When India’s monsoon turned over-enthusiastic, Coromandel didn’t flinch — it fertilized chaos. CEO Sankarasubramanian sounded more like a rain whisperer than an executive, narrating rainfall percentages like stock tips. From 108% monsoon to 112% northeast showers, the company found blessings in every cloud. “Reservoirs are full,” he smiled — and apparently, so are profits. As the Quran says,“Indeed, with hardship comes ease.”Looks like this quarter, ease arrived with subsidy cash and phosphoric acid. Strap in — it gets juicier than a paddy field in August.
At a Glance
- Revenue up 30%:CFO swears it wasn’t just subsidy inflation.
- EBITDA up 18%:Efficiency miracles achieved despite ammonia tantrums.
- PAT up 20%:Crops and profits both looked lush.
- Subsidy receipts ₹3,336 cr:“Timely,” said CFO — every Indian taxpayer nodded.
- Crop Protection EBIT +48%:Mancozeb became the new messiah.
- Retail Stores 1,200 target:One store a day — Amazon who?
- ROE (implied) >20%:Holy phosphate, Batman!
Management’s Key Commentary
CEO:“Monsoon was 108% of LPA — a bountiful season.”(Translation: The rain gods joined the investor call.)
“We became India’s largest marketer of phosphatic fertilizers.”(Translation: DAP who? We NPK’d them out of the market.😏)
“Plants ran above 100% capacity.”(Translation: Even the machines don’t get Sundays here.)
“Backward integration project at Kakinada is 90% done.”(Translation: We’re one acid bath away from self-reliance.)
“Bio and specialty nutrients saw 20% growth.”(Translation: Fancy fertilizers = fancy margins.)
“Drone spraying covered 80,000 acres.”(Translation: From farmers to flyers — we’re literally taking off.🛩️)
“NACL’s integration will make us India’s #3 or #4 in crop protection.”(Translation: We bought growth, and it’s working — mostly.)
Numbers Decoded
| Metric | Q2 FY26 | YoY Growth | Commentary |
|---|---|---|---|
| Revenue | ₹9,771 cr | +30% | Boosted by NACL and subsidy gush. |
| EBITDA | ₹1,147 cr | +18% | Plants running overtime, margins steady. |
| PAT | ₹793 cr | +20% | Solid crop protection push. |
| H1 Subsidy Received | ₹4,637 cr | +20% | Govt paid up before elections — rare magic. |
| Crop Protection Revenue | ₹829 cr | +10% | Latin America loved their Mancozeb. |
| EBIT Margin (CPC) | 20% | up 500 bps | Chemistry finally profitable. |
| NACL Revenue (partial Qtr) | ₹245 cr | — | 50 days of consolidation, 17 cr one-off hit. |
TL;DR:Fertilizers made the money, drones made the headlines, and subsidies made everyone smile.
Analyst Questions
Avendus Spark:“EBITDA per ton jumped — sustainable?”CEO:“Don’t track quarterly, but ₹5,500/MT is the holy grail.” (Translation: Stop overanalyzing our miracles.)
Elara:“Dhaksha drones — any progress?”CEO:“Still testing. Hardware startup patience needed.” (Translation: We’re flying slow, literally.)
Axis Capital:“NACL diluted margins?”CEO:“One-time expenses — next quarter we’ll spray profits.”
IIFL:“Phos Acid payback 2 years?”CEO:“Yes, 2 years — faster than Netflix series renewals.”
