Hyderabad, Oct 30 (Representative) Deepak Fertilisers and Petrochemicals Corporation Limited, one of India’s leading producers of industrial & mining chemicals and fertilisers (“DFPCL), said it has recorded a 237 per cent surge in its consolidated net profit at Rs 214 crore for the second quarter ended September 30, 2024 as against Rs 63 crore in the same quarter in FY24. This growth was primarily driven by the Crop Nutrition business, which experienced an 18 per cent YoY increase in revenue, while the Chemical business grew by 8 per cent YoY despite a lean quarter for the chemical sectors, the company said in a release here.. Operating revenue during the quarter increased 13 per cent to Rs 2,747 crore as compared to Rs 2,424 crore in the previous year. EBITDA Margin Growth during the quarter improved to 18 per cent compared to 12 per cent year-over-year. Achieved an 83 per cent year-over-year increase in sales volume of manufactured bulk fertilizer, marking the highest sales in a quarter, the release said.
The company secured 5-year Anti-Dumping Duty (ADD) on IPA. Commenting on the performance, Mr. Sailesh C. Mehta, Chairman & Managing Director, said, “ DFPCL has shown impressive performance in Q2 FY25, achieving a 13 per cent growth in revenue. Fertilizer and Chemical businesses acted as a natural hedge, enabling the company to deliver consistent and improved performance. There has been a consistent increase in the proportion of revenue from speciality products, along with an overall rise in revenue, driven by the strategic move of transitioning from commodity to speciality.” Crop Nutrition Business (CNB) achieved a remarkable 83 percent YoY increase in sales volume of manufactured bulk fertiliser, which is the highest ever sales, he said.. Monsoon is a lean period due to a slowdown in mining activities. Accordingly, we had taken a planned shutdown of the Technical Ammonium Nitrate (TAN) plant for maintenance and capacity enhancement of 50 KTPA, taking total capacity to 587 KTPA, he said. The Industrial Chemicals business experienced a healthy revenue growth of 9 per cent, despite a marginal decrease in volumes.
This performance underscores our strategic shift from commodities to speciality chemicals, which has effectively mitigated price volatility, said Sailesh. The ammonia plant has enabled all our businesses to reap substantial benefits from backward integration, effectively mitigating supply chain risks and price volatility. As a result, we are now able to capture the increases in global ammonia prices within the group, he added. As India continues to grow, the chemical and fertiliser sectors are poised to thrive. The demand outlook for the crop nutrition, mining chemicals, and industrial chemicals business is well aligned with India’s growth story, providing strong and positive tailwinds, he said. We are actively working on the execution of the TAN Project and the Nitric Acid Project in Gopalpur and Dahej, respectively, to capitalise on future growth, he added. DFPCL, a multi-product Indian conglomerate, has plants located in four states — Maharashtra (Taloja), Gujarat (Daher), Andhra Pradesh (Srikakulam), and Haryana (Panipat)..