Gujarat State Fertilizers & Chemicals Reports Strong Financial Results for Q4 & FY 25-26

Gujarat State Fertilizers & Chemicals Reports Strong Financial Results for Q4 & FY 25-26​

Gujarat State Fertilizers & Chemicals Limited today announced its financial results for the fourth quarter and fiscal year 2025-26, highlighting robust growth across its key segments, despite global raw material price pressures.

The company reported strong annual growth, with Operating Revenue increasing 15% from Rs. 9,429 Cr. in FY 2024-25 to Rs. 10,827 Cr. in FY 2025-26. Operating EBITDA surged 24% year-over-year (YoY) to Rs. 781 Cr. Profit Before Tax (PBT) grew 13% YoY to Rs. 838 Cr., and Profit After Tax (PAT) rose 14% YoY to Rs. 652 Cr. The company also reported its highest-ever quarterly sales in Q4 2025-26, reaching Rs. 2,622 Cr.

Segment Performance Highlights​

Fertilizers Segment
The Fertilizers segment recorded its highest-ever quarterly sales in Q4 2025-26, totaling Rs. 1,985 Cr. This marked significant growth, reflecting 43% growth in sales value and 49% growth in sales volumes compared to Q4 2024-25.

Over the full year FY 25-26, the segment saw sales increase by Rs. 1,196 Cr. (17%) and volumes rise by 12%, moving from 19.88 LMT to 22.31 LMT. Urea, Ammonium Phosphate Sulphate (APS), and Amono Sulphate (AS) were key contributors to this volume growth. Despite facing profitability pressure due to sharp increases in key raw material prices, including Sulphur and Sulphuric Acid, resulting from global geopolitical developments, the company achieved its highest Fertilizer production at 17.59 LMT in the last five fiscal years, maintaining stable operations.

Industrial Products Segment
The Industrial Products segment achieved its highest yearly profitability in the last four years and registered its highest Q4 EBIT in the last ten quarters. Sales grew by Rs. 202 Cr. (9%) during FY 25-26. Concurrently, EBIT saw a significant increase, rising from Rs. 56 Cr. to Rs. 200 Cr. on a YoY basis.

This robust segment performance was largely supported by higher sales of Technical Grade Urea, HX Crystal, traded Ammonia, and a strategic focus on higher Melamine exports, which aligns with the Government of India's trade facilitation initiatives. The segment’s performance was partially impacted by lower realizations in Caprolactam and Nylon products, evidenced by the Capro-Benzene spread averaging USD 535 per MT, compared to USD 578 per MT in FY 24-25.

Operational Milestones and Capex​

During FY 25-26, the company capitalized projects aggregating to Rs. 675 Cr. Additionally, the company commissioned three significant projects during the fiscal year:

• Urea revamping Project at Rs. 364 Cr.
• 600 MTPD SA-V Project at Rs. 233 Cr.
• 15MW Solar Power Project at Charanka at Rs. 77 Cr.

The company also continues to maintain strategic growth through ongoing projects, ensuring future capacity:

Outlook and Market Dynamics​

Looking ahead to Q1 26-27, the company anticipates operating in a dynamic environment. In the Fertilizer sector, global raw material volatility remains a key factor. The government's announcement of Nutrient-Based Subsidy (NBS) rates for H1 26-27, including a 10% increase in Nitrogen, Phosphorus, and Sulphur nutrient support, reflects government commitment to fertilizer availability. Progress of the south-west monsoon and potential El-Nino conditions will significantly influence the demand outlook.

In the Industrial Products sector, demand is expected to remain mixed. While Caprolactam-Benzene spreads are projected to improve, the elevated prices seen previously in Caprolactam and Nylon-6 are unlikely to sustain, potentially pressuring realizations. Demand for Melamine and Technical Grade Urea may remain subdued due to lower operating rates in downstream industries.

Financial Performance Summary​

The following table summarizes the financial performance metrics for Gujarat State Fertilizers & Chemicals Limited (in Rs Crores):


Volume Performance (LMT):

GSFC Stock Price Movement​

As of 2:01 PM, shares of Gujarat State Fertilizers & Chemicals Limited are slipping by 3.13% in live trading, currently trading at ₹169.24. The stock is seeing considerable downward pressure, supported by a high volume of 2.27 million shares traded so far today.