Fertilizer major Coromandel International has posted a net profit of Rs.233.65 crore for the quarter ended September 30, 2012, lower than Rs.278.82 crore recorded in the corresponding period last fiscal, a drop of 16.2 per cent.

The company’s income stood at Rs.2,550.17 crore for the quarter with a marginal decline of 9 per cent over that of Rs.2,791 crore.

Challenging quarter

Kapil Mehan, Managing Director, said that “the quarter had been a challenging one.” Delayed monsoon affected fertilizer offtake during the quarter. The early part of the second quarter was also impacted by shortage of phosphoric acid supply, he said.

Prospects

But prospects looked good for the third quarter with good sowings expected in rabi and better utilisation of inputs and revival of phosphoric acid supply from Tunisia, he said. He also ruled out upward price revision with rupee gaining in value.

On projects, he said the Rs.350 crore capacity expansion project at Kakinada was progressing well and commercial trials would start in November. The company was re-launching the revitalised Gromore brand for bringing all the complex fertilizers under that brand with better-recall value among farmers.

For the proposed Rs.120 crore plant at Bathinda, land acquisition was under progress to set up the single sulphur phosphate plant. The company’s subsidiary, Sabero Organics, had turned profitable after posting losses for six consecutive quarters, he said.

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