Paradeep Phosphates (PARADEEP) Q3 25/26 earnings summary

Executive summary

• Production rose 13% year-over-year in Q3 to 1 million tons, with year-to-date production and sales reaching 2.86 million and 3.37 million tons, up 15% and 17% respectively.

• Achieved strong financial growth in Q3 and 9M FY26, driven by increased realizations, higher fertilizer volumes, and the MCFL merger, which expanded capacity by 23% to 3.7 MMTPA.

• Strategic projects include new evaporator, sulfuric acid plant, energy improvement initiatives, and ongoing backward integration and granulation capacity expansion to 5.0 MMTPA by FY29.

• Unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025, were approved by the Board on February 2, 2026.

• Re-appointment of the Managing Director and appointment of a Joint Managing Director were approved for three-year terms, subject to member approval.

Financial highlights

• 9M FY26 total income was Rs. 172,311 million, up 34.1% YoY; EBITDA was Rs. 18,166 million, up 44.7% YoY (margin 10.5%); net profit was Rs. 8,407 million, up 71.6% YoY.

• Standalone revenue for the quarter ended December 31, 2025, was ₹5,748.67 crore, up from ₹4,989.55 crore YoY; nine-month revenue was ₹17,124.37 crore, up from ₹12,764.69 crore.

• EBITDA for the quarter was INR 4,700 per metric ton; YTD EBITDA is INR 5,300 per ton.

• Net debt as of December 31 was INR 5,450 crore; gross debt around INR 5,400 crore.

• Subsidy receivable stood at INR 3,780 crore; INR 2,500 crore subsidy received in Q3.

Outlook and guidance

• EBITDA guidance for the year is INR 5,000 per metric ton, with a sustainable target of INR 4,500–5,000 for FY 2027.

• Granulation capacity to reach 5.0 MMTPA by FY29, funded by internal accruals and external debt.

• Expectation of continued government support for subsidies and positive NBS rate revisions.

• Management continues to monitor the impact of new Labour Codes and will account for further regulatory changes as needed.

• Long-term and short-term credit ratings upgraded to AA- and A1+.