Rallis India (Rallis) posted disappointing results for 2QFY2016. Sales for the quarter came in at Rs499.7cr V/s Rs635.9cr in 2QFY2015, a dip of 21.4% yoy. Sales were adversely impacted due to poor monsoon in India, while the international market also faced pressure with Brazil (a key market for the company) witnessing a severe drought. In USA, low crop commodity prices along with higher inventory prices impacted consumption. On the operating front, the gross margins came in at 46.7% V/s 38.5% in 2QFY2015, which lead the OPM to come in at 18.9% V/s 18.2% in 2QFY2015. The PAT came in at Rs57cr V/s Rs73cr in 2QFY2015, a yoy dip of 22.0%. We remain Neutral on the stock. Disappointing sales: For 2QFY2016, sales came in at Rs499.7cr V/s Rs635.9cr in in 2QFY2015, a dip of 21.4% yoy. Sales were adversely impacted due to poor monsoon in India, while the international market also faced pressure with Brazil (a key market for the company) witnessing a severe drought. In USA, low crop commodity prices along with higher inventory prices impacted consumption. On the operating front, the gross margins came in at 46.7% V/s 38.5% in 2QFY2015, which lead the OPM to come in at...