Navin Fluorine International (532504) Q2 24/25 earnings summary

Executive summary

• Interim dividend of INR 5 per share (250% of face value) declared for FY 2024-25, reflecting confidence in financial stability and future prospects.

• Unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2024, were approved and reviewed by the Board and statutory auditors.

• 50,000 stock options granted to the Managing Director under the ESOP 2017 scheme.

• Continued focus on sustainability, operational excellence, and disciplined execution across all business segments.

• Strengthened customer relationships and robust financial framework underpin growth strategy.

Financial highlights

• Q2 FY25 consolidated revenue at INR 529.72 crore, up 10% year-on-year, driven by HPP and CDMO segments.

• Operating EBITDA for Q2 FY25 at INR 107.4 crore, up 9% year-on-year; margin at 20.7%.

• Profit after tax in Q2 FY25 at INR 58.82 crore, slightly down from INR 60.6 crore in Q2 FY24.

• H1 FY25 revenue at INR 1,063.66 crore, up 8% year-on-year; operating EBITDA at INR 207.7 crore, down 2% year-on-year.

• H1 FY25 profit after tax at INR 110.02 crore, down 10% year-on-year.

Outlook and guidance

• Strong order visibility for Specialty Chemicals and CDMO segments into H2 FY25 and FY26, supported by firm purchase orders.

• Specialty Chemicals expected to return to year-over-year growth in H2 FY25.

• CDMO segment anticipates a strong Q4 FY25 and further growth in FY26, with European and US commercial scale-up orders.

• Margin improvement journey towards 25% continues, driven by product mix and operational efficiencies.

• Constructive outlook on R32 capacity offtake; new capacities and capex projects on schedule.