Coromandel International posts Q3 results

Coromandel International posts Q3 results

Coromandel International Limited, India’s leading agri solutions provider is in the business of Fertilisers, Crop Protection, Specialty Nutrients, Organic Manure and Retail. The Company has reported the financial results for the quarter ended 31st December 2019.

Consolidated performance for the quarter ended 31 December 2019

During the quarter ended 31 December 2019, the Company’s consolidated Total Income stood at Rs. 3,288 crores in comparison to the corresponding quarter last year of Rs. 3,059 crores. Profit before depreciation, interest, taxes and exceptional item (EBITDA) has grown by 42% to Rs. 432 crores vs. Rs. 305 crores during corresponding quarter of last year. Consolidated net Profit After Tax for the quarter is Rs. 265 crores in comparison to Rs. 154 crores for the corresponding quarter last year, registering a year on year growth of 72%.

For the nine months ended 31 December 2019, the Company’s consolidated Total Income is Rs. 10,296 crores (corresponding period LY Rs. 10,614 crores), EBITDA at Rs. 1,341 Crs vs Rs.1,185 Crs of LY growth of 13% and Profit After Tax is Rs. 831 crores (Nine months ended 31 December 2018 Rs. 610 crores) growth of 36% YoY.

Standalone performance for the quarter ended 31st December 2019

During the quarter ended 31 December 2019, the Company’s Standalone Total Income is Rs. 3,285 crores in comparison to the corresponding quarter last year of Rs. 3,053 crores. Profit before depreciation, interest, taxes and exceptional item (EBITDA) for the quarter ended 31 December 2019 has grown by 41% to Rs. 430 crores vs. Rs. 304 crores during corresponding quarter of last year. Consolidated Net Profit After Tax for the quarter is Rs. 263 crores in comparison to Rs. 153 crores for the corresponding quarter last year registering a year on year growth of 72%.

For the nine months ended 31 December 2019, the Company’s Standalone Total Income is Rs. 10,291 crores (corresponding period LY Rs. 10,598 crores), EBITDA at Rs. 1,338 Crs vs 1,181 Crs of LY growth of 13% and Profit After Tax is Rs. 828 crores (Nine months ended 31 December 2018 Rs. 607 crores) growth of 37% YoY.

Commenting on the financial results, Mr. Sameer Goel – Managing Director, Coromandel International Ltd. said:

“”Coromandel registered a strong performance in Q3, with its continuous emphasis on superior sales mix, farmer connect initiatives, increased operational efficiencies and better working capital management. The North east monsoon has helped in improving the crop acreage in most of our addressable market which has led to increased agri input consumption.

The Nutrient & Allied Businesses segment continued its strong performance during the quarter. Business improved its overall NPK product sales by 28% over previous year.

The company has strengthened its marketing and farmer’s outreach program and has re-launched its fertilizer ‘GroSmart’ which has been well accepted by the farmers. In the Speciality Nutrient business, the Company launched its manufactured micronutrient enriched products “”BOSMAX”” and “”NOVOZIN””.

During the quarter, production at the newly commissioned Phosphoric Acid plant at Vizag has stabilised. Other major infrastructure projects for improving capacity, storage and efficiencies are progressing well.

Crop Protection segment has recovered from its soft performance in the last two quarters. Plant operations at Sarigam have been fully stabilized. Pyrozosulfuron plant was successfully commissioned at Sarigam and production commenced at the WDG facility for Mancozeb at Dahej. The domestic business registered a healthy growth during the quarter with the focus on newly launched own and comarketed products. During the quarter, company launched “”Astra”” (Pymetrozine), a new generation insecticide which will strengthen its portfolio in the crop protection segment. We continue to invest in new product development, building strategic alliances, technology transfers, increasing the market reach and customer connect.

The company through its large retail network, continues to promote balanced nutrition through its soil testing and organic solutions to improve farm productivity. It is working on several ag-tech and farm mechanization initiatives.

The enhanced crop sowing during the ongoing Rabi season is expected to continue to generate good demand for agri-input consumption.

Coromandel as a leading agri solution provider will continue to drive farm productivity and support farmer’s prosperity.sp

About Coromandel

Coromandel International Limited is amongst India’s pioneers and leading agri solutions provider, offering diverse products and services across the farming value chain. It operates in two major segments: Nutrient and other allied businesses and Crop Protection. These include Fertiliser, Crop Protection, Specialty Nutrients and Organic businesses. The Company is 2nd largest manufacturer and marketer of Phosphatic fertiliser in India. The Company’s Crop Protection products are marketed in India as well as in international geographies, offering wide range of technical and formulation products. The Specialty Nutrients business of the Company focuses on water soluble fertiliser and secondary & micro nutrients segments. The Company is leading marketer of Organic fertiliser in India and has recently added bio pesticide solutions to its portfolio. It also operates a network of around 800 rural retail outlets across Andhra Pradesh, Telangana, Karnataka and Maharashtra. Through these Retail outlets, the Company offers farming services including crop advisory, soil testing and farm mechanization to around 3 million farmers. The Company has a strong R&D and Regulatory setup, supporting the businesses in process development and new product introduction. The Company has 16 manufacturing facilities, producing wide range of Nutrient and Crop Protection products, which are marketed through an extensive network of dealers and its own retail centers.

The Company clocked a turnover of Rs. 13,240 Crore during FY 2018-19. Its efforts towards environment have been well recognized by international organizations like UNDP and has also been voted as one of the ten greenest companies in India by TERI. Coromandel is a part of the Murugappa Group.

About Murugappa Group

Founded in 1900, the INR 369 Billion (36,893 Crores) Murugappa Group is one of India’s leading business conglomerates. The Group has 28 businesses including nine listed Companies traded in NSE & BSE. Headquartered in Chennai, the major Companies of the Group include Carborundum Universal Ltd., Cholamandalam Financial Holdings Ltd., Cholamandalam Investment and Finance Company Ltd., Cholamandalam MS General Insurance Company Ltd., Coromandel International Ltd., Coromandel Engineering Company Ltd., E.I.D. Parry (India) Ltd., Parry Agro Industries Ltd., Shanthi Gears Ltd., Tube Investments of India Ltd., and Wendt (India) Ltd.

Market leaders in served segments including Abrasives, Auto Components, Transmission systems, Cycles, Sugar, Farm Inputs, Fertilisers, Plantations, Bioproducts and Nutraceuticals, the Group has forged strong alliances with leading international companies such as Groupe Chimique Tunisien, Foskor, Mitsui Sumitomo, Morgan Advanced Materials, Sociedad Química y Minera de Chile (SQM),Yanmar & Co. and Compagnie Des Phosphat De Gafsa (CPG). The Group has a wide geographical presence all over India and spanning 6 continents.

Renowned brands like BSA, Hercules, Montra, Mach City, Ballmaster, Ajax, Parry’s, Chola, Gromor, Shanthi Gears and Paramfos are from the Murugappa stable. The Group fosters an environment of professionalism and has a workforce of over 50,000 employees.

For more details, visit www.murugappa.com