Deepak Nitrite
consolidated net sales increased 39.49% to Rs 1722.27 crore in Q3FY22 compared
to Q3FY21. Sales of Fine &
Speciality Chemicals segment has gone down 2.02% to Rs 206.66 crore (accounting
for 11.77% of total sales). Sales of
Phenolics segment has gone up 38.32% to Rs 1,033.11 crore (accounting for
58.85% of total sales). Sales of Basic
Chemicals segment has gone up 76.22% to Rs 345.81 crore (accounting for 19.70%
of total sales). Sales of Performance
Intermediates segment has gone up 88.40% to Rs 169.88 crore (accounting for
9.68% of total sales). Inter-segment
sales rose Rs 9.57 crore to Rs 33.19 crore.
Operating profit
margin has declined from 27.14% to 20.43%, leading to 5.02% rise in operating
profit to Rs 351.85 crore. Raw material cost as a % of total sales (net of
stock adjustments) increased from 52.94% to 62.51%. Employee cost decreased
from 5.64% to 3.85%. Other expenses fell from 13.18% to 12.94%. Power and Oil
fuel cost rose from 6.13% to 7.01%.
Other income rose
427.66% to Rs 25.75 crore. PBIDT rose 11.08% to Rs 377.6 crore. Profit before interest, tax and other
unallocable items (PBIT) have jumped 10.23% to Rs 352.59 crore. PBIT of Fine & Speciality Chemicals
segment fell 41.50% to Rs 53.23 crore (accounting for 15.10% of total
PBIT). PBIT of Phenolics segment rose
5.63% to Rs 183.61 crore (accounting for 52.07% of total PBIT). PBIT of Basic
Chemicals segment rose 46.63% to Rs 68.74 crore (accounting for 19.50% of total
PBIT). PBIT of Performance Intermediates segment rose 476.10% to Rs 47.01 crore
(accounting for 13.33% of total PBIT).
PBIT margin of Fine
& Speciality Chemicals segment fell from 43.14% to 25.76%. PBIT margin of Phenolics segment fell from
23.27% to 17.77%. PBIT margin of Basic
Chemicals segment fell from 23.89% to 19.88%.
PBIT margin of Performance Intermediates segment rose from 9.05% to
27.67%. Overall PBIT margin fell from
25.71% to 20.09%.
Provision for
interest fell 56.69% to Rs 6.8 crore.
PBDT rose 14.37% to Rs 370.8 crore.
Provision for depreciation rose 34.05% to Rs 45.47 crore.
Profit before tax
grew 12.07% to Rs 325.33 crore. Share of
profit/loss were nil in both the periods.
Provision for tax was expense of Rs 82.87 crore, compared to Rs 73.74
crore. Effective tax rate was 25.47%
compared to 25.40%. Net profit attributable to owners of the company increased
11.96% to Rs 242.46 crore.
Promoters’ stake was
45.69% as of 31 December 2021 compared to 45.69% as of 31 December 2020.
The operating
environment during the quarter was challenging, characterized by rising costs
and constraints in supply of inputs. Raw material prices remained elevated
together with heightened utility costs including power & fuel.
Commenting on the performance, Mr. Deepak C. Mehta,
Chairman & Managing Director, said,
“The world continued
its track record of unprecedented volatility in price and availability of
commodities like coal, petrochemicals and even inorganics. This tumultuous
environment tested the company and management on its judgment, agility and
responsiveness to customer concerns. While we work to mitigate short term
challenges and focus on operating efficiencies, we are heartened to see record
breaking top line performance of both companies on the back of increase in
customer dependance on Deepak for uninterrupted supply. Coupled with this
strategic impetus, growing Indian demand beckons us to do much more. As new
products enter the Deepak family, our strengths of research capability, process
intensification and wide product basket help steer us north with confidence.”
