Paradeep Phosphates delivered a mixed performance for the December quarter (Q3), with profit declining 13% to ₹182 crore from ₹209 crore in the year-ago period, according to reports from CNBC TV18. Despite the profit decline, the company demonstrated strong revenue growth with revenue increasing 15% to ₹5,748 crore compared with ₹4,989 crore last year, supported by higher volumes and demand across fertiliser products. The latest quarterly results show the company maintaining its growth trajectory despite facing margin pressures during the period.
The company's operating performance showed moderate improvement with EBITDA rising 7.7% to ₹471.8 crore from ₹438 crore a year earlier, as reported by CNBC TV18. However, margins narrowed to 8.2% from 8.8% in the corresponding quarter last year, reflecting cost pressures faced by the company during the quarter. The mixed operating metrics indicate the company's ability to generate revenue growth while managing cost inflation effectively.
The Q3 results come after a stronger Q2 performance that had driven positive market reaction, according to CNBC TV18. In the September quarter, the company reported a 34% jump in consolidated net profit to ₹341.94 crore and revenue from operations surged 49% to ₹6,872 crore. For the first half of the fiscal year, revenue from operations increased 46% to ₹11,376 crore, EBITDA climbed 69% to ₹1,313 crore and profit after tax jumped 135% to ₹659 crore. This historical performance demonstrates the company's consistent growth momentum despite current quarter challenges.
Following the Q2 results, the company announced a ₹3,600-crore capacity expansion plan aimed at achieving five million tonnes of sales over the next 2.5 years, as reported by CNBC TV18. The expansion includes adding one million tonnes of granulation capacity and expanding backward integration of phosphoric acid and sulphuric acid. Shares of Paradeep Phosphates fell on the NSE, closing at ₹132.69, down 2.09% on February 2. Despite the recent profit decline, the company's strong revenue growth and expansion plans continue to support investor confidence in its long-term prospects.
