Unaudited financial results for Q2 approved by the Board of Directors

October 24, 2007

Sales turnover during this period is Rs.1166.84 crore, as against Rs. 1120.38 crore in the corresponding period last year.

The gross profit before depreciation, interest and taxes for the half-year is Rs.160.72 crore as against Rs.133.16 crore during the same period last year; depreciation provided is Rs.19.84 crore (previous half-year Rs.19.28 crore), interest charged Rs.20.53 crore (Previous half year Rs. 14.83 crore). Profit before tax has gone up by 21.5% to Rs.120.35 crore (Previous half year : Rs.99.05 crore)

Provision for taxation (including Fringe Benefit Tax) is Rs.41.11 crore (previous half-year Rs.35.98 crore). The net profit is Rs.79.24 crore as against Rs.63.07 crore during the corresponding period last year, representing an increase of 25.6% over the previous year.

The improvement in profitability has been achieved, thanks to various initiatives taken in manufacture, distribution and sales fronts resulting in higher contributions and increase in subsidy compensation for freight cost.

The Scheme of Amalgamation of M/s Godavari Fertilisers And Chemicals Limited (GFCL) with Coromandel International Limited which has earlier been approved by the Board of Directors at the meeting held on July 24, 2007, has since been approved by the Shareholders and the Unsecured Creditors of the Company. The Company Petition has been filed in the High Court seeking approval for the Amalgamation.

The Company, pursuant to amendment of the Objects Clause of the Memorandum of Association, commenced Retail Business to cater to the needs of farmers, the Company’s customer.

The consolidated results for the half year ended September 30, 2007 (including the results of GFCL, a subsidiary of Coromandel) also shows an increase in Net Profit from Rs.76.02 crore in the corresponding period of the previous year to Rs.115.81 crore, increase of 52.3%.

A copy of the advice to the Stock Exchanges giving the highlights of the un-audited financial results approved by the Board of Directors of the Company on October 23, 2007 is attached.