Chambal Fertilisers and Chemicals Limited – Investor Presentation Summary

Key Operational Highlights

  • Urea production capacity: 3.4 MMTPA across 3 manufacturing plants at single location
  • Urea market share: ~10% of domestic supply
  • Distribution network: 14 states covered, 4,918 dealers, and 93,000+ retailers
  • Weak Nitric Acid and Ammonium Nitrate Solution production started
  • Activities for commissioning of TAN Solid - High Density Ammonium Nitrate (HDAN) plant in progress

Key drivers of operational performance: New product launches (7 in Q1), expansion into industrial chemicals, and deep distribution network

Segment-wise Performance

Urea Segment:

  • Q1-FY27 Sales: ₹28,600 Mn (Q1-FY26: ₹31,085 Mn, Q4-FY26: ₹24,316 Mn)
  • Q1-FY27 EBIT: ₹2,387 Mn (Q1-FY26: ₹3,230 Mn, Q4-FY26: ₹1,429 Mn)
  • Production Volume: 6.10 Lakhs MT (Q1-FY26: 8.41 Lakhs MT, Q4-FY26: 6.72 Lakhs MT)
  • Sales Volume: 6.45 Lakhs MT (Q1-FY26: 8.54 Lakhs MT, Q4-FY26: 7.30 Lakhs MT)

Complex Fertilisers Segment:

  • Q1-FY27 Sales: ₹4,345 Mn (Q1-FY26: ₹4,613 Mn, Q4-FY26: ₹1,903 Mn)
  • Q1-FY27 EBIT: ₹1,084 Mn (Q1-FY26: ₹305 Mn, Q4-FY26: ₹961 Mn)
  • Introduced Ammonium Sulphate Grade in Q1

CPC, SN and Seeds Segment:

  • Q1-FY27 Sales: ₹1,084 Mn (Q1-FY26: ₹1,429 Mn, Q4-FY26: ₹53 Mn)
  • Q1-FY27 EBIT: ₹1,084 Mn (Q1-FY26: ₹-115 Mn, Q4-FY26: ₹961 Mn)
  • 17% point improvement in margin YoY
  • Launched 7 new products of CPC covering Herbicide, Fungicide and Insecticide

Explanation of significant changes in segment performance: Urea volume lower mainly due to planned and/or extended shutdown of Urea Plants. P&K fertilisers delivered good performance with timely sourcing for Kharif and partially for Rabi.

Financial Highlights

Consolidated Performance:

  • Revenue: ₹50,270 Mn (-12% YoY)
  • EBITDA: ₹8,508 Mn (+12% YoY)
  • PAT: ₹5,236 Mn (-5% YoY)
  • EPS: ₹13.07 (-5% YoY)
  • EBITDA Margins: 16.92% (vs 13.36% in Q1-FY26)
  • PAT Margins: 10.42% (vs 9.63% in Q1-FY26)

Standalone Performance:

  • Revenue: ₹50,270 Mn (-12% YoY)
  • EBITDA: ₹8,509 Mn (+12% YoY)
  • PAT: ₹7,035 Mn (+10% YoY)
  • EPS: ₹17.56 (+10% YoY)
  • EBITDA Margins: 16.93% (vs 13.36% in Q1-FY26)
  • PAT Margins: 13.99% (vs 11.20% in Q1-FY26)

Drivers of financial performance: Higher EBITDA margins despite lower revenue, improved operational efficiency

Comparison to market estimates: Not Specified

Key Risks: El Niño impact on agriculture, raw material price fluctuations

Geographical Revenue Split

Domestic vs Export/Regional Revenue: Not Specified

Regional Breakdown: Not Specified

Balance Sheet Snapshot

Standalone (As of FY26):

  • Net Debt to Equity: 0.01%
  • ROE: 20.83%
  • ROCE: 25.36%
  • Crisil Rating: AA+ for bank loan facilities (long term)

Financial Health Insights: Strong balance sheet with minimal debt, high profitability ratios

Capex & Cash Flow Health

  • Technical Ammonium Nitrate Project cost: ₹16,450 Million with capacity of 2.4 Lakh MTPA
  • Capital Expenditure: Not Specified
  • Free Cash Flow: Not Specified
  • Operating Cash Flow: Not Specified
  • Net Debt Movement: Not Specified

Investment Rationale: Expansion into industrial and mining chemicals supporting India's 'Aatmanirbhar Bharat' vision

Strategic & R&D Initiatives

  • New Urea Project under National Investment Policy for Urea-2026 (NIPU-2026) with pre-project activities completed
  • CFCL-TERI Centre of Excellence for Advance and Sustainable Agriculture Solution developing 10 novel & patented products
  • 5 products to be launched in FY 2028-29, 5 products in FY 2030-31
  • Data generation for registration of 2 products initiated through ICAR/Universities

Expected impact on growth: Post new urea plant, CFCL will be largest single location Urea producer in India and 2nd largest in world

Strategic Rationale: Becoming single-window agri-solutions provider with integrated crop solutions

Industry Trends & Business Environment

Macro/Industry Trends: El Niño causing erratic rainfall and prolonged dry spell affecting acreages of Kharif crops in major agri states. Summer crop sowing area coverage: -53.76 Lac Ha (-22.73% YoY) as on 30th June 2026.

Impact on Company: High impact in 15 districts and medium impact in 71 districts out of 279 districts in CFCL territories. Continued moisture stress may impact yield and increase cost of cultivation due to higher pest infestation.

Management Commentary & Growth Outlook

Strategic Outlook: Farmer engagement "Seed-to-Harvest" and "Uttam Santulit Poshan Abhiyan" models enable timely education, advisories and suitable solutions. Growing basket of CPC, SN and Biologicals supports climate-resilient agriculture.

FY Guidance: Not Specified

Market Share Targets: Not Specified

Risks and Opportunities: El Niño impact mitigation through digital outreach and integrated crop solutions

CSR Initiatives

  • PROJECT AKSHAR: 57 Government Schools, 47 Aanganwadi centers, 10,000+ children
  • PROJECT SAKSHAM: 5 Industrial Training Institutes, 1 Govt. Polytechnic College & Chambal Fertilisers Skill Institute, 3,000+ youth
  • PROJECT AROGYA: 4 Government PHCs, 31 villages, 100+ institutions, 2,00,000+ community members outreach annually
  • PROJECT SAAKAR: Model Village concept for development of nearby villages
  • PROJECT UDAAN: 20 Senior Secondary Schools, 8 Sports Development Centers, 1 Mini Stadium
  • PROJECT PRAGATI: 4,000+ women supported annually
  • PROJECT BHOOMI: 360+ Villages covered under Crop Residue Management Initiative

Awards and Accolades

Government of Rajasthan conferred "Bhamashah" Award (Shiksha Vibhushan category) to Chambal Fertilisers and Chemicals Limited