India's Deepak Fertilisers posts quarterly profit rise on robust demand

SRF

22/05/2025 11:31

May 22 (Reuters) - India's Deepak Fertilisers and Petrochemicals DPFE.NS posted a 23.2% rise in quarterly profit on Thursday, supported by strong demand for its crop nutrition products.

The company's consolidated net profit rose to 2.77 billion rupees ($32.2 million) in the fourth quarter, from 2.25 billion rupees a year earlier.

Fertilisers and chemicals each contribute nearly half of the company’s revenue, which rose 27.9% in the quarter to 26.67 billion rupees. Revenue from the fertilisers business rose nearly 89%, while that from chemicals declined 4.9%.

For further earnings highlights, click [here]

KEY CONTEXT

Analysts said fertilisers companies such as Deepak Fertilisers outperformed their agrochemical peers in the fourth quarter, as volume growth, price hikes and demand for complex fertilisers lifted profitability.

Unlike agrochemical firms, which continue to face demand volatility in both domestic and export markets, fertilizers are showing resilience in demand.

PEER COMPARISON

Valuation (next 12 months)
Estimates (next 12 months)
Analysts' sentiment
RIC
PE
EV/EBITDA
Revenue growth (%)
Profit growth (%)
Mean rating*
No. of analysts
Stock to price target**
Div yield (%)
Deepak Fertilisers and Petrochemicals
DPFE.NS
16.70
8.81
10.69
17.14
Buy
1
0.95
0.62
Coromandel International
CORF.NS
32.18
20.28
7.29
29.24
Buy
9
1.01
0.50
SRF
SRFL.NS
49.25
24.46
13.69
45.53
Hold
27
1.06
0.24
Sumitomo Chemical India
SUMH.NS
41.00
30.15
17.78
22.69
Buy
7
0.91
0.17

* The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell

** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT

JANUARY-MARCH STOCK PERFORMANCE

-- All data from LSEG IBES

-- $1 = 86.0225 Indian rupees

DEEPAK FERT_JAN-MARCH https://tmsnrt.rs/4jkyV6l

 (Reporting by Yagnoseni Das in Bengaluru; Editing by Sherry Jacob-Phillips)

 ((Yagnoseni.Das@thomsonreuters.com;))