Kaveri Seed Company Limited (KSCL)
Micro CapFMCG stocks · Micro cap · NSE
Kaveri Seed Company Limited is an Indian seed producer offering a diverse portfolio including cotton, hybrid rice, selection rice, maize, and vegetable seeds. The company reported its Q4 & FY 2025-26 results, highlighting strong growth in non-cotton segments and exports, while facing challenges in its cotton business.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Mixed fundamentals, management trust is acceptable, price trend argues for patience, and recent execution is mixed.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 30 Jun 2026
Bad · 0/100Rev -14% YoY · PAT -14% YoY · margin expansion · +593% QoQ
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹742 Cr | -13.6% | +593.5% |
| EBITDA | ₹294 Cr | -13.0% | +1937.5% |
| Operating margin | 40.0% | +100 bps | +5500 bps |
| PAT | ₹280 Cr | -14.4% | NDF |
| PAT margin | 37.7% | -33 bps | +6391 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
FY26 revenue grew 16.25% YoY, driven by robust non-cotton performance (+23.17%), particularly Maize (+40.17%) and Hybrid Rice (+18.37%). Cotton sales declined 6.6% due to illegal seed availability and higher production costs, impacting profitability. Q4 FY26 total revenue increased 6.8% YoY.
The company's diversification into non-cotton segments and strong export growth are effectively offsetting the significant headwinds in the cotton business. While cotton profitability is under pressure, the positive outlook for Q1 FY27 across multiple segments suggests resilience and potential for overall growth.
Revenue by Segment (FY26)
Latest issuer-disclosed distribution across 2 reported categories.
Maize Segment Performance
PositiveMaize volumes increased by 18.84%, with revenues recording a strong growth of 40.17% in FY26. Q4 maize revenue increased by 15.8%.
Export Business Expansion
PositiveExport revenues are expected to register approximately 90% growth during FY2025–26 and recorded ~76% growth in Q4.
New Cotton Product Contribution
PositiveContribution from new cotton products increased significantly, rising from 10.3% to 30.05%.
Hybrid Rice Revenue Growth
PositiveHybrid rice revenues increased by 18.3% in FY26, despite marginal volume growth.
Increased Maize Acreages
PositiveMaize acreages increased by 10.79% in FY26 compared to last financial year, with increases in UP, Punjab, Bihar, Assam.
Increased Rice Sowing Area
PositiveRice sowing area across the States increased by 0.89% in FY26, with growing trends in West Bengal, Assam, and Telangana.
Increased Sunflower Sowing Area
PositiveSunflower sowing area across the States increased by 9.76% in FY26, particularly in Karnataka and Haryana.
Illegal Cotton Seed Availability
NegativeCotton sales were impacted due to the increase in illegal cotton seed availability.
Higher Cotton Seed Production Costs
NegativeHigher cotton seed production costs adversely affected profitability margins.
Restrictions on Hybrid Rice Cultivation
NegativeRestrictions on hybrid rice cultivation in Punjab impacted sales performance in the state.
Reduced Cotton Acreages
NegativeCotton acreages are down by 2.60% in FY26, with a downfall trend in key markets like Gujarat and Maharashtra.
Illegal Seed Market Competition
NegativeThe increase in illegal cotton seed availability directly impacted cotton sales.
Regulatory/Government Actions
NegativeRestrictions on hybrid rice cultivation in Punjab impacted sales, indicating vulnerability to government actions.
Input Cost Volatility
NegativeHigher cotton seed production costs adversely affected profitability margins.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
Both full-year (YoY) and quarterly (YoY) comparisons are crucial. Full-year provides a comprehensive view of annual performance and strategic shifts, while Q4 YoY highlights recent momentum and the impact of seasonal factors in the agricultural sector.
Cotton Sales Volume Trend
NegativeCotton sales were impacted due to the increase in illegal cotton seed availability.
Hybrid Rice Volume vs. Revenue Growth (FY26)
PositiveHybrid rice volumes registered a marginal growth of 0.3%, while revenues increased by 18.3%.
Maize Volume vs. Revenue Growth (FY26)
PositiveMaize volumes increased by 18.84%, with revenues recording a strong growth of 40.17%.
Vegetable Seed Sales Volume Growth (FY26)
PositiveVegetable seed sales volumes increased by 8.4%.
