Somaiah V · Avendus Spark
directDrivers of higher manufactured EBITDA per ton in fertilizer segment and outlook.
We should track the EBITDA margin on a quarterly basis. As you rightly said, Q2 is a peak quarter for us... Phosphatic fertilizer production has been very good, and we are able to moderate the rock price increase. Efficiencies have been extremely good on all the plants... As I've always been mentioning, as a company, we target the minimum INR 5,500 of EBITDA per metric ton, which we are confident of doing in the second half as well.
Somaiah V · Avendus Spark
directStickiness of NPK market share gain vs DAP if DAP availability improves.
I think more and more farmers are seeing the benefit of balanced nutrition NPK... If at all the availability improves, at some stage, DAP pricing gets aligned with the market. I don't think any major shift back to DAP will happen. As a country, we should move towards balanced nutrition... I see this shift is for good.
Somaiah V · Avendus Spark
directUtilization of new phosphoric/sulfuric acid plants and BMCC volumes in FY27.
We will never be commissioned the plant. As you know, we commission as we commit and then achieve 100% in the first month. Hopefully, I should repeat this TAP record and we're paying for 100% capacity utilization next year for both Phosphoric acid and Sulfuric acid. As far as Senegal rock is concerned, at least we should expect 300,000 tons of rock coming in this year. Our plans are to see how do we scale up the volume to 500,000 next year.
Prashant Biyani · Elara Capital
evasivePrice hike plans for NPK under NBS policy and profitability defense.
Whatever it is required to be taken to, keeping in mind the needs of the farming community and ensuring availability of fertilizers and Input cost sector, we'll take appropriate cost. I'll be able to put the number whether it be done at the industry level or a company-specific level. Finally, the industry has been very risky in terms of price corrections, and that will be followed through.
Prashant Biyani · Elara Capital
evasiveDevelopments at Dhaksha, order execution timeline, and H1 revenue.
Dhaksha is focusing on new product development and executing different orders. The execution of different orders depends on evaluation of the current prototype we have made. These different orders take a long time, and they go through a detailed evaluation process. In this case, it has taken much longer time... It is a starting table. Once the order comes through, the future orders should not be a problem.
Prashant Biyani · Elara Capital
partialReason for significant growth in other expenses over last three quarters.
It must be the normal course of business. I need to come back to you on whatever, but there was nothing abnormal in this. Sometimes we do have government certifications. Okay. Also, we have a shift in our approach in terms of recognizing the CSR expenditures... Also, one of the expenses in terms of various consultancies and engagements, that is also forming part of it.
Ankur Periwal · Axis Capital
directReason for lower consolidated CPC margin vs standalone, and NACL one-time expense quantum.
Your observation is right. Standalone, the EBIT is quite healthy... Including NACL, it is almost flattish. The reason being, on NACL, there is one of exceptional items and expenses were there. Also, we don't consolidate full quarter performance into the numbers. We take proportionate from the time it has become a subsidiary. It takes, say, 40 days in a 90-day quarter.
Ankur Periwal · Axis Capital
partialGrowth outlook for NACL portfolio and consolidated CPC margins.
It's a good question. It needs some time in terms of how do we realize the synergy benefits of both the companies... I would say that 1+1 should become three. It will not come down. It won't be a rationalization; it will be a growth opportunity for both the companies... Slowly, we need to get the pipeline products, innovative molecules, contract manufacturing to bring the margin of NACL on par with Coromandel.
Naushad Chaudhary · Aditya Birla AMC
directImpact of sulfur and phosphoric acid price normalization on EBITDA.
See, it is a function of multiple things, right? Where Phosphoric acid is there, where DAP price is there, how Sulfur behaves. Always, manufacturing of Sulfuric acid using Sulfur burner and generating power is the most economic thing to do... The value addition is likely to be better only in the coming period than what we are witnessing at this point of time. That can only positively impact EBITDA much better than what we have at this point of time.
Naushad Chaudhary · Aditya Birla AMC
declinedNon-subsidy EBITDA share in this quarter.
I'm not sure what number has been read. There's no specific data point which we'll not be able to share.
Ranjit Cirumalla · IIFL Capital
directDisparity between phosphoric acid inflation and stable rock prices.
Good question. If it changed, it's good for us. I thought we should appreciate it. I think new opportunities are also coming up on rock. A lot of sources are opening up, and Egypt is increasing the output. Jordan output is increasing. Multiple sources, and we have also expanded our mining operations. Additional resources are helping to keep the price normalized.
Riju Dalui · Antique Stock Broking
directCurrent phosphoric acid capacity and new plant capacity.
2 lakh tons. The current capacity of what we have at Bhagod is 4.5, and 0.6 at Sarigam, totaling to 5.1. The new one which is coming up in Kakinada would be another 200,000. We'll have 7 lakh tons of Phosphoric acid.
