Paradeep Phosphates (PARADEEP) Q2 24/25 earnings summary

Executive summary

• Achieved 155% YoY net profit growth in Q2 FY25, with sales volume up 7% and production up 5%.

• Strong performance driven by strategic sourcing, backward integration, and diversified product portfolio, including nano-fertilizers and triple super phosphate.

• Board approved unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2024.

• Board approved INR 250 crore brownfield expansion of phosphoric acid capacity to enhance backward integration and profitability.

Financial highlights

• Q2 FY25 revenue from operations grew 4.4% YoY to INR 3,843 crores (₹38,438 million), with EBITDA up 65% YoY to INR 440 crores (margin 11.4%) and PAT up 155% YoY to INR 227 crores (margin 5.9%).

• EPS for Q2 FY25 stood at ₹2.79, up from ₹1.10 in Q2 FY24.

• H1 FY25 revenue at INR 6,221 crores, EBITDA at INR 606 crores (margin 9.7%).

• Net Debt-to-Equity reduced by 25%, ending Q2 at 0.82.

• Cash generation from operations in Q2 was INR 1,238 crores.

Outlook and guidance

• Optimistic about strong demand in the upcoming Rabi season, mirroring Kharif trends.

• Brownfield expansion to increase phosphoric acid capacity from 0.5 MMTPA to 0.7 MMTPA by September 2026, aiming for 100% backward integration and reduced import dependency.

• Margins expected to depend on raw material price trends; volume growth confidence remains high.

• Focus remains on supply chain strength, backward integration, and ESG initiatives for sustainable growth.