Chambal Fertilisers Q2 PAT seen up 3% to Rs 93 cr

Chambal Fertilisers and Chemicals' profit after tax is expected to go up by 3 percent year-on-year to Rs 93 crore in the July-September quarter of current financial year.

Total income is seen going up by 13 percent to Rs 1,859 crore from Rs 1,642 crore during the same period due to higher urea realisation.

Earnings before interest, tax, depreciation and amortisation (EBITDA) are likely to rise by 14 percent YoY to Rs 217 crore in the quarter. EBITDA margin is expected to rise by 50 basis points YoY to 12 percent in the three months period ended September 2012.

Expectations

Monsoon delay has impacted sales. Analysts on an average feel, however, impact on Chambal is limited as company sales are mainly in highly irrigated areas.

Analysts expect the manufactured urea volume to be flat (YoY).

Analysts expect the blended EBITDA margin to be lower on a YoY basis since the company had received Rs 200 million as prior period subsidy in the corresponding quarter of the previous year.