The devotees clashed after one of the groups objected to the use of loudspeaker after prayers at a local mosque at Sandbal, 30 km from here, they said.
Two persons - Shabir Ahmad and Noor Mohammad - were critically injured and shifted to Soura Medical Institute here.
Ahmad (20) later succumbed to head injuries, they said.
Reinforcements have been rushed to the village to maintain law and order, they added.