Coromandel International is right up there among the top five gainers on the BSE since opening bell. Enthused by its good performance for Q2FY20, the stock price rose 5.6% to Rs.442, outperforming the sector by over 3%. In fact the fertilsier sector has shown a gain of over 2%.
Despite a 3% (YoY) drop in consolidate total revenue at Rs.4858 crore, the company ended the quarter with a 38% rise in net profit at Rs.504 crore.
The jump in profit, to a large extent can be attributed to the lower tax provision of Rs.111 crore v/s Rs.194 crore (YoY).
The company stated that its nutrient and allied businesses segment registered a very good performance during the quarter. Business improved its manufactured product sales by 8% over previous year, supported by stable raw material prices.
EBITDA for the quarter stood at Rs.713 crore, up 7% while margins jumped 130 bps to 14.7%.