Deepak Fertilisers & Petrochemicals Corporation Ltd10:44 pm IST
Deepak Fertilisers & Petrochemicals FY2025-26 Annual Report: Strength at the Core, Value Built to Soar
Financial performance
- Consolidated revenue from operations: ₹11,506 crore, up 12% YoY.
- Operating EBITDA: ₹1,684 crore; Profit after tax: ₹739 crore.
- PAT margin: 6.4%; EBITDA margin: 14.6% (consolidated).
- Net debt to equity: 0.67x; DSCR: 1.12x.
- Consolidated earnings per share: ₹58.40; ROE declined vs prior year.
- Operating cash flow supported by disciplined working capital management.
Growth & strategy
- Transforming from a products company to a solutions platform across CNB, IC, and Mining.
- Investing in capacity, backward integration, digitalisation, and supply-chain resilience.
- Key acquisitions to strengthen mining solutions: Chardham Chemicals and 100% PBS platforms.
- LNG-to-ammonia integration and TAN/N nitric acid expansions to enhance margin resilience.
- Strategic LNG regasification and novation of LNG supply with Equinor to DGPL.
Key projects & capacity
- Gopalpur TAN: 376 KTPA; ~95% complete; commissioning expected H2 FY2026-27.
- Dahej Nitric Acid expansion: WNA 300 KTPA, CNA 150 KTPA; ~86% complete.
- Post-commissioning, Group TAN capacity ~1 MTPA, addressing ~60% of domestic TAN demand.
- Dahej CN A expansion to support broader downstream nitration and mining needs.
- Two flagship projects approach commissioning to translate capex into volumes and earnings.
Capital structure & liquidity
- Net debt in FY2025-26: ₹4,99,001 lakh; gearing 0.67x.
- Bank borrowings: total facilities used ₹4,117 crore; unused ₹1,281 crore.
- WC facilities used ₹902 crore; unused ₹1,544 crore.
- CCDs of ₹80,000 lakh issued by DMSL; equity component recognised in OCI/NCI.
- End-FY liquidity supported by ₹37,771 lakh cash & cash equivalents.
Governance & ESG
- Dr Purvi Mehta Bhatt appointed Independent Woman Director (from Jan 1, 2026).
- Yeshil Sailesh Mehta appointed Non-Executive Non-Independent Director (from Jul 1, 2026).
- IsFon CSR: 63,076 beneficiaries; CSR spend ₹327.27 lakh; shortfall ₹419 lakh carried forward.
- CSR shifted from Skill Development Centre to Centre of Excellence; governance and policy disclosures on company site.
- NFRA/secretarial audits; robust internal controls; board committees active with regular oversight.
Dividend & shareholder matters
- Forty-sixth AGM on 1 Sept 2026 via VC/OAVM; e-voting enabled.
- Dividend proposed: ₹10 per equity share (face value ₹10); payout date on or before 30 Sept 2026.
- Share dematerialisation: ~97.75% of shares in demat form; benefit from faster trading.
- Unclaimed dividends/shares as per IEPF framework; claim window and process detailed in annual report.
Risks & outlook
- Global macro: IMF/IMF-linked trends; India growth supports chemicals, mining, and agri inputs.
- Raw material volatility and energy costs; potential subsidy and policy shifts in fertilisers.
- Geopolitical tensions and supply-chain disruptions; currency/commodity price fluctuations.
- Execution risk on large capex (TAN/NA) and integration of acquisitions; regulatory approvals timing.
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