Credit Rating- Revision

UPL Limited, Uniphos House, C.D. Marg, 11th Road, Madhu Park, Khar (West), Mumbai – 400052, India w: www.upl-ltd.com e: contact@upl-ltd.com t: +91 22 6856 8000 August 14, 2026 BSE Limited National Stock Exchange of India Ltd Mumbai Mumbai SCRIP CODE: 512070 SYMBOL: UPL Sub.: Intimation of revision in credit rating outlook by S&P from “Stable” to “Positive” for UPL Corporation Limited Dear Sir/Madam, Pursuant to Regulation 30(6), read with Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we hereby inform you that S&P Global Ratings (“S&P”), vide its publication dated August 14, 2026, communicated revision in the credit rating outlook of UPL Corporation Limited (“UPL Corp”), wholly owned subsidiary of UPL Limited. S&P has revised its rating outlook on UPL Corp from “Stable” to “Positive”. S&P affirmed 'BB' long term issuer credit rating of UPL Corp. S&P also affirmed 'BB' issue rating of its senior unsecured notes. The communication received from S&P is enclosed herewith. We request you to kindly take the above on record. Thanking you, Yours faithfully, For UPL Limited Sandeep Deshmukh Company Secretary and Compliance Officer (ACS-10946) Encl: As above Registered Office: 3-11, GIDC, Vapi, Valsad - 396 195, Gujarat, India. P +91 260 2432716 CIN: L24219GJ1985PLC025132 Research Update: UPL Corp. Outlook Revised To Positive On Resilient Operations; 'BB' Rating Affirmed August 13, 2026 Rating Action Overview Primary Contact Anshuman Bharati • We expect sales volumes of crop protection products to gradually recover over the next 12 Singapore 65-6216-1000 months, supporting UPL Corp.'s sales and earnings. anshuman.bharati • The India-based company will combine this with proactive balance sheet management to @spglobal.com maintain its ratio of funds from operations (FFO) to debt above the upgrade threshold of 20%. Secondary Contacts • On Aug. 14, 2026, S&P Global Ratings revised its rating outlook on UPL Corp. to positive from Shawn Park stable. At the same time, we affirmed our 'BB' long-term issuer credit rating on the company. Singapore We also affirmed our 'BB' issue rating on its senior unsecured notes. 65-6216-1047 shawn.park • The positive outlook on UPL Corp. reflects our expectation of sustained earnings and a @spglobal.com disciplined financial policy over the next 12 months. Fiona Chen Singapore Rating Action Rationale 65-6216-1085 fiona.chen @spglobal.com A gradual recovery in volumes will sustain UPL Corp.'s strong earnings over the next 12 months. S&P Global Energy estimates the crop protection market in Latin America (a major one for UPL Corp.) will grow in value by 4% in 2026 and 7% in 2027. An increase in harvest area and crop yields in the region over the next 12-18 months will propel this. Accordingly, we expect the company's earnings to remain resilient despite higher and volatile costs stemming from the ongoing conflict in the Middle East. UPL Corp.'s results for the fiscal year ended March 31, 2026, exceeded our expectations, with EBITDA 17% above our estimate. This momentum continued into the first quarter of fiscal 2027, supported by favorable currency movements and improved performance in the seeds business. Volumes declined as distributors deferred procurement in response to heightened price volatility, but we expect restocking demand to support volumes throughout the remainder of fiscal 2027. By our estimates, UPL Corp. will maintain credit metrics commensurate with a higher rating. This will be supported by the company's stable earnings and disciplined financial policy. S&P Global Ratings-adjusted debt for UPL Corp. declined to a multi-year low as of March 31, 2026, as it has prioritized deleveraging over growth in recent years. www.spglobal.com/ratingsdirect August 13, 2026 1 UPL Corp.'s ratio of FFO to debt improved to 23% in fiscal 2026. This was higher than our earlier estimate of 18% due to improved earnings. We now forecast this ratio to stay at 22%-25% through fiscal 2028, comfortably above our upside threshold of 20%. We expect UPL Corp. to proactively manage its upcoming maturities. The company's sustainability linked term loan of US$500 million matures in December 2026. It is exploring various options, including term loans, rupee/dollar denominated bonds and committed facilities. Additionally, UPL Corp. has debt maturity of US$500 million in September 2027. Refinancing would be crucial as it would soon fall within the 12-month window and weigh on the company's liquidity. Nevertheless, the company has a record of addressing its past maturities in a timely manner. Adverse weather and volatile raw material prices could derail the improvement in UPL Corp.'s credit profile. Severe El Nino conditions could lower crop yields in various geographies and hurt demand for crop protection products. We estimate a 10% decline in volumes from our base case could lower the ratio of FFO to debt below our upgrade threshold of 20%, all else being equal. UPL Corp. is also exposed to volatility in active ingredient prices. Inventory losses due to a sharp correction in those prices could weaken the company's profit margins. Easing supply chain constraints and falling crude oil prices could trigger such a scenario. UPL Corp.'s credit ratios are sensitive to large swings in working capital. The company has experienced considerable volatility in cash flow in the past due to large movements in working capital. UPL Corp.'s substantial business in Latin America results in its receivables being higher than the industry average. This weighs on how quickly it can turn sales into cash. Elevated working capital could weigh on UPL Corp.'s FFO-to-debt ratio FY2025 FY2026 FY2027f FY2028f FY2029f We expect working capital requirements in fiscal 2027 to rise by Indian rupee (INR) 14 billion, largely because increasing sales require a higher buildup of inventory. Incremental working capital usage is likely to normalize to below INR10 billion in subsequent years. While our base case is for UPL Corp.'s FFO-to-debt ratio to approach 25% over the next 12-24 months, an additional INR20 billion in working capital requirement could weaken this ratio below 20%. oitar tbed-ot-OFF UPL Corp. Outlook Revised To Positive On Resilient Operations; 'BB' Rating Affirmed Base case INR10 bil. higher INR20 bil. higher INR30 bil. higher Upside threshold FY--Financial year ending March 31. f--Forecast. The scenarios above indicate incremental working capital usage compared with our base case. Source: S&P Global Ratings. © 2026 Standard & Poor’s Financial Services LLC. www.spglobal.com/ratingsdirect August 13, 2026 2 UPL Corp. Outlook Revised To Positive On Resilient Operations; 'BB' Rating Affirmed Outlook The positive outlook on UPL Corp. reflects our expectation of sustained earnings and a disciplined financial policy over the next 12 months. Downside scenario We may revise the rating outlook on UPL Corp. back to stable if: (1) a delayed recovery in demand for crop protection products leads to stagnant volumes and compressed margins; or (2) debt increases materially, driven by an extended working capital cycle, large unanticipated acquisitions, or elevated shareholder distributions. In such scenarios, UPL Corp.'s FFO-to-debt ratio could weaken below 20%. Upside scenario We could raise the rating on UPL Corp. if resilient earnings, proactive addressing of upcoming debt maturities, and prudent working capital management lead to a sustained improvement in the company's credit quality. In such a scenario, we would expect liquidity to improve further and the FFO-to-debt ratio to remain comfortably above 20%. Company Description UPL Corp. is a wholly owned subsidiary of India-listed UPL Ltd. UPL Corp. owns 78% of UPL Corp. Ltd. Cayman, a subsidiary focused on global crop protection business (outside of India). UPL Ltd.'s offerings cover the entire agricultural value chain, including seeds, seed treatment, crop protection, storage of agric [Showing first 8,000 characters — download PDF for full document]