ZUARI AGRO CHEMICALS LTD. Q1 FY27 Results

Zuari Agro Chemicals' consolidated Q1 FY27 profit came in at ₹118.70 Cr (₹118.49 Cr attributable to owners; EPS ₹28.17), down 6.8% from ₹127.38 Cr a year ago — a broadly steady bottom line. Revenue printed at ₹615.21 Cr, down 50.6% YoY from ₹1,246.05 Cr, which looks like a sharp decline but is explicitly flagged by the company (Note 5) as not comparable: Mangalore Chemicals & Fertilizers (MCFL), a subsidiary through FY26, was deconsolidated effective September 26, 2025 after an NCLT-approved scheme merged it into Paradeep Phosphates (PPL); PPL is now held as a joint venture via Zuari Maroc Phosphates and equity-accounted rather than consolidated line-by-line. There is no analyst consensus or brokerage preview available for this stock this quarter (vs-street is unknown), and the company has issued no formal FY27 guidance to measure the print against.

The margin move is a direct consequence of that scope change rather than operating improvement. Consolidated PBT before exceptional items and JV share was ₹37.18 Cr on ₹615.21 Cr of revenue (6.0% margin), down from roughly 7.1% a year ago on the old, larger revenue base. What lifted net profit and pushed net margin to 19.3% (from 10.2% YoY) was ₹96.19 Cr of share-of-JV profit, which now arrives as a single below-the-line number instead of contributing its own revenue and cost lines — so the margin expansion is a consolidation-mechanics effect, and on a like-for-like operating basis the core business is running slightly softer than a year ago. Sequentially, both revenue (+228% QoQ from ₹187.33 Cr) and profit (a swing from a ₹25.10 Cr loss in Q4 FY26) improved sharply, but Q1 is the peak Kharif-season quarter for fertiliser demand, so the QoQ jump is largely seasonal rather than a trend signal.

The stock went into the print at ₹235.5, up 1.7% over the past month of trading.

At the standalone level, the parent booked almost no operating revenue (other income of just ₹0.11 Cr) and a loss of ₹16.44 Cr, nearly identical to the ₹16.50 Cr loss a year ago, driven almost entirely by ₹14.16 Cr of finance costs — consistent with the entity's shift toward a holding-company profile after the FY26 asset transfers. That funding dependence shows up in Note 2: the Board is seeking a further six-month extension on ₹95 Cr of Inter-Corporate Deposits owed to related party Zuari Industries Ltd. Separately, the company disclosed a disputed ₹296.46 Cr (₹29,645.99 lakh) water/sewerage demand from Goa authorities; no incremental provision was taken this quarter, and the Bombay High Court (Goa bench) has since appointed an arbitrator to settle the matter. The filing carries no management press release or MD&A commentary beyond the standard notes, so there is no company framing of the quarter to reconcile against the numbers.