India's UPL hits three-year low on weak Q3 results

UPL

05/02/2024 04:42

** Shares of UPL  UPLL.NS  down as much as 6.6% to 498.3
rupees, their lowest since Jan. 2021
    ** Agriculture chemicals maker reported Dec-qtr net loss of
12.17 bln rupees ($146.6 million) vs profit of 10.87 bln rupees
a year ago
    ** Gross margin contracted to 36.1% Y/Y due to high-cost
inventory, increased sales returns in the NAFTA and LATAM
regions, higher discounts to its channel partners - Antique
Stock Broking
    ** Persistent weakness in key markets of US and Brazil,
along with inventory destocking, may continue for two to three
quarters, putting margins under pressures - Nuvama 
    ** Nuvama downgrades stock to 'reduce' from 'buy'
    ** About 6.4 mln shares change hands as of 10:02 a.m. IST,
2.4x the 30-day average

($1 = 83.0250 Indian rupees)

 (Reporting by Navamya Ganesh Acharya in Bengaluru)
 ((Navamya.GaneshAcharya@thomsonreuters.com; +91 8805175330 ;))