RCF Ltd Q2 turns around to profit of Rs103.88cr on lower operating costs

RCF Ltd reported a 5.69% drop in the Sep-20 quarter consolidated top line sales revenues at Rs2,316.94cr.

Nov 10, 2020 06:11 IST India Infoline News Service

RCF, Rashtriya Chemicals & Fertilizers
RCF Ltd reported a 5.69% drop in the Sep-20 quarter consolidated top line sales revenues at Rs2,316.94cr. The company is one of India’s largest manufacturers of fertilizers. While this segment is not cyclical, its fortunes are contingent upon government subsidies and pricing as well as the price of gas in the case of gas fired plants.


For the Sep-20 quarter, the operating profits bounced from a marginal loss in the Sep-19 quarter to an operating profit of Rs155.96cr. The operating margin or OPM was reported at 6.35% in the Sep-20 quarter.


Profit after tax (PAT) for the Sep-20 quarter turned around from a loss of Rs21.55cr in Sep-19 quarter to a profit of Rs103.88cr in the Sep-20 quarter. The operating profits and the net profits were deeply impacted by the sharply lower costs in the Sep-20 quarter. While the cost of inputs was sharply lower by almost 25%, the cost of fuel and power also came down sharply adding to the profits and aiding the turnaround in this quarter.


Financial highlights for Sep-20 compared yoy and sequentially


RCF Ltd
Rs in Crore Sep-20 Sep-19 YOY Jun-20 QOQ
Revenues 2,316.94 2,456.60 -5.69% 1,621.05 42.93%
Operating Profit 155.96 -0.53 Not Relevant 55.23 182.38%
Profit After Tax (PAT) 103.88 -21.65 Not Relevant 19.20 441.04%
Diluted EPS (Rs) ₹ 1.88 ₹ -0.39 ₹ 0.35
Operating Margin 6.73% -0.02% 3.41%
PAT Margins 4.48% -0.88% 1.18%
 

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