Chambal Fertilisers and Chemicals (CHAMBLFERT) Q4 23/24 earnings summary

Executive summary

• Revenue from operations for FY 2023-24 was ₹17,966.41 crore, down 35% year-over-year, mainly due to lower prices and volumes of own manufactured and imported fertilisers, and lower natural gas prices.

• Profit after tax increased to ₹1,331.44 crore from ₹1,069.31 crore year-over-year, driven by improved margins, lower finance costs, and higher other income.

• Total comprehensive income for the year was ₹1,423.78 crore, up from ₹1,004.43 crore in the previous year.

Financial highlights

• EBITDA and operating profit margin improved significantly due to lower input costs and better performance in non-urea segments.

• Net profit margin rose to 7.41% from 3.85% year-over-year.

• Debt-equity ratio improved to 0.25 from 0.47, reflecting substantial debt reduction.

• Interest coverage ratio more than doubled to 12.22 from 5.54.

• Return on net worth increased to 19.02% from 16.38% year-over-year.

Outlook and guidance

• Continued strong demand for urea and agri-inputs expected, with stable performance in urea and growth in crop protection chemicals and speciality nutrients.

• Technical Ammonium Nitrate plant project progressing on schedule, expected to diversify revenue streams.

• Geographical expansion and deeper market penetration targeted for sustainable growth.