This leading specialty chemical stock is in focus after the company has laid out its future plans for the next fiscal year. In this article, we will discuss more about this in detail.
With a market capitalization of Rs 28,769 crores, the shares of Deepak Nitrite Ltd are currently trading at Rs 2,109 per share, down by 33.4 percent from its 52-week high of Rs 3,169 per share. Over the last five years, the stock has delivered an impressive return of 323 percent.
Concall Updates
The Board of Deepak Nitrite has approved a new investment of 3,500 crores to add greenfield manufacturing capacities of 300 KTA of Phenol, 185 KTA of Acetone, and 100 KTA of Isopropyl Alcohol (IPA). This addition is also supplementary to the Company’s existing production capacity with a clear pathway to forward integrate the manufacture of these raw materials for the future manufacture of Polycarbonate (PC) Resins. Including this new approval, consisting of previously sanctioned 5,000 crores for the PC Resin project, the total planned investment for DCTL in this segment is approximately 8,500 crores.
Financial Highlights
Deepak Nitrite reported a consolidated revenue of Rs 8,282 crores in FY25, marking a growth of 7.81 percent from Rs 7,682 crores in FY24. On a year-on-year basis, Q4 revenue increased by 2.54 percent to Rs 2,180 crores from Rs 2,126 crores in Q4 FY24. Sequentially, revenue rose by 14.53 percent from Rs 1,903 crores in Q3 FY25.
The company reported a net profit of Rs 697 crores in FY25, reflecting a decline of 14.04 percent from Rs 811 crores in FY24. On a year-on-year basis, net profit fell by 20.47 percent to Rs 202 crores in Q4 FY25 from Rs 254 crores in Q4 FY24. However, on a quarterly basis, net profit jumped by 106.12 percent from Rs 98 crores in Q3 FY25.
Deepak Nitrite Limited is a leading chemical intermediates producer with a diversified portfolio that caters to the dyes and pigments, agrochemical, pharmaceutical, plastics, textiles, paper, home and personal care segments, and petrochemical derivatives intermediates – phenolics, acetone, and IPA in India and overseas. Its products are manufactured across 6 locations, which are all accredited by Responsible Care.
Written by Satyajeet Mukherjee
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