1. Opening Hook
While the market was busy panicking about China’s DAP tantrums and urea overuse ruining India’s soil, Khaitan Chemicals quietly pulled off a glow-up. Last year, this company was bleeding margins like a leaky tanker. This quarter, it’s flexing double-digit EBITDA margins and pretending the past never happened.
The irony? No fancy tech, no AI buzzwords—just old-school Single Super Phosphate, sulphuric acid, and some long-overdue discipline.
Management sounded confident, numbers finally cooperated, and losses were shown the exit door. But before you clap too hard, remember—fertilizer turnarounds look great… until raw material prices sneeze.
Stick around. The real story hides between subsidy math, volume growth, and a balance sheet still carrying emotional baggage.
2. At a Glance
- Revenue up 34% YoY – Turns out selling more fertilizer actually helps topline. Who knew?
- EBITDA margin at 12.27% – From 5.4% last year; that’s not recovery, that’s resurrection.
- PAT up 62% YoY – Loss hangover officially cured.
- 9M EBITDA margin at 11.8% – Management finally discovered operational leverage.
- Fertilizers = 84% of revenue – Chemicals help, but SSP still pays the bills.
3. Management’s Key Commentary (Decoded)
“The policy environment remained supportive for SSP.”
(Translation: Government
didn’t change the rules mid-game this time 😏)
“Raw material prices were largely stable.”
(Rock phosphate behaved. Sulphur didn’t throw a tantrum.)
“Production volumes increased significantly year-on-year.”
(Plants finally ran like plants, not museums.)
“We are focused on balanced fertilization awareness.”
(India used too much urea; SSP is our comeback kid.)
“Backward integration gives us cost control.”
(Buying acid from others is for amateurs.)
“We are launching value-added, non-subsidized products.”
(Translation: Less subsidy drama, more margin peace.)
4. Numbers Decoded
Metric | Q3 FY26 | What It Really Means
---------------------------|---------------|----------------------
Revenue | ₹2,657 Mn | Volumes + pricing finally aligned
EBITDA | ₹326 Mn | Operating leverage woke up
EBITDA Margin | 12.27% | +684 bps YoY, no typo
PAT | ₹204 Mn | Losses sent packing
9M Revenue Growth | +45%