GNFC

GNFC (Gujarat Narmada Valley Fertilizers & Chemicals Ltd.): Q1 FY26 UPDATE

Q1 FY26 Financial Highlights Revenue dropped approximately 4% QoQ, at around ₹2,021 crore (vs ₹2,055 cr in Q4 FY25). Operating profit declined from ₹166 crore to ₹75 crore, as margins narrowed. Net profit fell by about 9% QoQ, at ₹118 crore. Earnings per share stood at ~₹8.03, down from ~₹14.35 in the previous quarter. 🔹 Full Year FY25 Performance FY25 net profit reached ₹585 crore, up about 21% YoY. Revenue for the year was around ₹7,892 crore, modestly below FY24 levels. EBITDA rose ~65%, with margins improving to 11.7% in Q4. ⚙️ Strategic Advancements GNFC has commissioned a new nitric acid plant (600 MTPD) at Bharuch under a long-term EPC contract with thyssenkrupp Uhde, using EnviNOx® technology to cut emissions. The project marks a continued partnership (>30 years) and strengthens GNFC’s specialty chemicals credentials. 📉 Trading & Valuation Metrics Stock closed near ₹533–535 on August 1, trading down ~1.1% intraday. 52-week range: ₹449 (low) to ₹725 (high). Valuation metrics include: P/E ratio: ~13× P/B ratio: ~0.9× Dividend yield: ~3.3% (last paid ₹16.50 per share in Sept 2024) ROE: ~5.4% 🧠 Investor Sentiment & Technical Levels Analysts have identified support levels in ₹440–410 zone and resistance around ₹560–630. A sustained fail below support may risk testing ₹300 levels; breach above resistance could open higher targets. The trading window is closed ahead of the Q1 board meeting scheduled for August 6, 2025, per SEBI norms.