Multibagger Chemical Stock is in focus after it reported its Q4 results for FY25, with strong YoY Net Profit growth of 220 percent. The Company Board also recommended a dividend for Q4. Following the results stock jumped by 5.77 percent.
With a market capitalization of Rs. 2,782 Crore, the stock of Mangalore Chemicals & Fertilizers opened at Rs. 220.30, down 2.56 percent from yesterday’s close, and after opening, it made a high of Rs. 239.15, up 5.77 percent. Additionally, the Yearly return for the stock is 110 percent, and the past 5-year return is an impressive 587 percent.
Financial Highlights & Dividend Recommendation
The company reported a 1.52 percent YoY decrease in total revenue from Rs. 786 Crore in Q4FY24 to Rs. 774 Crore in Q4FY25. On a QoQ basis, the company reported a decrease of 20.04 percent in total revenue from Rs. 968 Crore in the previous quarter.
Their Net profit saw an increase of 220 percent YoY from Rs. 5 Crore to Rs. 16 Crore for the same period. On a QoQ basis, the company reported a decrease of 71.92 percent in Net profit from Rs. 57 Crore in the previous quarter.
The significant increase in Net Profit can be attributed to changes in inventory in the expenses section, where there is a negative figure of Rs. (4213.32) in Q4FY25 compared to a positive figure in Q4FY24. The negative figure led to a decrease in total expenses, which eventually led to an increase in Net Profits.
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A negative change in inventories means the company reduced its stock during the quarter, selling more from existing inventory instead of making or buying new stock. The company board recommended a dividend of Rs. 1.50 per equity share for a face value of Rs. 10 each for Q4FY25. The dividend will be subject to the approval of the shareholders at the AGM
The company reported a Record Production of Urea at 4,43,322 Metric tons for FY25 and also recorded a record Production of Phosphatic at 3,25,134 Metric Ton for the same period. However, the Sales Quantity has decreased from 8.72 Lakhs Metric tons in FY24 to 7.85 Lakhs Metric tons in FY25
Ace Investor, Dolly Khanna, holds a 2.20 percent stake in the company, or 2,587,360 shares of the total shares available. The holding value stood at Rs. 60.50 Crore. As of the Q4FY25 shareholding pattern, her holding value has been continuously increasing every quarter since September 2023.
About the Company
Founded in 1974, and is headquartered in Mangalore, Karnataka. Mangalore Chemicals & Fertilizers is a part of the Adventz Group, led by Saroj Poddar, and plays a key role in supporting the agricultural sector in South India.
The company’s product portfolio includes urea, di-ammonium phosphate (DAP), muriate of potash (MOP), and a range of complex fertilizers, along with specialty nutrients and soil conditioners. MCF has built a strong brand among farmers, especially in Karnataka, Kerala, Tamil Nadu, and parts of Maharashtra and Andhra Pradesh.
Written By Abhishek Das
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