Chambal Fertilisers Gains as Q2 PAT Jumps 34% YoY; Declares ₹4/Share Dividend

Chambal Fertilisers and Chemicals Ltd (CFCL) reported a significant 40.8% year-on-year (YoY) increase in net profit for the second quarter ending September 30, 2024. The company’s net profit rose to ₹536.4 crore, compared to ₹381 crore in the same period last year. However, revenue from operations decreased by 19.3%, reaching ₹4,346.2 crore, down from ₹5,385.5 crore in the prior year’s quarter.

Half-Year Performance

For the first half of FY25, CFCL’s consolidated net profit rose by 29.9%, totalling ₹934.68 crore. Revenue from operations for the six-month period declined by 15.28%, amounting to ₹9,374.62 crore, compared to the corresponding period in FY24.

Operating Profit and Margins

CFCL’s operating profit, measured as earnings before interest, tax, depreciation, and amortisation (EBITDA), surged by 28.5% YoY. The EBITDA for Q2 FY25 stood at ₹790.2 crore, up from ₹615 crore in Q2 FY24. This improvement led to an EBITDA margin of 18.2% for the current quarter, up from 11.4% a year ago.

Interim Dividend Announcement

The board of CFCL declared an interim dividend of 50% on its equity share capital, translating to ₹5 per equity share of ₹10 face value. This dividend is set to be dispatched on or before December 5.

About Chambal Fertilisers & Chemicals Ltd

Chambal Fertilisers & Chemicals Ltd produces urea at its manufacturing facilities and markets a range of other fertilisers and agricultural inputs. Additionally, the company has a joint venture in Morocco to produce phosphoric acid. Previously, it was involved in the software business, but in FY21, it sold assets and transferred certain liabilities to close down its software operations.

On November 7, 2024, Chambal Fertilisers share price opened at ₹510.00 and touched the day high of ₹531.00, reflecting a rise of 4.9% at 11:30 AM.

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