CHAMBLFERT · Chemicals
Chambal Fertilizers & Chemicals Ltd. reported revenue of ₹2,643 cr for January to March 2024, — on the year and −39.2% on the quarter.
Operating profit (EBITDA) was ₹166 cr, a margin of 6.3%, — on the year and −816 bps on the quarter.
Net profit was ₹97.0 cr, — on the year and −78.9% on the quarter, with earnings per share of ₹2.42.
Speciality chemicals are read on volumes and pricing, with Chinese supply a recurring swing factor; inventory destocking can hit a quarter without a change in demand. The quarterly statements do not carry volumes against prices, capacity utilisation and new molecules; those come with the filing read.
On earnings per share of ₹30.75 over the last four quarters, the stock at ₹388.55 trades at 12.6 times trailing earnings.
Written from the quarterly statements. The filing read adds the balance sheet and cash flow filed with this quarter, the auditor's review, segment results, one-off items line by line and what management said on the call.
Half or more of pre-tax profit came from other income. What is it, and does it repeat?
Other income was 58% of profit before tax.
Source: Quarterly statements
A lower tax rate lifted profit. Is the lower rate going to last?
Effective tax rate 23.0% against 33.0% over the previous quarters, worth about ₹12.6 cr of profit.
Source: Quarterly statements
Could not run on this quarter: Headline vs core profit, Exceptional items that recur, Operating margin on the year, Depreciation falling, Finance cost rising, Swing to loss or profit, Cash behind the profit, Receivables against sales, Inventory against sales, Borrowing while holding cash, Auditor's review or audit report, IPO money used as stated, Related-party transactions, Exits, postponements, restatements, Promoter pledges and allotments, Earlier promises against delivery, When the results were filed. Most need the filing read (balance sheet, cash flow, auditor, disclosures).
This quarter's filing carries a balance sheet and a cash flow statement. The cash, receivables and borrowing checks run once the filing read is in.
| Q2 FY24 | Q3 FY24 | Q4 FY24 | Q1 FY25 | Q2 FY25 | Q3 FY25 | Q4 FY25 | Q1 FY26 | Q2 FY26 | Q3 FY26 | Q4 FY26 | Q1 FY27 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | ₹5,386 cr | ₹4,349 cr | ₹2,643 cr | ₹4,933 cr | ₹4,346 cr | ₹4,918 cr | ₹2,449 cr | ₹5,698 cr | ₹6,413 cr | ₹5,898 cr | ₹2,785 cr | ₹5,027 cr |
| YoY | — | — | — | −12% | −19% | +13% | −7% | +16% | +48% | +20% | +14% | −12% |
| EBITDA margin | 11.4% | 14.4% | 6.3% | 15.2% | 18.2% | 15.8% | 6.7% | 13.4% | 13.1% | 13.9% | 9.2% | 16.4% |
| Other income, % of PBT | 15% | 23% | 58% | 12% | 10% | 12% | 51% | 10% | 10% | 5% | 25% | 4% |
| Exceptional items | — | — | — | — | — | — | — | — | — | — | — | — |
| Tax rate | 34% | 31% | 23% | 37% | 32% | 32% | 22% | 27% | 23% | 24% | 21% | 30% |
| Net profit | ₹381 cr | ₹459 cr | ₹97.0 cr | ₹448 cr | ₹536 cr | ₹534 cr | ₹130 cr | ₹549 cr | ₹649 cr | ₹586 cr | ₹169 cr | ₹524 cr |
| YoY | — | — | — | +32% | +41% | +16% | +34% | +23% | +21% | +10% | +30% | −5% |
| Core profit YoY | — | — | — | +25% | +44% | +34% | +55% | +7% | +7% | +6% | +98% | +7% |
| EPS | ₹9.15 | ₹11.04 | ₹2.42 | ₹11.19 | ₹13.39 | ₹13.34 | ₹3.25 | ₹13.70 | ₹16.19 | ₹14.64 | ₹4.22 | ₹13.07 |
| Flags | · | · | 2 | ✓ | ✓ | ✓ | 1 | 1 | 1 | ✓ | ✓ | ✓ |
Each quarter is read with the same rules. Balance-sheet and cash checks run on half-year and annual quarters; filing-read checks run where a read exists.
Chambal Fertilizers & Chemicals Ltd. reported revenue of ₹2,643 cr (— on the year) and net profit of ₹97.0 cr (— on the year) for January to March 2024.
2 checks raised a question: Half or more of pre-tax profit came from other income. What is it, and does it repeat?
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