The company aims to enhance capacity utilization through backward integration, with the launch of new products is expected to strengthen its near-term revenue outlook. New segments such as drones and retail, along with stabilized raw material prices and operational improvements, are likely to support profitability going forward. Accordingly, we revise our rating on the stock to ACCUMULATE, with a revised...

CRIN introduced 6 new products during H1FY22 and management expects to launch more products during rabi season. Management is expecting good traction in rabi season considering healthy reservoir levels and soil moisture conditions . We have positive outlook on CRIN, however we expect contraction in profitability due to the higher raw material costs and CRIN's limitation to pass the increased cost to customers. We maintain ACCUMULATE rating with revised target price of Rs.830 based on 15x FY23E adj. EPS....

Revenue grew by 14% YoY to Rs.3,664cr in Q1FY22 driven by growth in both fertilizer and crop protection chemicals (CPC). Fertilizer segment revenue grew 9% while CPC segment grew at a staggering 50% YoY. Backward integration and inventory savings benefitted nutrient segment while higher exports and B2B deals helped consumer product segment. Company launched six new products in CPC segment during the quarter. All of them are combination molecules. Four of them are insecticides while each of the remaining two are herbicide and fungicide....

We assign ACCUMULATE rating (from Under Review) on CRIN with TP of Rs Change in Estimates | Target | Reco 981 based on 18x FY23E EPS of Rs 54.5 (Previously 15x). We increase CRIN's...

We expect increasing share of unique-grade fertilizers and crop protection products to aid profit growth in the long term We downgrade our rating from Buy to Accumulate based on 17x FY22E EPS and a target price of Rs.837, as we feel that the current...

We believe CRIN is one of the best bets in fertilisers space with robust FCF generation and best in-class return profile. We expect it to benefit from a better Rabi season and softening of RM prices in the near-term, while higher level of Backward integration would aid in sustainable margin expansion. The stock has been trading at ~16x of 1-Year forward EPS over the last 3 years and we value it at 15x FY22E EPS. Maintaining our Target Price of Rs606, we revise our...

Our analysis of product-wise subsidy shows that subsidy on DAP has increased the most - by Rs1,465/MT (+16% yoy). On the other hand, subsidy for MOP has fallen by Rs763/MT (-10% yoy). Subsidy for all other grades of P&K; fertilisers has increased by ~5-10% yoy. Taking into account the new subsidy rates and the ~10% price hike, which the industry has taken in DAP and other NPK grades of fertilisers from Feb'18 onwards, gross margin in DAP and most other complex fertilisers remains broadly unchanged. We remain positive on companies that are backward integrated in phosphoric acid and have higher revenue share from NPK fertilisers, as they enjoy brand equity and less...

Chambal Fertilisers (CHMB) reported revenue of Rs 10.7bn (-24% YoY) in 4QFY17, led by lower volumes (-14%, urea plant shutdown, a drop in trading vols) and lower fertilisers? realisations. EBITDA was at Rs 846mn ( 1%). Lower depreciation and interest costs boosted APAT to Rs 587mn (vs loss of Rs 151mn YoY).