Coromandel International Limited (COROMANDEL)
🎯 Key Takeaways
- Coromandel International Limited is in a strategic expansion and integration phase within the agrochemicals sector, transitioning from a traditional fertilizer producer to a diversified crop protection and retail-led agri-inputs player. Despite near-term profitability pressures from integration costs and exceptional items, the company is executing a clear growth strategy centered on backward integration, geographic expansion, and premium product adoption.
- Revenue declined 6.7% QoQ to ₹6,935 in Q3FY25.
- ⚠️ 1) Subsidy uncertainty in the fertilizer sector poses a structural headwind, as government policy shifts can directly impact margins and demand. 2) In
📖 The Story
Coromandel International Limited is in a strategic expansion and integration phase within the agrochemicals sector, transitioning from a traditional fertilizer producer to a diversified crop protection and retail-led agri-inputs player. Despite near-term profitability pressures from integration costs and exceptional items, the company is executing a clear growth strategy centered on backward integration, geographic expansion, and premium product adoption. Management emphasizes export-led growth and capacity utilization to sustain margins, positioning the firm for long-term structural gains despite cyclical headwinds.
📰 What's Happening
In Q4 FY26, Coromandel reported record fertilizer production of 3.5 million tons and crop protection revenue of INR 3,054 crores, up 15% YoY, driven by strong domestic and export demand. The company expanded its retail footprint to over 1,200 centers, launched 10 new products contributing 21% of revenue, and acquired a 53% stake in NACL, adding INR 103 crores in EBITDA. Management highlighted margin resilience amid raw material inflation and subsidy uncertainty, with full-year revenue growth of 30% and EBITDA expansion to INR 3,232 crores. Expansion projects in Senegal and Kakinada aim to boost capacity, while Nano DAP sales reached 42 lakh bottles. Forward guidance underscores export-driven growth and capacity utilization as key margin drivers.
Source: Stock Announcements
📊 Quarterly Results (₹ Cr)
| Metric | Q4FY23 | Q1FY24 | Q2FY24 | Q3FY24 | Q4FY24 | Q1FY25 | Q2FY25 | Q3FY25 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 5,476 | 5,693 | 6,988 | 5,464 | 3,913 | 4,729 | 7,433 | 6,935 |
| Operating Profit | 450 | 754 | 1,104 | 416 | 357 | 560 | 1,040 | 835 |
| OPM % | 7.4% | 12.5% | 15.2% | 6.5% | 7.0% | 10.7% | 13.1% | 10.4% |
| Net Profit | 246 | 494 | 755 | 228 | 164 | 309 | 659 | 508 |
| EPS | ₹8.38 | ₹16.80 | ₹25.72 | ₹7.84 | ₹5.45 | ₹10.57 | ₹22.57 | ₹17.39 |
The company's consolidated revenue grew 30% YoY to ₹31,827 crores in FY26, with EBITDA up 16% to ₹3,232 crores, indicating operational scaling. However, PAT declined 8% YoY to ₹1,898 crores due to exceptional items, including goodwill from the NACL acquisition and asset write-downs. Quarterly trends show fluctuating profitability — OPM dipped to 10.4% in Q3FY25 from 15.2% in Q2FY24 — reflecting margin pressure from input cost volatility and integration costs. Despite this, revenue momentum remains strong, supported by crop protection growth (16% YoY) and backward integration via new sulphuric and phosphoric acid plants at Kakinada.
🔮 Management Outlook & What's Next
Management expressed confidence in sustaining margin resilience through export growth and capacity expansion, targeting Nano DAP sales of 45 lakh bottles and increased rock phosphate output in Senegal to reach 3.5 lakh tons. They emphasized that export-driven demand and strategic acquisitions would continue to drive top-line growth and margin protection amid subsidy uncertainty. The company is focused on scaling its agri-retail network and premium product mix to capture higher value chains, with capacity additions at Kakinada expected to enhance supply security and support long-term profitability.
Extracted from official company announcements. Not StockFin.ai's opinion.
⚖️ Peer Comparison — Fertilizers & Agrochemicals
| Company | MCap (₹ Cr) | P/E | ROCE | ROE | D/E |
|---|---|---|---|---|---|
| Fertilizers and Chemicals Travancore Limited | 57,117 | -630.5 | — | — | — |
| Coromandel International Limited | 55,044 | 33.3 | — | — | — |
| UPL Limited | 53,373 | -157.3 | — | — | — |
| PI Industries Limited | 47,259 | 27.8 | — | — | — |
| Sumitomo Chemical India Limited | 22,898 | 44.4 | — | — | — |
| Bayer Cropscience Limited | 21,796 | — | — | — | — |
| Chambal Fertilizers & Chemicals Limited | 18,025 | 11.1 | — | — | — |
| Paradeep Phosphates Limited | 12,506 | 30.3 | — | — | — |
| Sharda Cropchem Limited | 8,742 | 35.8 | — | — | — |
| Rashtriya Chemicals and Fertilizers Limited | 6,876 | 25.9 | — | — | — |
⚠️ Risk Factors
1) Subsidy uncertainty in the fertilizer sector poses a structural headwind, as government policy shifts can directly impact margins and demand. 2) Integration risks from the NACL acquisition and expansion projects in Senegal and Kakinada could strain cash flows if timelines slip or costs overrun. 3) Rising input costs and raw material inflation continue to pressure gross margins despite management's resilience claims. 4) The company posted a net loss in FY26 due to goodwill write-downs and exceptional items, highlighting volatility in profitability despite revenue growth.
📋 Recent Filings
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Announcement 14 July 2026Coromandel International announced it has earned the Responsible Care Certification across all 18 manufacturing facilities, valid until March 2029, re...
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Financial Results 26 June 2026Coromandel International Limited announced that its trading window will close from July 1, 2026 to 48 hours after the unaudited quarterly results decl...
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🔴 Corporate Action 23 June 2026Coromandel International approved the allotment of 1,800 equity shares of Re.1 each under its ESOP Scheme 2016 on June 23, 2026, increasing the share ...
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Announcement 9 June 2026No summary available
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🔴 Financial Results 15 May 2026Coromandel International reported record fertilizer production of 3.5 million tons and crop protection revenue of INR 3,054 crores, up 15% YoY, driven...
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🔴 Financial Results 8 May 2026Coromandel International Limited disclosed the audio recording of its May 8, 2026 conference call with analysts and investors, uploaded to its investo...
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🟡 Board Meeting 7 May 2026Coromandel International Limited approved its FY2025-26 audited financial results and declared a final dividend of **₹2 per share** (record date July ...
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🔴 Financial Results 7 May 2026Coromandel International Limited reported consolidated revenue of **₹31,827 crores** for FY26, up 30% YoY, with PAT at **₹1,898 crores**, down 8% YoY....
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🔴 Financial Results 7 May 2026Coromandel International Limited reported audited consolidated revenue of **₹28,967.44 crores** for Q4 FY2025-26, up from ₹25,944.50 crores in the sta...
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🔴 Corporate Action 7 May 2026Coromandel International Limited announced audited financial results for Q4 and FY2025-26 on May 7, 2026, including a final dividend of Rs 2 per share...
🧠 Analyst's Read
Coromandel is executing a deliberate transformation to become a more integrated, export-oriented crop protection and retail agri-inputs player, but near-term profitability remains volatile due to integration costs and subsidy dependence. Investors should monitor the ramp-up of new capacity in Senegal and Kakinada, export order trends, and the commercial traction of Nano DAP, which could be a margin-accretive growth driver if adoption accelerates.
Based on filing content and financial data. Not a recommendation.
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Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-07-15.
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