Coromandel International (COROMANDEL) Q2 24/25 earnings summary

Executive summary

• Q2 revenue from operations rose 6% year-over-year to ₹7,433 Cr, with strong Kharif and expected Rabi seasons supporting higher crop acreages and food grain output.

• Q2 net profit after tax was ₹659 Cr, down 13% YoY; H1 PAT was ₹968 Cr, down 22% YoY, impacted by lower subsidy rates and volatile input costs.

• EBITDA for Q2 was ₹975 Cr, down 8% YoY; H1 EBITDA was ₹1,481 Cr, down 16% YoY.

• Net debt to equity remained at 0.0 times, indicating a strong balance sheet and net cash position.

• Government policy support, including increased MSPs and early NBS rate announcements, aided market liquidity and input availability.

Financial highlights

• Q2 consolidated total income was INR 7,498 crores; H1 income was INR 12,281 crores, down 4% due to lower subsidy rates.

• Q2 basic EPS was ₹22.6, down from ₹25.7 YoY; H1 EPS was ₹33.1, down from ₹42.5 YoY.

• Q2 EBITDA margin was 13% (down from 15%); Q2 PAT margin was 9% (down from 11%).

• Q2 finance cost was ₹66 Cr, up from ₹46 Cr YoY.

• Net cash position at quarter-end was INR 4,214 crores.

Outlook and guidance

• Capacity expansion projects underway, including new NPK fertilizer complex and fungicide technicals plant.

• Backward integration with phosphoric and sulphuric acid plant capex progressing as planned.

• Fixed processing plant at BMCC Senegal expected to start operations from Nov'24.

• Expectation of continued strong Rabi season due to healthy reservoir levels and above-normal monsoon forecast.

• Guidance for sustainable EBITDA per ton in the INR 4,500–5,000 range, with potential upside if commodity volatility eases.