Stock Report

Deepak Fertilisers Reports Stellar Q1 FY27 Results: Consolidated Net Profit More Than Doubles to ₹490 Crore

Posted On : 2026-07-31 13:00:20( TIMEZONE : IST )

Leading industrial chemicals and crop nutrition solutions manufacturer Deepak Fertilisers and Petrochemicals Corporation Limited (DFPCL) has announced its unaudited financial results for the first quarter ended June 30, 2026 (Q1 FY27). Driven by strong realisations across its Mining Chemicals and Industrial Chemicals segments along with margin expansion in Ammonia, the company delivered a standout financial performance with net profit surging 101% year-on-year.

Consolidated Financial Highlights

On a consolidated basis, DFPCL achieved record operational and financial metrics during Q1 FY27:

Revenue from Operations: Reached ₹3,256.26 crore (₹3,25,626 lakh), registering a 22.47% year-on-year (YoY) increase compared to ₹2,658.75 crore in Q1 FY26. Sequentially, revenue grew 8.13% from ₹3,011.38 crore in Q4 FY26.

Operating EBITDA: Surged 64.72% YoY to a record high of ₹845 crore, compared to ₹513 crore in Q1 FY26. Sequentially, EBITDA expanded by 138.70% from ₹354 crore in Q4 FY26.

Operating EBITDA Margin: Expanded by 670 basis points YoY to 26.0%, compared to 19.3% in Q1 FY26 and 11.8% in Q4 FY26, supported by Equinor LNG gas sourcing and strong finished product realisations.

Profit Before Tax (PBT): Rose 88.69% YoY to ₹651.37 crore, compared to ₹345.21 crore in Q1 FY26 and skyrocketing 304.38% sequentially over ₹161.08 crore in Q4 FY26.

Net Profit After Tax (PAT): More than doubled, jumping 100.95% YoY to ₹490.04 crore, up from ₹243.86 crore in Q1 FY26. Sequentially, PAT surged 251.56% from ₹139.39 crore in Q4 FY26.

PAT Margin: Expanded by 590 basis points YoY to 15.0%, up from 9.1% in Q1 FY26.

Earnings Per Share (EPS): Basic and diluted consolidated EPS stood at ₹38.82 per share (Face value ₹10/- each) for the quarter, compared to ₹19.26 per share in Q1 FY26 and ₹11.04 per share in Q4 FY26.

Standalone Performance Overview

On a standalone basis, DFPCL reported steady performance across core operational lines:

Revenue from Operations: Stood at ₹516.97 crore, compared to ₹583.66 crore in Q1 FY26 and ₹473.88 crore in Q4 FY26.

Total Income: Came in at ₹531.23 crore, compared to ₹611.72 crore in Q1 FY26.

Profit Before Tax (PBT): Stood at ₹92.21 crore, compared to ₹116.83 crore in Q1 FY26 and ₹125.63 crore in Q4 FY26.

Net Profit After Tax (PAT): Totaled ₹68.34 crore, compared to ₹86.85 crore in Q1 FY26 and ₹121.57 crore in Q4 FY26.

Standalone EPS: Stood at ₹5.41 per share, compared to ₹6.88 per share in Q1 FY26.

Consolidated Segmental Performance

1. Industrial & Mining Chemicals

Revenue: The Chemicals segment (Manufactured & Traded) generated ₹1,881.70 crore in revenue, recording a 34.50% YoY growth compared to ₹1,399.03 crore in Q1 FY26. Manufactured chemical revenues rose to ₹1,780.21 crore from ₹1,323.40 crore in Q1 FY26.

Segment Results (PBIT): Segment profits expanded 119.28% YoY to ₹805.19 crore, up from ₹367.20 crore in Q1 FY26 and ₹272.38 crore in Q4 FY26.

Segment Drivers:

Technical Ammonium Nitrate (TAN): Revenues increased 37% YoY despite a 12% decline in sales volumes caused by temporary portal disruptions. B2C revenues grew 42% YoY to ₹151 crore (accounting for 17% of segment revenues).

