Coromandel International Q3 net rises 26% to ₹334 crore

Date:02-04-2021

Agri solutions provider Coromandel International has posted a consolidated net profit of ₹334 crore for the quarter ended December, which is an increase of 26% compared to the ₹265 crore of the year-earlier period.

Total income at ₹3,542 crore (₹3,288 crore) was higher by over 7%. Managing Director Sameer Goel said continuous emphasis on superior products, farm connect initiatives, increased operational efficiencies, smart sourcing and better working capital management helped the company register a strong performance in the third quarter. Fertilizer business registered a volume growth of 8%. Excessive rainfall in some of the geographies in which the company operates led to postponement of Rabi sowing and skipping of few applications, he said.

“We plan to take annual turnaround of our major plants during the upcoming quarter and fast track the capital projects. With the forecast of a normal monsoon and the roll out of COVID vaccination programme in the coming months, we expect economic activities to normalise in FY-2022,” he said in a statement.

The company is setting up a large evaporator plant, to improve availability of concentrated phosphoric acid, and a pilot liquid fertilizer plant in Visakhapatnam. It had recommissioned the sulphuric acid plant Ranipet, the release said.

“The crop protection business continues to focus on enriching the product portfolio and is working on a rich pipeline of new and combination molecules. We have received registration for Quizalofop Ethyl, a selective systemic herbicide for soyabean and other vegetative crops,” he said.

Interim dividend

The company has declared an interim dividend of ₹6 per share (of face value of ₹1 each). February 11 has been fixed as the Record Date and the dividend will be paid on or after February 24. Besides the dividend, the Board of Directors also approved a draft scheme of amalgamation of two wholly owned subsidiaries, Liberty Pesticides and Fertilizers and Coromandel SQM (India), with Coromandel International.

Nod for appointment

The Board approved the appointment of Arun Alagappan, managing director of Cholamandalam Investment and Finance Company, as whole-time director for a period of five years with effect from February 15. It also elected him as vice chairman, to be designated as executive vice chairman of the company, with effect from February 15. Mr. Alagappan, who holds directorship in several companies, is acknowledged as a thought leader in the bicycle industry and the NBFC industry. He also worked in various companies in the Murugappa Group, a stock filing by Coromandel International said.