Coromandel International – Q4 FY26 Results

key financial highlights

• Revenue from Operations:
  • Revenue (Q4 FY26): ₹6,003.66 Crores
    • QoQ Change: -31.62%
    • YoY Change: +20.35%
  • Previous Quarter (Q3 FY26): ₹8,779.45 Crores
  • Previous Year (Q4 FY25): ₹4,988.39 Crores
• Profit After Tax (PAT):
  • PAT (Q4 FY26): ₹114.64 Crores
    • QoQ Change: -76.53%
    • YoY Change: -80.18%
  • Previous Quarter (Q3 FY26): ₹488.47 Crores
  • Previous Year (Q4 FY25): ₹578.46 Crores
• QoQ Performance
  • Revenue Trend: Sequential Decline
  • Profit Trend: Profitability Weakened Significantly

Margin Analysis

Drivers:

• Sharp fall in quarterly revenue affected operating leverage.
• Employee expenses increased to ₹272.71 Cr versus ₹209.33 Cr YoY.
• Depreciation rose materially to ₹164.73 Cr from ₹85.40 Cr YoY.
• Freight and distribution expenses increased to ₹352.52 Cr.
• Exceptional impairment charge of ₹70.56 Cr impacted profitability.
• Crop protection margins weakened due to lower segment contribution.

Insight:

• Despite healthy annual growth, Q4 operating margins compressed materially because of higher fixed costs and impairment-related expenses.

Segment performance

Segments: Nutrient and Other Allied Business

• Revenue: ₹4,952.50 Cr
• Insights:
  • Remained the largest contributor to overall revenue.
  • Seasonal demand normalization impacted QoQ performance.
  • Segment profit stood at ₹244.44 Cr.

Segments: Solar EPC & O&M

• Revenue: ₹1,076.25 Cr
• Insights:
  • Strong YoY growth indicates improving crop protection demand.
  • Segment remained relatively stable sequentially.
  • Segment profit increased to ₹120.29 Cr from ₹101.11 Cr YoY.

Segment insight

Summary:

• Coromandel’s business mix remains heavily dependent on nutrient operations, while crop protection is emerging as a fast-growing secondary growth driver.

Charcateristics:

• Nutrient business contributes over 80% of revenue.
• Crop protection segment delivered stronger growth momentum.
• Diversification toward specialty products continues.
• Segment profitability remains cyclical and seasonally sensitive.

Earning quality check

Drivers:

• Operating cash flow remained positive at ₹1,557.54 Cr.
• Working capital pressure increased because inventories rose sharply.
• Inventory levels increased to ₹7,204.11 Cr from ₹4,769.91 Cr YoY.
• Trade receivables increased to ₹2,075.55 Cr.
• Exceptional impairment charges reduced reported earnings quality.
• Other income declined sharply YoY.

Interpretations:

• Core operations remain healthy, but earnings quality for the quarter was impacted by non-operational charges and working capital expansion.

balance sheet Analysis

• Total Assets: ₹24,503.43 Cr
• Total Liabilities: ₹11,370.25 Cr

Insight:

• The company maintained a strong balance sheet with healthy equity growth, though current liabilities and inventory levels increased materially due to business expansion and seasonal inventory build-up.

Additional Balance Sheet Signals:

• Total Equity increased to ₹13,133.18 Cr.
• Cash & cash equivalents improved to ₹422.53 Cr.
• Current borrowings increased to ₹786.86 Cr from ₹146.90 Cr YoY.
• Goodwill increased to ₹600.52 Cr, indicating acquisition-related expansion.

key risks

• Seasonal volatility in fertilizer demand.
• Rising inventory and receivable levels may pressure working capital.
• Dependence on government subsidy receivables.
• Higher freight and employee costs could pressure margins.
• Exposure to commodity price fluctuations.
• Exceptional impairment charges may continue impacting profitability if operational efficiencies weaken.

management strategy signals

Focus Area:

• Expanding crop protection business.
• Strengthening nutrient product portfolio.
• Improving integrated agri-solutions ecosystem.
• Capacity expansion and strategic investments.
• Enhancing operational efficiencies and distribution reach.

Financial metrics table

Quarterly Performance Context