Financial Performance Q1 FY27

  • Revenue from operations: ₹280.10 crores, representing 10% year-on-year growth
  • EBITDA: ₹31.9 crores, up 9.7% YoY with margin of 11.4%
  • Profit After Tax: ₹22.9 crores, up 9.4% YoY with PAT margin of 8.2%
  • Gross profit: ₹89.2 crores with margin of 31.9%
  • Profit Before Tax: ₹27.8 crores, up 7.80% YoY

Segmental Performance

Fertilizer Business:

  • Sales volume: 66,527 metric tons (vs 76,288 MT in Q1 FY26)
  • Sales value: ₹142 crores, up 4% YoY
  • Contribution: 51% of total sales

Chemical Business:

  • Sales volume: 9,113 metric tons (vs 14,837 MT in Q1 FY26)
  • Sales value: ₹138 crores, up 17.10% YoY
  • Contribution: 49% of total sales

Expansion Projects and Capex

  • Cumulative Capex: ₹209 crores incurred as of June 30, 2026 against total planned capex of ₹512 crores
  • Q1 FY27 Capex: Approximately ₹20 crores incurred
  • Ratnagiri Expansion: Units 5 and 6 at advanced stage of completion
  • Meghnagar Expansion: Work progressing as part of long-term growth plans
  • Expected Capacity Addition: 4,50,000 MTPA fertilizer capacity and 72,000 MTPA chemical capacity
  • Land Acquisition: Acquired 30,000 sqm additional land at Lote Parshuram for ₹9.33 crores
  • Solar Project: 10 MW DC solar power project at Nanded nearing completion, will take total solar capacity to 20.6 MW DC

Liquidity Position

  • Non-lien deposits: ₹125 crores as of June 30, 2026
  • Funding: Ongoing capex program funded through internal accruals and proceeds from preferential issue

Management Commentary and Outlook

  • Management expressed optimism for FY27, expecting to achieve ₹1,250 crore turnover with PAT levels around 9%
  • Potential upside to ₹1,300-1,400 crore turnover possible due to better realizations
  • Volume recovery expected in Q2 FY27 with full volume normalization anticipated
  • Unit 6 expected to commence trials by end of August or September 2026
  • Unit 5 dyes plant commissioning to be announced soon
  • For FY28, with full year of Unit 6 operations, management sees possibility of ₹1,700-1,750 crore revenue

Operational Strategy

  • Company adopted measured approach to operations due to raw material volatility
  • Acid plants kept on low load due to working capital constraints and unfavorable margin dynamics
  • Focus on value realization rather than volume pursuit
  • Raw material situation improving with better availability despite elevated prices (sulphur at ~$1,100/ton)

Product Pricing

  • K-acid prices moved from ₹550 to ₹700+ per kg
  • Increased inquiry flow from China for K-acid, H-acid, and Vinyl Sulphone