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Telecom demand notice of INR 21,370 crore
View Risks →Gujarat Narmada Valley Fertilizers and Chemicals Limited — Q2 FY26
GNFC reported a mixed Q2 FY26 with improved volumes in TDI, CNA, and technical-grade urea, but continued pressure on acetic acid and aniline margins due to import competition and feedstock cost volatility.
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GNFC reported a mixed Q2 FY26 with improved volumes in TDI, CNA, and technical-grade urea, but continued pressure on acetic acid and aniline margins due to import competition and feedstock cost volatility. The company's INR 2,800 crore CapEx pipeline is progressing, with the new ANML melt project (163,000 MT) approved and expected completion by July 2027. Management highlighted cost-saving initiatives with McKinsey targeting ~INR 200 crore annualized savings over 12 months. Fertilizer subsidy revisions (+INR 872/MT) and potential fixed-cost revisions could reduce segment losses. However, a INR 21,370 crore telecom demand notice remains a contingent liability, though management considers it low-risk. The company is also evaluating Bisphenol A and polyol projects (~INR 7,000-8,000 crore CapEx). Key risk: sustained margin compression in acetic acid and aniline due to cheap imports.
GNFC ने दूसरी तिमाही में TDI, CNA और तकनीकी यूरिया की बिक्री बढ़ाई, लेकिन एसिटिक एसिड और एनिलिन पर सस्ते आयात और कच्चे माल की कीमतों में उतार-चढ़ाव से दबाव रहा। कंपनी 2,800 करोड़ रुपये के नए प्रोजेक्ट पर काम कर रही है, जिसमें ANML मेल्ट प्रोजेक्ट (163,000 टन) जुलाई 2027 तक पूरा होगा। McKinsey की मदद से लागत बचत के उपायों से सालाना 200 करोड़ रुपये बचाने का लक्ष्य है। उर्वरक सब्सिडी में 872 रुपये प्रति टन की बढ़ोतरी और फिक्स्ड कॉस्ट में संशोधन से घाटा कम हो सकता है। हालांकि, 21,370 करोड़ रुपये का टेलीकॉम नोटिस अभी भी जोखिम है, लेकिन कंपनी इसे कम खतरनाक मानती है। नए प्रोजेक्ट्स (Bisphenol A और पॉलीओल) पर 7,000-8,000 करोड़ रुपये खर्च हो सकते हैं। मुख्य चिंता: सस्ते आयात से एसिटिक एसिड और एनिलिन के मुनाफे पर दबाव बना रहेगा।
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ANML Production (Q2)
36,000 MT
-2.7% QoQ
ANML production was 36,000 MT in Q2 vs 37,000 MT in Q1, reflecting stable operations.
TDI Production (Q2)
15,600 MT
-2.5% QoQ
TDI production slightly lower than Q1's 16,000 MT due to technical issues, but H2 recovery expected.
Weak Nitric Acid Production (Q2)
113,000 MT
+16.5% QoQ
WNA production improved from 97,000 MT in Q1, driven by higher plant availability.
Ammonia Production (Q2)
165,000 MT
+19.6% QoQ
Ammonia output rose from 138,210 MT in Q1, supporting downstream production.
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Guidance and risk preview
The 163,000 MT ANML melt project is expected to be completed by July 2027, with upstream and downstream timing aligned.
A long-standing demand from the Department of Telecommunications for ~INR 21,370 crore remains pending at TDSAT.
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