Shares of Chambal Fertilisers & Chemicals surged over 8 percent in Friday's trade, with the stock trading at ₹458.60 as of May 15, 2026, up from the previous day's closing of ₹424.73. According to reports from Trade Brains, the positive market reaction reflects investor confidence in the company's robust financial performance during the quarter. The stock is trading at a P/E ratio of 9x, with a market capitalization of approximately ₹17,900 crore. The strong quarterly results demonstrate the company's operational efficiency and market positioning despite broader sector challenges.
For the quarter ended March 2026, Chambal Fertilisers reported a 30 percent year-on-year rise in consolidated net profit at ₹169.2 crore, compared with ₹130.36 crore in the corresponding quarter last year. As reported by Trade Brains, revenue from operations rose 14 percent to ₹2,785 crore from ₹2,448.73 crore a year ago. The company achieved significant margin expansion with EBITDA surging 56 percent to ₹255.1 crore, while margins expanded sharply to 9.16 percent from 6.67 percent in Q4 FY25. EPS for the quarter stood at ₹4.23 per share, with finance costs remaining negligible at ₹2.6 crore, reflecting the company's near-debt-free balance sheet.
On a full-year basis, the company posted an 18.4 percent increase in net profit at ₹1,953.39 crore for FY26, compared with ₹1,649.51 crore in FY25, with EPS at ₹48.76 against ₹41.17 in FY25. According to Trade Brains reports, annual revenue climbed nearly 25 percent to ₹20,793.66 crore, against ₹16,646.20 crore in the previous financial year. The crop protection and specialty nutrients segment delivered strong performance with a 27 percent jump in contribution, while biologicals achieved 30 percent volume growth and 57 percent revenue growth. Return metrics remained robust with ROCE at 25.36 percent and ROE at 20.83 percent.
The bigger development at the company level is the near-completion of its Technical Ammonium Nitrate (TAN) manufacturing plant in Gadepan, Kota, a ₹1,645 crore project with a capacity of 2.4 lakh MTPA. As reported by Trade Brains, the dry run of the Weak Nitric Acid plant has already begun, with ammonium nitrate production to follow in stages. TAN is a key raw material for explosives used in mining, quarrying, and infrastructure construction sectors that are expanding rapidly under India's infrastructure push. This industrial chemicals revenue stream sits entirely outside the subsidy-and-monsoon framework that has long capped fertilizer stock multiples, providing meaningful diversification beyond traditional urea cycles.
Following the strong quarterly performance, Chambal Fertilisers has declared a ₹6 dividend for shareholders, reflecting the company's commitment to returning value to investors. Despite strong quarterly results, Chambal Fertilisers operates in a challenging environment where India is set to import a record 1.35 million metric tonnes of diammonium phosphate (DAP) in a single tender as disruptions in fertiliser supplies linked to the Iran conflict push New Delhi to secure larger inventories. The company imports phosphatic fertilizers like DAP and MOP for its complex fertilizer segment, making it doubly exposed to any supply disruption. However, analysts maintain a generally positive outlook with a consensus 'Strong Buy' rating and average price targets between ₹560 and ₹610. The company is diversifying beyond regulated urea into non-urea fertilizers, crop protection, and specialty nutrients to reduce regulatory risk and improve earnings flexibility, though future performance will depend on managing global supply chain volatilities and input costs.