Nitric Acid & IPA: Nitric Acid profitability improved on stronger market realisations. Isopropyl Alcohol (IPA) witnessed expanded contribution per tonne due to strong pharma-grade demand despite RGP raw material shortages.

2. Crop Nutrition (Fertilisers)

Revenue: The Fertilisers segment achieved revenues of ₹1,366.94 crore, up 9.12% YoY from ₹1,252.67 crore in Q1 FY26. Manufactured fertiliser sales grew to ₹1,201.73 crore from ₹1,031.44 crore.

Segment Results (PBIT): Stood at ₹43.85 crore, compared to ₹119.12 crore in Q1 FY26, impacted by elevated raw material costs, delayed monsoon progression, and subsidy lag.

Key Highlights: Manufactured NPK sales reached 133 KT (up 4% YoY). Specialty Fertilisers and Croptek products contributed 43% of the segment's revenues, advancing DFPCL's premiumisation strategy.

3. Realty & Others

Realty Segment: Revenue stood at ₹6.38 crore with a segment profit of ₹0.63 crore.

Others: Generated ₹1.24 crore in revenue.

Financial Position & Balance Sheet Health

Net Debt Reduction: Net Debt reduced to ₹4,719 crore despite ongoing capex projects.

Leverage Ratios: Net Debt to EBITDA improved significantly to 1.4x, underscoring strong cash generation and disciplined balance sheet management.

Paid-up Equity Share Capital: Stood unchanged at ₹126.24 crore (comprising 12.62 crore equity shares of face value ₹10/- each).

Reflecting on the company's performance, S.C. Mehta, Chairman and Managing Director of DFPCL, stated: "Q1 FY27 marks an important milestone, with company delivering its highest ever EBITDA and PAT. Despite significant volatility and supply chain disruptions arising from the US-Iran conflict, the doubling of profits during the quarter further validated the three foundational strengths that underpin our strategy and business model.

First, the strength of our integrated value chain spanning LNG, Ammonia and downstream products. This integration not only mitigates supply and cost risks but also enhances our ability to capture value across the chain and sustain profitability through market cycles.

Second, the excellent alignment of all our businesses with India Growth Story. Whether in Mining Chemicals, Crop Nutrition or Industrial Chemicals, each business continues to benefit from structural demand drivers linked to mining, infrastructure, manufacturing and agriculture. This has enabled us to sustain strong demand even amidst rising raw material costs and corresponding price increases.

Third, the growing contribution from our strategic shift away from commoditized products towards differentiated solutions and customer-centric offerings. This transformation is strengthening customer relationships, improving earnings quality and enhancing the resilience of our business model. Our transition from being a product supplier to becoming a solutions provider continues to gain momentum. Increasing contribution from Specialty, Croptek and B2C businesses is steadily improving the quality, sustainability and resilience of earnings.

Adding further momentum to these strengths, our two major growth projects - the Nitric Acid complex at Dahej and the TAN project at Gopalpur are nearing completion and are expected to begin contributing to profitability from Q3 onwards. Supported by over four decades of manufacturing, operating and market experience in these product segments, these projects are backed by strong demand fundamentals and a significantly mitigated execution and commercialization risk profile.

The investments we have made over the last decade from LNG and ammonia integration to specialty products, customer solutions and strategic capacity expansion are now beginning to translate into tangible outcomes. We are confident that DFPCL is entering its next phase of growth from a position of considerable strength."

Shares of Deepak Fertilizers and Petrochemicals Corporation Limited was last trading in BSE at Rs. 1528.95 as compared to the previous close of Rs. 1625.55. The total number of shares traded during the day was 144441 in over 5879 trades.

The stock hit an intraday high of Rs. 1659.00 and intraday low of 1514.30. The net turnover during the day was Rs. 230621874.00.