Q1 FY27 Cotton Sales Outlook
PositiveManagement is expecting growth in cotton sales across North, Central, and South India driven by new hybrid products in Q1 FY27.
Q1 FY27 Hybrid Rice Growth
PositiveHybrid rice growth is expected from key markets including Punjab, Uttar Pradesh, Bihar, Chhattisgarh, and Jharkhand in Q1 FY27.
Q1 FY27 Export Business Outlook
PositiveExport business performance is expected to remain strong in Q1 FY27.
Q1 FY27 Vegetable Seed Business Outlook
PositiveThe vegetable seed business outlook remains positive for Q1 FY27.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Cotton Sales Recovery | Sales impacted by illegal seeds and declining acreages. | Evidence of growth in cotton sales, particularly from new hybrid products, and stabilization of acreages in key markets. |
| Non-Cotton Segment Momentum | Strong revenue growth in Maize, Hybrid Rice, and Vegetables. | Sustained high growth rates in non-cotton segments and continued diversification of revenue streams. |
| Profitability Margin Improvement | Adversely affected by higher cotton seed production costs. | Signs of margin recovery, potentially from better cost management or improved pricing power in non-cotton segments. |
| Export Revenue Growth | Expected ~90% growth in FY26 and ~76% in Q4 FY26. | Continued strong performance and expansion in export markets as a significant growth driver. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
27Bearishfull bear SMA stack · SMA20 -5.9% / mo · MACD − · near 52W low
Technical chart
KSCLdaily · 1Y · AUTO+1.8%Daily technical trend read
Bearish setupTrend is weak — long-term trend down. RSI 34.
- Price < SMA20 < SMA50 < SMA200 — full bearish stack.
- SMA20 falling (~6.3% over last month) — short-term momentum negative.
- RSI(14) at 34 — falling, no extreme reading.
- MACD below signal but histogram contracting — bearish momentum easing.
- 39% off 52W high · 6% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation & score drivers
U-Score 52 · FAIR VALUE · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 52 · FAIR VALUE · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
FAIR VALUEWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Balance sheet contributes 11/15 to the score.
- Cash flow contributes 7/10 to the score.
- Quality contributes 11/20 to the score.
Main drags
- Fair-value margin of safety is negative at -90.3%.
- Growth is weaker at 7/25; verify the latest quarterly trend.
- Valuation is weaker at 12/30; verify the latest quarterly trend.
Consumer valuation: PE/PEG and brand-quality premium
Consumer franchises can deserve higher multiples, but only when growth quality supports them.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Healthy Trust: Claim history is still being built. It ranks around the 69th percentile of the scored universe and 20th percentile within FMCG. Main check: results consistency is weak at 57/100.
Healthy Trust Lite: Promoter holding is 60.5%. Key concern: Operating cash flow is negative at ₹-6 Cr.
Generally investable credibility. Look for weak sub-scores before increasing position size.
overall median 67 · FMCG: 20th pctile, median 78 · Micro: 50th pctile, median 73
166 documents have extracted text, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Healthy Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter holding is 60.5%.
- ▸Promoter pledge is zero.
- ▸FCF yield is positive at 2.3%.
- ▸12 years of positive FCF.
Trust risks
- ▸Operating cash flow is negative at ₹-6 Cr.
- ▸OPM spread across recent quarters is 58%.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 15.30
- P/B
- 2.18
- EV/EBITDA
- 10.84
- Market Cap
- 3828.00Cr
Profitability
- ROE
- 18.20%
- ROCE
- 18.80%
- ROA
- 9.03%
- Dividend Y
- 0.67%
Growth (CAGR)
- Revenue 5Y
- 6.00%
- EPS 5Y
- 1.00%
- Revenue 3Y
- 9.00%
- EPS 3Y
- 11.00%
Balance Sheet
- Debt/Equity
- 0.00
- Interest Coverage
- —
- Altman Z
- 4.22
- Book Value
- 342.00
Cash Flow
- FCF Yield
- 2.25%
- FCF Positive Y
- 12/5
- OCF
- -6.00 Cr
- EPS TTM
- 48.52
Shareholding
- Promoter Hold
- 60.50%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 7%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
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Peers
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Peers
Business-comparable peers in FMCG — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.