BENGALURU, 29 July 2025: Paradeep Phosphates Ltd., India’s second-largest private-sector phosphatic fertilizer manufacturer, has reported a strong set of earnings for the first quarter of the financial year 2025–26, supported by robust fertilizer sales and operational efficiencies.
The company posted a net profit of INR 256 crore in Q1 FY26, compared to the previous year’s figure of INR 162 crore, marking a 58% increase. Revenue from operations rose to INR 3,754 crore, up 58 per cent year-on-year. EBITDA, including other income, doubled to INR 493 crore, while profit before tax stood at INR 342 crore.
Operationally, Paradeep Phosphates achieved production volumes of 6.64 lakh tonnes, a 23 per cent increase over the previous year. Primary sales volumes rose 34 per cent to 7.42 lakh tonnes. The company served over 9.5 million farmers across 15 states through a network of more than 95,000 retail points.
Sales were led by crop- and soil-specific NPK grades, particularly N-20, which recorded an all-time high of 2.24 lakh tonnes during the quarter. The company also sold nearly 7 lakh bottles of nano fertilizers, including nano-DAP and nano-urea, as part of its innovation-driven approach.
Production of key intermediates also witnessed a strong uptick. Phosphoric acid output rose 22 per cent to 113 KTPA, while sulphuric acid production increased 30 per cent to 283 KTPA.
Suresh Krishnan, Managing Director & CEO of Paradeep Phosphates, attributed the company’s performance to favourable rainfall, healthy reservoir levels, and strong execution. “Our record sales volumes were led by N-20 and our value-added NPK grades. We continue to maintain fiscal discipline with a lean cash conversion cycle and a stable net debt-to-equity ratio of 0.77,” he said.
The company is progressing on key strategic projects. The sulphuric acid capacity at Paradeep is being expanded from 1.39 MMTPA to approximately 2 MMTPA, with commissioning expected by Q3 FY26. Phosphoric acid capacity is also being ramped up from 0.5 MMTPA to 0.7 MMTPA over the next two years.
In June, shareholders approved the merger of Paradeep Phosphates with Mangalore Chemicals & Fertilizers Ltd. (MCFL), and the process is now in the final regulatory stages.
With government policy support, predictions of above-average monsoons, and continued emphasis on balanced fertilization and soil health, the company expects fertilizer demand in India to remain buoyant in the coming quarters.
