Gujarat Narmada Valley Fertilizers & Chemicals Limited reported a strong finish to FY26, with standalone net profit surging to Rs. 392 crore in the March quarter, up from Rs. 210 crore a year ago, driven by improved operating performance and lower expenses.

 

The company’s total income rose to Rs. 2,333 crore in Q4 FY26, compared with Rs. 2,177 crore in the same quarter last year, supported by higher revenue from operations of Rs. 2,208 crore and steady other income of Rs. 125 crore.

 

On the cost front, total expenses were contained at Rs. 1,807 crore, down from Rs. 1,890 crore a year earlier, helped by reduced raw material consumption and lower finance costs.

 

As a result, profit before tax nearly doubled to Rs. 526 crore, up from Rs. 287 crore in Q4 FY25. Tax outgo increased to Rs. 134 crore, but net profit still saw a strong uplift.

 

For the full year, GNFC posted a standalone net profit of Rs. 797 crore, up from Rs. 585 crore in FY25, even as annual revenue from operations softened slightly to Rs. 7,773 crore from Rs. 7,892 crore.

 

Total comprehensive income for the year stood at Rs. 793 crore, compared with Rs. 497 crore in the previous year, reflecting improved profitability despite volatility in other comprehensive income components.

 

Commenting on the results, Rajkumar Beniwal, IAS, Managing Director, said: "During Q-o-Q & Y-o-Y Q 4, revenue is improved mainly due to better sales realization in the majority of products. Result is improved mainly due to better sales realization and lower input costs.

Y-o-Y FY, revenue is not comparable due to annual turnaround at Bharuch Complex in current FY and at Dahej Complex in Previous FY. On FY basis PBT is improved mainly due to reduction in input cost.

The change in other comprehensive income is attributable to change in the fair market value of both quoted and unquoted investments as well as actuarial assumptions of employee benefit obligations.

The revision in both energy and fixed cost is being pursued with the Government at industry level.”

Segment Revenue:

* On Q-o-Q Q-4, Fertilizer Segment revenue decreased mainly due to lower volume & realization whereas chemical segment revenue increased mainly due to higher volume & realization.

* On Y-o-Y Q-4, Fertilizer Segment revenue increased mainly due to higher volume partially offset by lower realizations and Chemical Segment revenue increased mainly due to higher realizations partially offset by lower volume.

Segment Results:

* During Q-o-Q Q-4, Fertilizer Segment loss decreased mainly due to lower fixed cost and lower input costs partially offset by lower realization and lower volume. The performance is higher in chemical segment mainly due to higher realization, higher volume & higher other income partially offset by higher input cost.

* On Y-o-Y Q-4, Fertilizer Segment loss decreased mainly due to lower fixed cost & one timer income received during Q 4 FY 25-26 partially offset lower realization & higher input cost. The performance is increased in Chemical Segment mainly due to higher realization, higher other income and lower input cost partially offset by lower volume.

* On Y-o-Y FY, Fertilizer Segment loss increased mainly due to higher energy norms & fixed cost. Chemical Segment improved mainly due to decrease in input cost. Other Segment result improved mainly due to increase in IT division revenue & reduction in fixed cost.