COROMANDELNSECoromandel International Limited· FertilisersMediumNeutral
Announced Fri, 15 May · 21:08 IST

Coromandel International Limited has informed the Exchange about Transcript

Mgmt Guided Margin PressureInvestor Communications View source PDF

COROMANDEL · price

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Price reaction · full curve 14 horizons · vs prior close
+0.6%1-day move
₹1867.00
prior close
₹1849.90
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AI summary

Coromandel International reported Q4 FY26 revenue of ₹6,068 crores (up 19% YoY) and EBITDA of ₹494 crores (up 16% YoY), though net profit fell to ₹115 crores due to exceptional item variance (prior year had ₹347 crore land sale gain vs current year's ₹71 crore impairment). Full year FY26 revenue reached a record ₹31,827 crores with EBITDA of ₹3,232 crores. The company commissioned new Sulphuric acid and Phosphoric acid plants at Kakinada, strengthening backward integration. Crop protection standalone business grew 15% to ₹3,054 crores with 55% profit growth, while newly acquired NACL turned profitable at ₹103 crores EBITDA. The key concern is severe raw material inflation (Ammonia at $840-850/ton, Sulphur at $800/ton) due to Middle East crisis disrupting supply chains, with current NBS subsidy rates insufficient to cover costs. The company has diversified raw material sourcing beyond traditional Middle East suppliers.

Likely market impact

The stock faces margin pressure in the near term due to sharply higher raw material costs that government subsidies may not fully cover. However, strong performance across crop protection, specialty nutrients, and retail businesses provides earnings diversification. Government support for additional subsidy and normalization of Middle East situation will be critical for fertilizer margin recovery in FY27.