Gujarat State Fertilizers & Chemicals reported a 14% year-on-year increase in profit after tax to ₹652 crores for the financial year 2025-26, driven by robust demand and higher sales volume. Revenue from operations grew by 15% to ₹10,827 crores, supported by a 12% increase in fertilizer sales volume. The company achieved its highest ever quarterly sales in Q4 FY26 at ₹2,622 crores, alongside record fertilizer sales of ₹1,985 crores for the quarter.

Financial Performance

The standalone financial results for FY26 showed strong growth across key metrics. Operating EBITDA rose by 24% year-on-year to ₹781 crores, while profit before tax increased by 13% to ₹838 crores. On a consolidated basis, sales increased by 15% to ₹10,945 crores, with PBT and PAT growing by 14% to ₹861 crores and ₹673 crores respectively.

Operational Highlights

The fertilizer segment delivered a strong performance during the year, with sales volume increasing from 19.88 lakh metric ton to 22.31 lakh metric ton. The company achieved its highest fertilizer production in the last five years at 17.59 lakh metric ton. The industrial product segment reported its highest annual profitability in the last four years at ₹200 crores and recorded its highest Q4 EBIT in the last 10 quarters.

Outlook and Strategy

Management indicated that the fertilizer segment faces unsettled raw material markets due to geopolitical pressures, though government subsidy support has maintained optimal working capital levels. For the industrial product segment, caprolactam-benzene spreads are expected to recover in Q1 FY27. The company capitalized growth projects aggregating over ₹670 crores to strengthen operational efficiency.

Gujarat State Fertilizers & Chemicals has reported its financial results for the quarter and year ended March 31, 2026. The company recorded a 14% year-on-year increase in standalone net profit after tax, which rose to ₹652 crore for the fiscal year. Operating revenue for FY 25-26 increased by 15% to ₹10,827 crore, driven by robust performance across its fertilizer and industrial product segments. The Board of Directors has recommended a dividend of ₹5 per equity share of face value ₹2 each (250%) for the financial year 2025-26, subject to shareholder approval. The audited financial results were published in newspapers on May 23, 2026.

FY26 Financial Performance

For the full year ended March 31, 2026, the company achieved its highest-ever quarterly sales in Q4 at ₹2,622 crore. Operating EBITDA surged 24% YoY to ₹781 crore, while Profit Before Tax increased by 13% to ₹838 crore. On a standalone basis, the company reported a net profit of ₹651.52 crore on revenue from operations of ₹10,827.25 crore. On a consolidated basis, net profit for the year stood at ₹673 crore on total income from operations of ₹10,945.50 crore.

The following table summarises the key standalone and consolidated financial metrics for the year ended March 31, 2026:

Segment Performance

The Fertilizer segment delivered a robust performance during FY 25-26, with sales increasing by ₹1,196 crore (17%) and volumes rising by 12% to 22.31 LMT. The company recorded its highest-ever quarterly sales in this segment during Q4 at ₹1,985 crore. However, profitability faced pressure due to a sharp increase in prices of key raw materials like Sulphur and Sulphuric Acid. Despite these challenges, the company achieved the highest fertilizer production (17.59 LMT) in the last five years.

The Industrial Products segment delivered its highest yearly profitability in the last four years. Sales grew by ₹202 crore (9%) during the year, while EBIT increased significantly from ₹56 crore to ₹200 crore on a YoY basis. This improvement was supported by higher sales of Technical Grade Urea, HX Crystal, and traded Ammonia, along with strategic focus on Melamine exports.

Expansion and Outlook

The Company continues to advance its capex plans, with projects aggregating to ₹675 crore capitalized during FY 25-26. Key ongoing projects include the C-Train Modification for APS Production at Sikka Unit and the Phosphoric Acid and Sulphuric Acid Project at Sikka. Projects commissioned during the year include the Urea revamping Project at ₹364 crore, a 600 MTPD SA-V Project at ₹233 crore, and a 15MW Solar Power Project at Charanka at ₹77 crore.

Looking ahead, the Fertilizer segment is expected to operate in a dynamic environment during Q1 26-27 amid volatility in global raw material markets. The Industrial Products segment anticipates mixed demand conditions, with potential pressure on realizations for Caprolactam and Nylon-6 prices.