- Standalone Revenue (Q4 FY24): INR135 crores, 13% growth.
- Standalone EBITDA (Q4 FY24): INR16 crores, 36% growth, EBITDA margin of 11.6%.
- Standalone PAT (Q4 FY24): INR11 crores, 329% growth, PAT margin of 7.9%.
- Standalone Revenue (FY24): INR487 crores, 16% growth.
- Standalone EBITDA (FY24): INR44 crores, 4% growth, EBITDA margin of 9.1%.
- Standalone PAT (FY24): INR27 crores, 91% growth, PAT margin of 5.5%.
- Consolidated Revenue (Q4 FY24): INR191 crores, 6% growth.
- Consolidated EBITDA (Q4 FY24): INR19 crores, 8% decline, EBITDA margin of 9.8%.
- Consolidated PAT (Q4 FY24): INR13 crores, 2% growth, PAT margin of 6.9%.
- Consolidated Revenue (FY24): INR726 crores, 6% growth.
- Consolidated EBITDA (FY24): INR61 crores, 11% decline, EBITDA margin of 8.4%.
- Consolidated PAT (FY24): INR37.1 crores, PAT margin of 5.1%.
- Dyes Volume (FY24): 5% increase.
- Dyes Intermediate Volume (FY24): 22% increase.
- Acid Volume (FY24): 19% increase.
- Fertilizers Volume (FY24): Flat.
- Animal Feed Volume (FY24): 10% decrease.
- Total Volume (FY24): 4% increase.
- Dyes Revenue (FY24): 3% decrease.
- Dyes Intermediate Revenue (FY24): 64% increase.
- Acid Revenue (FY24): 26% decrease.
- Fertilizers Revenue (FY24): 12% decrease.
- Animal Feed Revenue (FY24): 21% decrease.
- Total Revenue (FY24): 6% increase.
- Chemical Volume (Q4 FY24): 11,381 metric tonnes, 9% growth.
- Fertilizers Volume (Q4 FY24): 57,000 metric tonnes, 4% growth.
- Chemical Volume (FY24): 57,270 metric tonnes, 26% growth.
- Fertilizers Volume (FY24): 209,500 metric tonnes, 1% decline.
- Chemicals Segmental Revenue (Q4 FY24): 25% increase.
- Fertilizers Segmental Revenue (Q4 FY24): 11% decrease.
- Chemicals Segmental Revenue (FY24): 30% increase.
- Fertilizers Segmental Revenue (FY24): 13% decrease.
- Non-Lien Deposit Facility: INR117 crores.
- Return on Capital Employed (FY24): 9.7%.
- Return on Equity (FY24): 4.1%.
- Cash and Cash Investments: INR118.5 crores.
Release Date: May 17, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Standalone revenue grew by 13% in Q4 FY24, reaching INR135 crores.
- Standalone EBITDA surged by 36% to INR16 crores, achieving an EBITDA margin of 11.6%.
- Standalone PAT saw a significant increase of 329%, reaching INR11 crores with a PAT margin of 7.9%.
- For the entire fiscal year, standalone revenue increased by 16% to INR487 crores.
- Several strategic projects initiated, including a 3.8-megawatt solar power plant and a new water-soluble plant, reflecting commitment to sustainability and integration.
Negative Points
- Consolidated EBITDA declined by 11% to INR61 crores for FY24.
- Revenue from the acid segment declined by 26%.
- Fertilizer and animal feed segments experienced marginal declines in volume and revenue.
- Working capital cycle increased by INR40 crores, leading to short-term borrowing.
- Challenges in certain segments, such as a 10% decrease in animal feed volume and a 21% decrease in revenue.
Q & A Highlights
Highlights of Shree Pushkar Chemicals & Fertilisers Ltd (BOM:539334, Financial) Q4 and FY2024 Earnings Call
Q: Can you provide an outlook on both the segments and the volume and realization? Are you seeing any improvement?
A: Punit Makharia, Executive Chairman and Managing Director: Volumes and revenue have started improving. The industry is moving towards stabilization. The government has increased subsidies for fertilizers, and we expect positive outcomes from the monsoon season and post-election stabilization.
Q: What led to the 20% volume drop in the Chemicals segment quarter-on-quarter?
A: Punit Makharia, Executive Chairman and Managing Director: The figures show growth, not degrowth. The drop mentioned might be due to internal consumption of acid for new production units, reducing the amount available for sale.
Q: Is there any improvement in the order book for the Chemicals segment?
A: Punit Makharia, Executive Chairman and Managing Director: The order book visibility has improved, and we expect better performance in the coming quarters.
Q: How is the fertilizer segment performing, and is there any increase in exports?
A: Punit Makharia, Executive Chairman and Managing Director: The fertilizer segment was flat year-over-year, but we expect support from this segment in the current financial year.
Q: Why has the working capital increased by INR40 crores, and why take short-term borrowing?
A: Punit Makharia, Executive Chairman and Managing Director: The increase is due to reduced creditors, increased investments, and CWIP. Most of the borrowing is in the form of non-funded limits like LCs and bank guarantees.
Q: Why is there no backward integration into sulfuric acid at Meghnagar?
A: Punit Makharia, Executive Chairman and Managing Director: Meghnagar is close to Gujarat, where sulfuric acid is readily available from nearby smelters, making backward integration unnecessary.
Q: How will the government's guidelines on reasonable profit margins for fertilizers impact the business?
A: Deepak Beriwala, Chief Financial Officer: The guidelines provide a reasonable profit margin of 10%-12% PAT, which is decent for long-term stability.
Q: What is the expected revenue and EBITDA for FY26 and FY27 with the new CapEx?
A: Punit Makharia, Executive Chairman and Managing Director: We estimate revenue to be around INR1,100 crores with an EBITDA margin of approximately 10%, depending on market conditions.
Q: What is the total CapEx on the solar front, and what cost savings are expected?
A: Punit Makharia, Executive Chairman and Managing Director: The total CapEx is around INR45 crores, with a payback period of 3.5 years. The solar investment will significantly reduce expenses.
Q: What is the expected top line for FY25 with the new CapEx coming on stream?
A: Punit Makharia, Executive Chairman and Managing Director: We expect revenue to be between INR875 crores to INR925 crores, reflecting a 15%-20% growth.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
