Shree Pushkar Revenue Jumps 14.6% YoY; Margins Compress Amid Segmental Divergence

CHEMICALS
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AuthorAkshat Lakshkar|Published at:
Shree Pushkar Revenue Jumps 14.6% YoY; Margins Compress Amid Segmental Divergence
Overview

Shree Pushkar Chemicals & Fertilisers reported a 14.6% YoY revenue growth to ₹248.9 Crores in Q3 FY26. The Chemicals segment posted robust 38.1% revenue growth, while Fertilisers saw a 10.6% decline. Despite top-line gains, EBITDA margins compressed to 8.9% from 10.3% YoY due to lower volumes in fertilisers and increased costs. The company is expanding solar capacity and establishing a Bangladesh subsidiary.

📉 The Financial Deep Dive

Shree Pushkar Chemicals & Fertilisers Limited has announced its unaudited consolidated financial results for the third quarter and nine months ended 31st December 2025 (Q3 FY26 and 9M FY26).

The Numbers:

  • Revenue: Consolidated Revenue from Operations stood at ₹248.9 Crores in Q3 FY26, a healthy 14.6% increase year-on-year (YoY). However, it experienced a marginal 2.4% decrease quarter-on-quarter (QoQ) from ₹255.1 Crores in Q2 FY26.
    For the nine-month period (9M FY26), revenue reached ₹758.5 Crores, marking a significant 29.2% YoY growth.
  • Profit After Tax (PAT): PAT for Q3 FY26 was ₹18.1 Crores, up 13.5% YoY from ₹15.9 Crores in Q3 FY25. QoQ, PAT saw a slight 0.7% decline from ₹18.2 Crores.
    9M FY26 PAT grew robustly by 36.0% YoY to ₹57.2 Crores.
  • EBITDA: This metric presented a contrasting picture, declining by 1.7% YoY to ₹22.1 Crores in Q3 FY26.
  • Margins: EBITDA margin compressed to 8.9% in Q3 FY26, down from 10.3% in the prior year's comparable quarter and Q2 FY26. Gross Profit increased marginally by 2.4% YoY to ₹79.3 Crores, but Gross Margin also compressed to 31.9% from 35.7% YoY.

Segmental Performance & Volumes:

The divergence in performance between its business segments was a key takeaway.

  • Chemicals: This segment was a star performer, with revenue growing 38.1% YoY to ₹156 Crores. Chemicals volume surged by a substantial 75.6% YoY to 26,595 MT.
  • Fertilisers: In contrast, the Fertilisers segment faced headwinds, reporting a revenue decline of 10.6% YoY to ₹93 Crores. Fertiliser volumes were down 23.7% YoY to 53,448 MT.
  • Overall consolidated volumes for the company decreased by 6.0% YoY to 80,043 MT in Q3 FY26.

🚩 Risks & Outlook

Management Commentary:

Mr. Punit Makharia, Chairman and Managing Director, acknowledged the strong revenue growth, particularly from the Chemical business, but also highlighted the prevailing margin pressures. He reiterated the company's focus on sustainable growth.

Strategic Developments & Future View:

The company is making strategic moves to bolster future growth:

  • International Expansion: Incorporation of Dyecol Bangladesh Limited as a wholly-owned subsidiary signifies an intent to expand market reach into Bangladesh.
  • Capacity Expansion: Progress is being made on expansion projects, including the facility for Madhya Bharat Phosphate Private Limited and the commissioning of Ratnagiri Unit 5 and Unit 6, slated for Q4 FY26.
  • Renewable Energy: The company is significantly expanding its solar power capacity from 9.5 MWDC to 20.6 MWDC, underscoring a commitment to sustainability and cost efficiency.
  • Promoter Confidence: A preferential allotment to its promoter during the quarter signals continued confidence from the top management.

The key factors for investors to watch will be the company's ability to translate volume growth in its chemicals segment into margin improvement, manage the performance of its fertiliser business, and successfully execute its expansion projects, particularly the new international foray and plant commissioning.

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