Coromandel International reports 26% YoY rise in Q3 PAT

On a consolidated basis, Coromandel International reported 26.2% jump in net profit to Rs 333.80 crore on a 7.8% increase in net sales to Rs 3533.01 crore in Q3 FY21 over Q3 FY20.

While the company's total expenditure rose 6.6% to Rs 3033.75 crore, interest payments declined by 55.3% to Rs 20.54 crore in Q3 December 2020 over Q3 December 2019. Profit before tax in the third quarter was at Rs 446.87 crore, up by 26.1% from Rs 354.42 crore reported in the same period last year. Current tax outgo increased by 19% year-on-year (YoY) to Rs 109.58 crore during the quarter.

EBITDA for the quarter ended Dec 2020 has grown by 16% to Rs. 501 crore as compared to Rs. 432 crore during corresponding quarter of last year.

Commenting on the financial results, Sameer Goel - managing director, Coromandel International, said: "Coromandel registered a strong performance in Quarter 3 with its continuous emphasis on superior products, farm connect initiatives, increased operational efficiencies, smart sourcing and better working capital management. Excessive rainfall in some of our operating geographies led to the postponement of Rabi sowing and skipping of few applications.

Fertilizer business registered a volume growth of 8% during the quarter. Organic fertilizer and Speciality Nutrient businesses have performed well with a focused product and specific crop-based solution. Crop Protection business witnessed a strong turnaround this year, growing by 26% on YTD basis. The business continues to focus on enriching the product portfolio and is working on a rich pipeline of new and combination molecules. The Bio pesticides business registered an impressive growth in the matured European and US markets. We plan to expand capacity at our Thyagavalli plant to cater to the increased demand for Bio products.

The Retail stores have been fully functional during the year despite the COVID situation by having strict safety protocols and continue to support the farming community by offering agri solutions including products, farm advisory and mechanization services. We plan to take annual turnaround of our major plants during the upcoming quarter and fast track the capital projects. With the forecast of a normal monsoon and the roll out of COVID vaccination program in the coming months, we expect the economic activities to normalize in FY2022."

Coromandel International is amongst India's pioneers and leading Agri solutions provider, offering diverse products and services across the farming value chain. It operates in two major segments: nutrient and other allied businesses and crop protection. These include fertiliser, crop protection, bio pesticides, specialty nutrients and organic fertilizer businesses.

The scrip slipped 0.49% to currently trade at 825.85, declining for second day in a row. The stock has corrected by 2.35% in two sessions.

Powered by Capital Market - Live News