margin: about 35%; same as last year
• Net profit: Rs 271.3 crores; vs Rs 316 crores
• Cash on books: Rs 267 crores

Segment and Product Trends

• Non-cotton revenue: Rs 601.57 crores
• Cotton revenue: Rs 213.43 crores
• New cotton products: 37% of cotton sales (vs 22% last year)
• New maize hybrids: >20% of maize sales
• Paddy hybrids KRH7344 and KRH7227 launched; 62% of new-product sales
• Export revenue: Rs 5.79 crores; grew from Rs 1.1 crores
• Selection rice revenue: Rs 159.07 crores
• Bajra hybrids: 65% of Bajra volumes (up from 61%)
• Inventory around Rs 1,200 crores; up about Rs 200 crores YoY

Liquidity and Balance Sheet

• Cash on hand: Rs 267 crores as of 30 June 2026
• Board buyback: decision to be taken; amount to be communicated if approved
• Inventory management: expect to adjust production next year; inventory being managed

Pipeline and Capex

• Product pipeline is among the best in 8–10 years
• Two new paddy hybrids launched; KRH7344 and KRH7227
• Pipeline expected to reflect in revenues in 2–3 years

Guidance and Outlook

• Growth target: 18%–20% over next 2–3 years; 15%–18% longer term (as stated)
• Exports target: Rs 100 crores in 3 years
• Exports margin target: 25%–30%
• Q2 margin likely lower than Q1; full-year margin to narrow, not rise
• Rabi maize demand expected to pick up

Q&A Highlights

• Karnataka Kharif sales: 2,600 tonnes last year vs 1,500 tonnes; potential recovery 1,100–1,200 tonnes (roughly Rs 40–60 crores)
• MP/Maharashtra underperformed; Rajasthan and other northern regions performed relatively better
• New hybrids/rice/multi-crop pipeline strong; revenue uplift anticipated in 2–3 years
• Cotton realizations remain high; MRP capped; industry context affecting margins
• New hybrid rice contribution: 53% of hybrid rice sales from new products; 62% of hybrid rice contribution linked to new hybrids
• Product pipeline considered the strongest in 8–10 years; expect revenue impact in coming years

Risks and Watchpoints

• El Niño/weak monsoon impacting sowing windows and demand
• Illegal Bt cotton and regional rainfall variability affecting margins
• High inventory levels (~Rs 1,200 crores) and potential production adjustments
• Geographic mix exposure; MP/Maharashtra weaker relative to other regions

Meeting Details

• Date: 14 August 2026; Time not disclosed.
• Type/Mode: audio management commentary (format not specified).
• Organiser: Kaveri Seed Company Limited.

Participants

• Key participant: Company Secretary.

Purpose

• Provide management commentary on unaudited standalone and consolidated results for quarter ended June 30, 2026.

Additional Notes

• Audio recording of management commentary will be made available.