Q2FY23 Quarterly Result Announced for Paradeep Phosphates Ltd.
Fertilizer firm Paradeep Phosphates announced Q2FY23 results: Revenue from operations at Rs 2,864 crore; up by 48% as compared to Rs 1,935 crore in Q2FY22 EBITDA at Rs 188 crore in Q2FY23. The adjusted EBITDA for the one-time Goa Plant acquisition cost is Rs 230 crore Total fertilisers produced at 506,195 MT compared with 368,340 MT in Q2FY22 Record production of 216,937 MT of N-20 in Q2FY23, compared to 151,870 MT in Q2FY22 Three new NPK grades—NPK 14:28:0, NPK 14:28:0:13 and NPK 24:24:0:0—launched. Improves farmer choice in their quest for soil-specific and crop-specific applications Goa fertilizer plant, which was acquired on June 1, 2022, produced 2,09,115 tonnes of finished fertilizers in Q2FY23, which includes 1,24,375 tonnes of Urea Raw material costs have increased in this quarter owing to steep global commodity prices. Certain raw material prices, however, have softened in October Finance costs have increased due to the increase in subsidies outstanding and currency volatility compared to the previous year Fertilizer demand is expected to remain firm for the commencing Rabi season, given the low stocks and high reservoir levels S Krishnan, Managing Director, Paradeep Phosphates said: “During the second quarter, we have been able to start the Goa Plant operations and all the 3 trains there are fully operational now. Also the completion of the revamp process of the 4th granulation train at the Paradeep Plant is in advanced stages. Regarding the product mix, our choice to manufacture a higher amount of N-20 and lower DAP this quarter reflects the flexibility of our production trains to adapt as per market demand. However, certain one time expenses and a delay in commissioning the NPK trains at the Goa Plant resulted in higher fixed costs and a consequential impact on EBITDA. Going forward, we believe robust demand experienced in Kharif will continue into Rabi and the industry will benefit from low inventory levels, high reservoir levels and an overall decline in some raw material prices.” Result PDF07-11-2022