1. At a Glance
FACT is basically the OG of India’s fertilizer scene — born in 1943, back when India’s economy ran on ration cards and patience. Now, it’s under the Ministry of Chemicals & Fertilizers, which means its main boss is technically the Government of India. It makes fertilizers, by-products, Caprolactam (for nylon), and apparently magic — becauseits P/E ratio is a galaxy-sized 788despite profits that could be outbid by a mid-sized dosa stall.
2. Introduction
Imagine an uncle at a wedding who’s been around forever, knows everyone, and somehow still gets respect despite questionable dance moves — that’s FACT. It has survived wars, political shifts, and now global fertiliser volatility, still holding 90% promoter ownership (read: “government won’t let this ship sink”).
But lately, the quarterly profits have been playing peek-a-boo — one quarter it’s up, next it’s down, then it’s negative, then it’s back in green. Thestock price?Riding investor FOMO like it’s a fertilizer-fueled rollercoaster.
3. Business Model (WTF Do They Even Do?)
FACT makes:
- Complex fertilizers– brand “Factamfos”
- Straight fertilizers– ammonium sulphate
- Organic & biofertilizers– for the ‘eco-friendly’ farmers
- Imported fertilizers– Muriate of Potash
- Caprolactam– for nylon tyre cord & engineering plastics
- Bagged gypsum– because even waste can be monetised if you brand it right
In short, it’s the Swiss Army knife of the fertilizer sector — except instead of blades, you get different types of plant food.
4. Financials Overview
Here’s thelatest quarter (Q1 FY26)vsQ1 FY25&Q4 FY25:
| Metric | Q1 FY26 | Q1 FY25 | Q4 FY25 | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue (₹ Cr) | 1,042.77 | 599.58 | 1,053.28 | 73.92% | -1.00% |
| EBITDA (₹ Cr) | 23.98 | -56.59 | 84.83 | NA | -71.72% |
| PAT (₹ Cr) | 4.28 | -48.67 | 70.72 | NA | -93.95% |
| EPS (₹) | 0.07 | -0.75 | 1.09 | NA | -93.58% |
Commentary:
- Revenue skyrocketed YoY (thanks to a terrible base) but stayed flat QoQ.
- EBITDA dropped 72% QoQ — like a plant wilting after one missed watering.
- PAT fell94% QoQ— not exactly the harvest you want.
- EPS is so tiny it needs a magnifying glass.
5. Valuation (Fair Value RANGE only)
Method 1: P/E Approach
- Last 4 quarters EPS = 1.45
- Sector median P/E = 25
- FV = 1.45 × 25 = ₹36.25
Method 2: EV/EBITDA
- FY25 EBITDA (TTM) = ₹175 Cr
- Sector median EV/EBITDA = 9
- Net debt ≈ ₹1,081 Cr (Borrowings ₹1,805 Cr – Cash ₹724 Cr)
- FV = [(175 × 9) – 1,081] / Shares (64.7 Cr) ≈ ₹15
Method 3: DCF (Super Simplified)
- Avg FCF last 3 years ≈ ₹150 Cr
- Growth rate: 5%
- Discount rate: 10%
- FV ≈ ₹40
Educational FV Range:₹15 – ₹40This
