Gujarat State Fertilizers & Chemicals (500690) Q2 23/24 earnings summary

Executive summary

• Q2 FY24 revenue from operations was ₹3,017.37 crore standalone and ₹3,118.72 crore consolidated; PAT was ₹284.83 crore and ₹308.91 crore, respectively. H1 PAT was ₹391.08 crore and ₹421.37 crore, both below the prior year.

• Fertilizer sales volumes increased YoY, while operating EBITDA and PBT declined in Q2 and H1 FY24.

Financial highlights

• Q2 total revenue was ₹3,212 crore versus ₹2,478 crore YoY; H1 total revenue was ₹5,292 crore versus ₹5,569 crore.

• Q2 operating revenue was ₹1,775 crore versus ₹1,245 crore YoY, and subsidy income was ₹1,242 crore versus ₹1,160 crore.

• Operating EBITDA, excluding other income, was ₹215 crore in Q2 versus ₹395 crore YoY; H1 was ₹353 crore versus ₹931 crore.

• Q2 PBT was ₹362.50 crore standalone and ₹386.98 crore consolidated; H1 PBT was ₹502.79 crore and ₹528.75 crore, respectively, both below prior-year levels.

• Q2 total income was ₹3,212.13 crore standalone and ₹3,313.25 crore consolidated; other income was ₹194.76 crore and ₹194.53 crore, respectively.

Outlook and guidance

• Ongoing projects cover ammonium sulphate, HX crystal, solar power, urea revamping, sulphuric and phosphoric acid, and a 10 MW electrolyser-based green hydrogen project.

• Projects under evaluation include Melamine IV (40K TPA), a polymer complex including PROM, Dahej complex development, and a fibre unit.