For year-to-date (YTD) results analysis
Net sales of Deepak
Nitrite has increased 70.20% to Rs 4929.84 crore. Sales of Fine & Speciality Chemicals
segment has gone up 8.99% to Rs 611.01 crore (accounting for 12.20% of total
sales). Sales of Phenolics segment has
gone up 95.26% to Rs 3,169.09 crore (accounting for 63.25% of total
sales). Sales of Basic Chemicals segment
has gone up 67.43% to Rs 862.19 crore (accounting for 17.21% of total
sales). Sales of Performance
Intermediates segment has gone up 69.15% to Rs 367.94 crore (accounting for
7.34% of total sales). Inter-segment
sales rose Rs 19.53 crore to Rs 80.39 crore.
Operating profit
margin has declined from 27.36% to 24.20%, leading to 50.59% rise in operating
profit to Rs 1,193.25 crore. Raw material cost as a % of total sales (net of
stock adjustments) increased from 51.35% to 60.53%. Employee cost decreased
from 6.57% to 4.06%. Other expenses fell from 14.54% to 11.53%. Power and Oil
fuel cost fell from 6.33% to 6.20%.
Other income rose
150.77% to Rs 39.07 crore. PBIDT rose 52.52% to Rs 1232.32 crore. Profit before interest, tax and other
unallocable items (PBIT) has jumped 50.22% to Rs 1,146.98 crore. PBIT of Fine & Speciality Chemicals
segment fell 28.85% to Rs 180.74 crore (accounting for 15.76% of total
PBIT). PBIT of Phenolics segment rose
88.98% to Rs 691.26 crore (accounting for 60.27% of total PBIT). PBIT of Basic Chemicals segment rose 74.20%
to Rs 216.29 crore (accounting for 18.86% of total PBIT). PBIT of Performance Intermediates segment
rose 199.74% to Rs 58.69 crore (accounting for 5.12% of total PBIT).
PBIT margin of Fine
& Speciality Chemicals segment fell from 45.31% to 29.58%. PBIT margin of Phenolics segment fell from
22.54% to 21.81%. PBIT margin of Basic
Chemicals segment rose from 24.11% to 25.09%.
PBIT margin of Performance Intermediates segment rose from 9.00% to
15.95%. Overall PBIT margin fell from
26.18% to 22.89%.
Provision for
interest fell 55.03% to Rs 26.98 crore.
PBDT rose 61.15% to Rs 1205.34 crore.
Provision for depreciation rose 38.38% to Rs 133.08 crore.
Profit before tax
grew 64.51% to Rs 1,072.26 crore. Share
of profit/loss were nil in both the periods.
Provision for tax was expense of Rs 272.83 crore, compared to Rs 166.08
crore. Effective tax rate was 25.44%
compared to 25.48%. Net profit attributable to owners of the company increased
64.59% to Rs 799.43 crore.
Promoters’ stake was
45.69% as of 31 December 2021 compared to 45.69% as of 31 December 2020 .
Full year results analysis
Net sales (including
other operating income) of Deepak Nitrite has increased 3.07% to Rs 4359.75
crore. Sales of Fine & Speciality
Chemicals segment has gone up 30.46% to Rs 763.55 crore (accounting for 17.39%
of total sales). Sales of Phenolics
segment has gone up 27.97% to Rs 2,560.50 crore (accounting for 58.31% of total
sales). Sales of Basic Chemicals segment
has gone down 18.84% to Rs 763.17 crore (accounting for 17.38% of total
sales). Sales of Performance Products
segment has gone down 60.35% to Rs 304.18 crore (accounting for 6.93% of total
sales). Inter-segment sales came down
from Rs 63.85 crore to Rs 31.65 crore.
Operating profit
margin has jumped from 24.25% to 28.60%, leading to 21.57% rise in operating
profit to Rs 1,247.03 crore. Raw material cost as a % of total sales (net of
stock adjustments) decreased from 55.85% to 52.05%. Employee cost increased
from 5.16% to 5.65%. Other expenses fell from 14.59% to 13.76%. Power and Oil
fuel cost fell from 6.78% to 6.06%.
Other income fell
38.86% to Rs 21.52 crore. Profit before interest, tax and other unallocable
items (PBIT) has jumped 19.51% to Rs 1,183.80 crore. PBIT of Fine &
Speciality Chemicals segment rose 90.44% to Rs 333.73 crore (accounting for
28.19% of total PBIT). PBIT of Phenolics segment rose 237.71% to Rs 632.57
crore (accounting for 53.44% of total PBIT).
