Coromandel Intl Q1 net dips 43%

Hyderabad: City-based nutrient and crop protection products manufacturers, Coromandel International Limited, has reported a 42.85 per cent dip in its net profit to Rs 8 crore for the first quarter ended June 30, 2016, as against Rs 14 crore during the same period a year ago.

The Murugappa Group company’s revenues for the quarter under review stood at Rs 2,060 crore, as compared with Rs 2,204 crore in the corresponding quarter of last year, reflecting a decline of 6.5 per cent.

Coromandel, which clocked a turnover of Rs 11,625 crore during the 2015-16 financial year, has ventured into the retail business and has set up close to 800 rural retail centres in Andhra Pradesh, Telangana and Karnataka.

“International prices of fertilisers have softened, which helped in bringing down farm gate prices of phosphatic and potassic fertilisers, thereby benefiting the farming community.

However, sharp correction in the fertiliser prices ahead of the consumption season has impacted pipeline stocks, which affected the performance of the fertiliser business,” Sameer Goel, Managing Director of Coromandel International, said in a release on Tuesday.

“Our crop protection business has been witnessing robust growth and has performed well during the quarter. With a near-normal monsoon, improved crop sowings and stability in the fertiliser prices, we expect the demand for agri inputs to pick up,” he added.

Coromandel International’s scrip ended the trade at Rs 231.50 on the BSE on Tuesday, down 1.45 per cent, over the previous close of Rs 234.90 per share.