Share Price of Chambal Fertilisers Hits 2-Month High

On Monday, December 2, 2024, Chambal Fertilisers & Chemicals’ share price rose by 1.5%, reaching an intraday high of ₹535.85. This milestone surpasses the stock’s previous high from October 2024, marking a fresh 2-month peak.

The volume surge added to the bullish momentum, with 38.58 lakh shares traded on NSE by 12:20 PM. Despite being 10% below its 52-week high of ₹574.35, achieved in June 2024. 

Operational Highlights: Efficiency and Expansion

Improved Urea Production and Energy Efficiency
Chambal Fertilisers reported a 3% improvement in energy efficiency across its urea plants, coupled with a daily production increase of 125 MT year-on-year. This highlights the company’s ongoing focus on operational excellence.

Diversifying the Portfolio

The company has maintained a robust approach toward phosphatic (P&K) fertilisers and benefitted from favourable input costs and increased volumes through joint ventures. Progress continues on the Technical Ammonium Nitrate (TAN) project, which remains on schedule, underscoring the company’s commitment to diversification.

Crop Protection and Specialty Nutrients Growth

Chambal Fertilisers witnessed a 36% year-on-year growth in contributions from its crop protection chemicals and an impressive 214% growth in revenue from new territories. The company launched two new fungicides this quarter and recorded 72% revenue growth in its biological segment, led by the biofertilizer “SUPERRIZA.”

Financial Performance: Solid Earnings Growth

Revenue Trends

• Q2 FY25: Revenue stood at ₹4,346 crore, down 19% compared to ₹5,386 crore in Q2 FY24.
• H1 FY25: Revenue was ₹9,279 crore, reflecting a 15% decline from ₹10,975 crore in H1 FY24.

EBITDA and Profitability

• EBITDA: The company posted ₹834 crore in Q2 FY25, a 20% increase from ₹697 crore in Q2 FY24. H1 FY25 EBITDA reached ₹1,776 crore, up 20% year-on-year.
• Profit After Tax (PAT): PAT surged to ₹500 crore in Q2 FY25, a 34% rise from ₹372 crore in Q2 FY24. For H1 FY25, PAT was ₹1,053 crore, reflecting a 25% growth compared to ₹842 crore in H1 FY24.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.