PBIT of Basic Chemicals segment fell 6.92% to Rs 194.87 crore
(accounting for 16.46% of total PBIT).
PBIT of Performance Products segment fell 94.59% to Rs 22.63 crore
(accounting for 1.91% of total PBIT).
PBIT margin of Fine
& Speciality Chemicals segment rose from 29.94% to 43.71%. PBIT margin of Phenolics segment rose from 9.36%
to 24.70%. PBIT margin of Basic
Chemicals segment rose from 22.26% to 25.53%.
PBIT margin of Performance Products segment fell from 54.57% to 7.44%. Overall PBIT margin rose from 23.07% to
26.96%.
Provision for
interest fell 35.41% to Rs 74.2 crore.
Loan funds declined from Rs 1,043.24 crore as of 31 March 2020 to Rs
539.34 crore as of 31 March 2021.
Inventories declined from Rs 394.50 crore as of 31 March 2020 to Rs
382.69 crore as of 31 March 2021. Sundry
debtors were higher at Rs 756.30 crore as of 31 March 2021 compared to Rs
612.72 crore as of 31 March 2020. Cash
and bank balance rose to Rs 33.43 crore as of 31 March 2021 from Rs 31.40 crore
as of 31 March 2020. Investments rose to
Rs 189.29 crore as of 31 March 2021 from Rs 2.38 crore as of 31 March 2020
.
Provision for
depreciation rose 9.23% to Rs 152.63 crore.
Fixed assets increased to Rs 2,042.45 crore as of 31 March 2021 from Rs
1,974.18 crore as of 31 March 2020.
Intangible assets increased from Rs 30.07 crore to Rs 41.73 crore.
Profit before tax
grew 29.18% to Rs 1,041.72 crore.
Provision for tax was expense of Rs 265.91 crore, compared to Rs 195.37
crore. Effective tax rate was 25.53%
compared to 24.23%.
Net profit
attributable to owners of the company increased 26.97% to Rs 775.81 crore.
Promoters’ stake was
45.69% as of 31 March 2021 compared to 45.69% as of 31 March 2020 .
Cash flow from
operating activities increased to Rs 999.04 crore for year ended March 2021
from Rs 764.66 crore for year ended March 2020.
Cash flow used in acquiring fixed assets during the year ended March
2021 stood at Rs 209.56 crore, compared to Rs 417.43 crore during the year
ended March 2020.
The scrip is
currently trading at Rs 2364
Deepak Nitrite : Consolidated
Results
|
Particulars
|
2112
(03)
|
2012
(03)
|
Var.(%)
|
2112
(09)
|
2012
(09)
|
Var.(%)
|
2103
(12)
|
2003
(12)
|
Var.(%)
|
Net
Sales
|
1,722.27
|
1234.69
|
39
|
4,929.84
|
2896.52
|
70
|
4,359.75
|
4,229.71
|
3
|
OPM
(%)
|
20.4
|
27.1
|
|
24.2
|
27.4
|
|
28.6
|
24.3
|
|
OP
|
351.85
|
335.04
|
5
|
1,193.25
|
792.37
|
51
|
1,247.03
|
1,025.80
|
22
|
Other
Inc.
|
25.75
|
4.88
|
428
|
39.07
|
15.58
|
151
|
21.52
|
35.2
|
-39
|
PBIDT
|
377.60
|
339.92
|
11
|
1,232.32
|
807.95
|
53
|
1,268.55
|
1,061.00
|
20
|
Interest
|
6.8
|
15.7
|
-57
|
26.98
|
60
|
-55
|
74.2
|
114.87
|
-35
|
PBDT
|
370.80
|
324.22
|
14
|
1,205.34
|
747.95
|
61
|
1,194.35
|
946.13
|
26
|
Depreciation
|
45.47
|
33.92
|
34
|
133.08
|
96.17
|
38
|
152.63
|
139.73
|
9
|
PBT
|
325.33
|
290.30
|
12
|
1,072.26
|
651.78
|
65
|
1,041.72
|
806.4
|
29
|
EO
Income
|
0
|
0
|
|
0
|
0
|
|
0
|
0
|
-
|
PBT
after EO
|
325.33
|
290.30
|
12
|
1,072.26
|
651.78
|
65
|
1041.72
|
806.4
|
29
|
Taxation
|
82.87
|
73.74
|
12
|
272.83
|
166.08
|
64
|
265.91
|
195.37
|
36
|
PAT
|
242.46
|
216.56
|
12
|
799.43
|
485.70
|
65
|
775.81
|
611.03
|
27
|
EPS
(Rs)*
|
#
|
#
|
|
#
|
#
|
|
56.9
|
44.8
|
|
Notes
|
*
EPS is on current equity of Rs 27.28 crore, Face value of Rs 2, Excluding
extraordinary items.
