Deepak Fertilizers and Petrochemicals Corporation Limited — PPTs, 29-01-2025: Investor Presentation

**Q3FY25 Earnings Presentation Summary**

**Financial Highlights:** Deepak Fertilisers reported a robust revenue growth of 39% year-on-year (YoY) for Q3FY25, reaching ₹2,579 crore. Operating EBITDA surged by 72% YoY, with the EBITDA margin expanding by 362 basis points to 19%. Profit After Tax (PAT) skyrocketed by 318% YoY, contributing to a PAT margin growth of 655 basis points. The company’s net debt to EBITDA ratio improved to 1.68x from 2.66x in the previous quarter.

**Strategic Initiatives and Growth Drivers:** The company is transitioning from a commodity-focused approach to specialty products across its three verticals: Crop Nutrition, Industrial Chemicals, and Mining Chemicals. A significant expansion plan, with a capex of ₹4,500 crore, aims to enhance production capacities, including a new Technical Ammonium Nitrate (TAN) project in Gopalpur expected to significantly boost output.

**Business Developments:** The Mining Chemicals segment saw a 19% increase in sales volume YoY, while the Industrial Chemicals segment achieved a 17% revenue growth despite a temporary dip in Iso Propyl Alcohol (IPA) prices. The Crop Nutrition segment experienced exceptional growth, particularly in flagship products like Smartek.

**Market Position and Competitive Advantage:** Deepak Fertilisers maintains a strong market share, leading in the TAN and specialty fertilisers sectors. Its strategic geographic positioning enhances supply capabilities to key markets in India.

**Investor Implications:** With sustained growth across segments and a positive outlook bolstered by strategic expansions, investors may find substantial opportunities in Deepak Fertilisers as it capitalizes on the growth story of the Indian chemicals and fertilisers industry.