The shares of one of the leading agri solutions providers in the country has come into focus on Friday’s trading session after the company has reported a 123 percent year on year increase in its net profit in Q3 FY25.
Price Action
With a market capitalization of Rs 53,473.90 crore, Coromandel International Ltd rose 1.3 percent in Friday’s trading session and made an intraday high of Rs 1,849.80 per share compared to its previous closing price of Rs 1,825.35 per share. The stock reiterated from its day’s high and was trading at Rs 1,815 which is 0.57 percent lower than the previous closing price.
What Happened
The shares of Coromandel International Ltd were in focus after the company reported its Q3FY24-25 results. Its revenue from operations grew by 27 percent year on year from Rs 5,464.15 crore to Rs 6,935.19 crore in Q3FY25. However, on a quarter-on-quarter basis, it fell 7 percent from Rs 7,432.8 crore in Q2FY25.
This was accompanied by a 123 percent increase in net profits from Rs 228 crore to Rs 507.9 crore in Q3FY24. On a quarter-on-quarter basis, the net profit fell 23 percent from Rs.659 crore.
Further, the company’s Diluted EPS substantially increased 123 percent year on year from Rs 7.8 to Rs 17.4. However, on a quarterly basis it decreased 22 percent from Rs 22.5.
Segment Revenue
Nutrient and other allied businesses contributed to 91 percent of the total revenue while the crop protection segment accounted for 9 percent of the revenue in Q3 FY25.
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Dividend Announcement
The Board has announced an interim dividend of Rs. 6 per equity share, representing 600 percent on a face value of Rs 1. The dividend will be paid on or after February 19, 2025. The record date to determine eligible shareholders is set on February 5, 2025.
Company Overview
Coromandel International Ltd is the flagship company of the Murugappa Group, who is a leading business conglomerate across various sectors. Specializes in fertilizers, crop protein and bio pesticides, their market share increased from 17 percent to 20 percent in FY25. The company boasts state-of-the-art manufacturing facilities across Kakinada, Vizag and Ennore among other locations.
As of FY25, the company operates its fertilizer plants at over 100 percent capacity, and produced around 8.8 lakh tons for distribution. This was a 13 percent increase from the previous year.
Expansion Plans
A Brownfield expansion has been approved to increase granulation capacity by 7.5 lakh tons at Kakinada, making it the largest fertilizer complex in India. The strategy focuses on replacing imported DAP with NPKs, especially in northern markets, where Coromandel is set to grow its presence.
Written by Shwetha Sairam
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