|
#
EPS is not annualised
|
bps
: Basis points
|
EO
: Extraordinary items
|
Figures
in Rs crore
|
Source:
Capitaline Corporate Database
|
Deepak Nitrite : Consolidated
Segment Results
|
|
%
of (Total)
|
2112
(03)
|
2012
(03)
|
Var.(%)
|
%
of (Total)
|
2112
(09)
|
2012
(09)
|
Var.(%)
|
%
of (Total)
|
2103
(12)
|
2003
(12)
|
Var.(%)
|
Sales
|
|
|
|
|
Fine
& Speciality Chemicals
|
12
|
206.66
|
210.93
|
-2
|
12
|
611.01
|
560.6
|
9
|
17
|
763.55
|
585.26
|
30
|
Phenolics
|
59
|
1,033.11
|
746.92
|
38
|
63
|
3,169.09
|
1,622.97
|
95
|
58
|
2,560.50
|
2,000.86
|
28
|
Basic
Chemicals
|
20
|
345.81
|
196.24
|
76
|
17
|
862.19
|
514.96
|
67
|
17
|
763.17
|
940.32
|
-19
|
Performance
Intermediates
|
10
|
169.88
|
90.17
|
88
|
7
|
367.94
|
217.52
|
69
|
7
|
304.18
|
767.12
|
-60
|
Total
Reported Sales
|
100
|
1,755.46
|
1,244.26
|
41
|
100
|
5,010.23
|
2,916.05
|
72
|
100
|
4,391.40
|
4,293.56
|
2
|
Less:
Inter segment revenues
|
|
33.19
|
9.57
|
247
|
|
80.39
|
19.53
|
312
|
|
31.65
|
63.85
|
-50
|
Net
Sales
|
|
1,722.27
|
1,234.69
|
39
|
|
4,929.84
|
2,896.52
|
70
|
|
4,359.75
|
4,229.71
|
3
|
PBIT
|
|
|
|
|
Fine
& Speciality Chemicals
|
15
|
53.23
|
90.99
|
-42
|
16
|
180.74
|
254.02
|
-29
|
28
|
333.73
|
175.24
|
90
|
Phenolics
|
52
|
183.61
|
173.83
|
6
|
60
|
691.26
|
365.79
|
89
|
53
|
632.57
|
187.31
|
238
|
Basic
Chemicals
|
20
|
68.74
|
46.88
|
47
|
19
|
216.29
|
124.16
|
74
|
16
|
194.87
|
209.35
|
-7
|
Performance
Intermediates
|
13
|
47.01
|
8.16
|
476
|
5
|
58.69
|
19.58
|
200
|
2
|
22.63
|
418.62
|
-95
|
Total
PBIT
|
100
|
352.59
|
319.86
|
10
|
100
|
1,146.98
|
763.55
|
50
|
100
|
1,183.80
|
990.52
|
20
|
Less
: Interest
|
|
6.8
|
15.7
|
-57
|
|
26.98
|
60
|
-55
|
|
74.2
|
115.14
|
-36
|
Add:
Other un-allcoable
|
|
-20.46
|
-13.86
|
-48
|
|
-47.74
|
-51.77
|
8
|
|
-67.88
|
-68.98
|
2
|
PBT
|
|
325.33
|
290.3
|
12
|
|
1,072.26
|
651.78
|
65
|
|
1,041.72
|
806.4
|
29
|
|