Deepak Fertilisers and Petrochemicals Corporation Limited disclosed a 50% decrease in fourth-quarter earnings for FY26 due to elevated maintenance and efficiency enhancement expenses linked to its ammonia plant. The company’s consolidated net profit plummeted by 50% to Rs 139.4 crore in the quarter concluding March 2026, down from Rs 277 crore in the same period of FY25, as per its stock exchange filing. Despite this decline, revenue from operations surged by 12.9% to Rs 3,011.4 crore during the quarter, driven by strong volume growth in the Technical Ammonium Nitrate (TAN) and Crop Nutrition Business (CNB) segments.
At the operational level, EBITDA fell by 26.3% year-on-year to Rs 354 crore in Q4 FY26, as reported by the company. The EBITDA margin contracted sharply to 12% from the 18% recorded in the corresponding quarter of the previous financial year. Deepak Fertilisers attributed the quarterly profit reduction to planned maintenance and efficiency enhancement costs for the ammonia plant, totaling nearly Rs 95 crore. Adjusted for this one-time impact, the EBITDA decline was approximately 10% year-on-year, but showed a 22% improvement sequentially.
For the full fiscal year FY26, Deepak Fertilisers registered an 18% decline in profit after tax, amounting to Rs 439 crore after adjusting for a one-time tax credit of about Rs 40 crore in FY25. The company noted that lower finance costs partly offset the margin pressure throughout the year. Moreover, there was a notable advancement in the product mix towards higher-value offerings, with speciality products contributing 33% of Crop Nutrition Business revenue in FY26. Additionally, the B2C segment’s share in the mining chemicals business rose to 16%, enhancing earnings quality.
The Board of Directors proposed a dividend of Rs 10 per equity share for FY26. Deepak Fertilisers announced that the register of members would be closed from August 26 to September 1 for dividend payment and the annual general meeting, with the record date set as August 25.
