Deepak Fertilisers and Petrochemicals Corp Ltd (DFPCL) has reported a 12 per cent rise in its consolidated net profit at Rs 57.58 crore in the third quarter of the current fiscal.
The net profit stood at Rs 51.63 crore in the same period of the previous fiscal, the company said in a statement.
Profit before tax (PBT) recorded a marginal dip of 5 per cent at Rs 77.10 crore due to higher raw material cost, especially ammonia which increased by around 40 per cent.
Total income grew by 50 per cent to Rs 1,651.56 crore.
The company said, higher capacity utilisation and increase in volumes were the main drivers, though in the near terms, prices of commodities like ammonia, phos acid and natural gas may rise.
"This is largely a cyclic effect and we expect these to start lowering going forward," it said.
Technical Ammonium Nitrate (TAN) crossed 100,000 tonnes in a quarter for the first time and recorded highest ever volumes with 92 per cent capacity utilisation.
Sailesh C. Mehta, Chairman and Managing Director DFPCL mentioned, "Pro-farmer and pro-infrastructure initiatives announced in the Union Budget are encouraging. We are confident that once these are implemented, they would further enhance growth and performance."
Strategic trading activities continued to contribute to the topline growth of industrial chemicals segment, the company said.
In Fertiliser segment, the NPK production from the newly commissioned NPK plant is stabilising rapidly. "Capacity utilisation of the new plant was as per expectation and during the quarter capacity utilisation was about 81 per cent," it said.
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