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HomePosts Tagged "Deepak Fertilisers and Petrochemicals Corporation Limited (DFPCL)"
Agribusiness, Agro chems – Chemicals, Agro chems – Fertilizers, Agro chems – Pesticides, Company News, Finance, India

During Q4 2024, company has posted net profit of Rs 220 crore compared to Rs 257 crore in Q4 FY 2023, reflecting a decline of 14.7 per cent.

Deepak Fertilisers and Petrochemicals Corporation Limited (DFPCL), one of India’s leading producers of industrial chemicals and fertilisers, announced its consolidated results for the fourth quarter and fiscal year ended March 31, 2024.

During Q4 2024, DFPCL has posted net profit of Rs. 220 crore compared to Rs 257 crore in Q4 FY 2023, reflecting a decline of 14.7 per cent. On QoQ basis, DFPCL’s Q4 PAT registered 262.8 per cent growth as PAT in Q3 FY24 stood at Rs 61 crore.

n Q4 FY24, DFPCL has reported Operating Revenue of Rs. 2,086 crore as compared to Operating Revenue of Rs. 2,796 crore in Q3 FY23. The company’s Operating Revenue stood at Rs. 1,853 crore in Q3 FY24.

For the Financial Year ended March 31, 2024, DFPCL has posted net profit of Rs 457 crore as compared to Rs. 1,221 crore for the Financial Year ended March 31, 2023, reflecting a drop of 62.5 per cent. During FY 2024, the company posted Operating Revenue of Rs 8,676 crore as compared to Rs. 11,301 crore resulting in a de-growth of 23.2 per cent.

Commenting on the performance, Sailesh Mehta, Chairman & Managing Director, DFPCL, said, ““The company has shown resilience and strategic focus despite the Chemical and Fertilisers segment facing challenges simultaneously. Short-term aberration in the import of fertilizer-grade ammonium nitrate from Russia, low cost Nitroaromatics from China and below normal rainfall in our core markets impacted business performance.  Despite the odds the company has delivered healthy performance with sustained margins, driven by innovation, operational excellence, and sustainability.”

 Mehta also mentioned that we have entered into a 15-year long-term gas supply agreement with Equinor, commencing in May 2026. This move will ensure continuous supplies of Natural Gas and is expected to improve margins through effective natural gas/LNG hedging and in-house ammonia production, ensuring greater stability.

We also signed a Commercial agreement with Haifa Group, a renowned multinational corporation specializing in Specialty Crop Nutrient. The MAL-Haifa offerings will support agricultural practices that counter the vicious trend of water scarcity and also enhance Nutrient Uptake & Use Efficiency in the plants.

For FY 24-25, the demand outlook for all our business segments looks positive. ‘IMD’ has forecasted above average normal rainfall in FY25, expecting a good Kharif and Rabi season this year.

During Q4 2024, company has posted net

Agro chems – Fertilizers, Collaborations, Company News, India

This agreement is for annual supplies of up to 0.65 million tonnes over a period of 15 years, beginning 2026. 

Deepak Fertilisers and Petrochemicals Corporation Limited (DFPCL), one of India’s leading producers of industrial chemicals and fertilisers, and Equinor, an international energy company headquartered in Norway, have entered into a long-term supply agreement for Liquefied Natural Gas (LNG).

With this tie-up, DFPCL strengthens its value chain with an attractive long-term LNG contract to solidify its value chain from Gas to Ammonia to various downstream Fertilisers, Industrial Chemicals and Mining Chemicals. This end-to-end tie-up shall establish a strong long-term foundation for all of DFPCL’s product segments.

Equinor, erstwhile Statoil, is amongst the established leaders in the oil & gas sector over the last 50 years, with a market cap of USD 75 Billion wherein majority shares are owned by the Norwegian Government.

The agreement signed by Irene Rummelhoff, Executive Vice President, Equinor and Sailesh C. Mehta, Chairman & Managing Director, DFPCL, is one of the largest contracts signed by Equinor with a private sector company in India.

This agreement is for annual supplies of up to 0.65 million tonnes over a period of 15 years, beginning 2026.  The tie-up provides room for trading some LNG parcels in the growing LNG demands in India as well as accommodating DFPCL’s growing captive needs. The LNG will be delivered to the west coast of India. DFPCL is at an advanced stage of tying up the Re-gasification Terminal with the Gas pipeline grid connectivity to its plant’s doorstep already in place.

The LNG agreement also encourages the companies to further collaborate on petrochemicals feedstocks and strategic decarbonization pathways in the future.

“We are very happy to enter into this long-term agreement with Equinor for supply of LNG. This will put on a solid footing Deepak Fertilisers value-chain right from Gas to Ammonia to building block Nitric Acids to downstream Fertilisers, Mining Chemicals and Industrial Chemicals, helping it to absorb Global volatility as well as enhance overall margins.  We also look forward to exploring with Equinor, strategic tie-ups in our Chemical Business, as well as carbon footprint reduction initiatives.” said Sailesh C. Mehta, Chairman & Managing Director, DFPCL.

“I am happy that we have entered into this agreement with Deepak, and it is an example of how we use our position in the Atlantic basin to strengthen our relationship with key players in the growing Indian market. Ammonia is a key building block for the society, being crucial for agriculture and food security. Deepak’s new ammonia plant will provide new, domestic fertiliser supply to India and we are proud to provide its feedstock in the form of natural gas. We look forward to further developing our relationship with Deepak on feedstocks and low carbon initiatives in the future”, says Equinor’s Senior vice president for Gas & Power Helge Haugane.

This agreement is for annual supplies of