Coromandel International Q2 net profit declines 34 pc to Rs 523 crore
Hyderabad, Nov 6 (TNT): Coromandel International Limited on Friday reported a 34 per cent decline in consolidated net profit at Rs 523 crore for the second quarter of FY27, compared to Rs 793 crore in the corresponding quarter of the previous financial year.
Consolidated total income increased six per cent to Rs 10,348 crore during the July-September quarter, against Rs 9,771 crore in the year-ago period. However, EBITDA declined 18 per cent to Rs 944 crore from Rs 1,147 crore, while profit before tax fell 33 per cent to Rs 706 crore, the company said in a release.
For the first half of FY27, consolidated net profit declined 30 per cent to Rs 905 crore from Rs 1,295 crore in the corresponding period last year.
Total income rose 10 per cent to Rs 18,563 crore, while EBITDA fell 12 per cent to Rs 1,705 crore.
The company said revenue growth was supported by its diversified business portfolio, but profitability was affected by margin pressure in the fertiliser segment due to a sharp increase in raw material costs triggered by the ongoing Middle East crisis, which was not adequately offset by subsidies.
Commenting on the results, Coromandel International Managing Director and CEO S Sankarasubramanian said the company delivered a resilient performance despite challenging market conditions, supported by its diversified portfolio and strong customer connect.
He said the fertiliser business faced challenges from deficit rainfall, elevated raw material prices and lower Nutrient Based Subsidy (NBS) rates during the Kharif season.
Despite these factors, the company supplied around 3.3 million tonnes of fertilisers during the first half of FY27, while increasing its market share in the phosphatic segment to 19 per cent from 17 per cent a year ago.
The crop protection business registered 22 per cent revenue growth during the quarter, supported by exports, while the retail business continued to expand its presence in key agricultural markets.
The company opened nearly 100 new retail stores during the quarter, taking its network to more than 1,300 stores.
On expansion plans, it said the new NPK fertiliser capacity was progressing as scheduled and was expected to be completed by the fourth quarter of FY27. Additional capacity for a key crop protection molecule was expected to become operational during the third quarter.
The company also plans to establish a launch plant for fluoro intermediates to support the commercialisation of speciality chemical products.
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