Rama Phosphates Limited , a leading manufacturer of fertilizers and chemicals, has announced its intention to implement an Employee Stock Option Plan (ESOP) for 2025. The company has issued a postal ballot notice seeking shareholder approval for two special resolutions related to this initiative.

Key Details of the ESOP 2025

• Total Options: The plan allows for up to 9,00,000 stock options convertible into an equivalent number of equity shares.
• Face Value: Each equity share will have a face value of Rs. 5.
• Vesting Period: Options will vest between 1-2 years from the grant date.
• Exercise Period: Employees will have 6 months from vesting to exercise their options.
• Exercise Price: The price will be based on the closing market price prior to the grant but not less than the face value.

Scope of the ESOP

The ESOP 2025 is designed to benefit:

1. Eligible employees of Rama Phosphates Limited
2. Employees of subsidiary and associate companies (subject to separate approval)

Voting Process

Shareholders can participate in the decision-making process through remote e-voting:

• Commencement: October 28, 2025 at 9:00 AM
• Conclusion: November 26, 2025 at 5:00 PM
• Cut-off Date: October 17, 2025 (for eligible voters)

Objectives of the ESOP

The company aims to achieve several goals through this ESOP:

• Reward employee loyalty and contribution
• Motivate performance and enhance productivity
• Attract and retain talent
• Create a sense of ownership among staff

Implementation Details

• The scheme will be implemented directly by the company without involving any trust.
• It will be administered by the Nomination and Remuneration Committee, designated as the "Compensation Committee."
• The plan involves only the issue of fresh/primary shares by the company.

Financial Implications

Rama Phosphates Limited has stated that it will comply with the accounting standards prescribed by the government and the Institute of Chartered Accountants of India (ICAI) for the valuation and accounting of these stock options.

This Employee Stock Option Plan represents a significant step for Rama Phosphates Limited in aligning employee interests with those of the company and its shareholders. The success of the plan now rests on the decision of the shareholders, who have been given the opportunity to vote on this important corporate action.

Rama Phosphates , a leading manufacturer of fertilizers and chemicals, has reported a remarkable financial performance for the second quarter of fiscal year 2025-26. The company's net profit soared by 460% year-on-year, accompanied by significant revenue growth and an interim dividend announcement.

Financial Highlights

Rama Phosphates posted a net profit of ₹1,728.34 lakhs for Q2 FY2025-26, a substantial increase from ₹308.40 lakhs in the same quarter of the previous year. This impressive growth extends to the half-year results, with net profit rising to ₹3,331.66 lakhs, up from ₹987.03 lakhs in the corresponding period last year.

The company's revenue from operations also showed strong growth, increasing to ₹24,565.73 lakhs in Q2 FY2025-26 from ₹20,945.61 lakhs in Q2 FY2024-25, representing a 17.3% year-on-year increase.

Key Financial Metrics

Dividend Declaration

The Board of Directors has declared a first interim dividend of ₹0.50 per equity share for FY 2025-2026, payable on November 25, 2025. However, promoters holding 26,539,512 equity shares have waived their right to receive this interim dividend.

Employee Stock Option Plan

Rama Phosphates has approved an Employee Stock Option Plan 2025, covering up to 9,00,000 options, subject to shareholder approval and compliance with SEBI regulations.

Segment Performance

The company operates in multiple segments, including fertilizers, micro nutrients, chemicals, and soya/agri. The fertilizer segment continues to be the primary revenue driver.

Future Outlook

Rama Phosphates has received Environmental Clearance for a new Greenfield project at Dhule, which will manufacture 216,000 MT PA SSP Fertilizer and 90,000 MT PA Sulphuric Acid. The Phase-1 project is underway, with trial production expected to commence by the fourth quarter of FY 2026.

Additionally, the company has extended its lease agreement for the manufacturing unit at Nimbahera for another five years, from December 09, 2026, to December 08, 2031, indicating confidence in its operational continuity.

Market Position

Rama Phosphates maintains a strong market position, reflected in its long-term credit rating of ICRA "A-" by ICRA. This rating suggests a stable outlook for the company's financial health and market standing.

The significant profit growth and strategic initiatives undertaken by Rama Phosphates demonstrate the company's robust performance and forward-looking approach in the fertilizer and chemical sector.