RCF's net profit doubles to ₹429.81 cr, board declares ₹1.34 final dividend
Q4 profit jumps 160% to ₹188.63 cr on higher subsidies and gas pooling. Full-year revenue crosses ₹5,580 cr.
What's new
- Q4 net profit up 160% YoY to ₹188.63 cr on ₹5,580 cr revenue.
- Full-year net profit doubled to ₹429.81 cr from ₹241.63 cr.
- Board recommended final dividend of ₹1.34 per share.
Why it matters
The doubling of profit signals RCF is a direct beneficiary of the government's fertilizer subsidy regime and gas pooling mechanism. The dividend hike tells you management has confidence in cash flows. This is a clean beat against last year's numbers, and puts RCF on a stronger footing going into FY27.
What we're watching
- Sustainability of subsidy tailwinds into FY27.
- Any update on gas pooling adjustments in upcoming quarters.
- Capital allocation: debt reduction vs. dividend growth.
The full read
Rashtriya Chemicals and Fertilizers delivered a standout year. Full-year net profit doubled to ₹429.81 crore, powered by a 160% surge in Q4 net income to ₹188.63 crore. Revenue for the quarter hit ₹5,580.57 crore, up from ₹3,729.67 crore, as higher fertilizer subsidies, improved price realisation, and favourable gas pooling adjustments all aligned. The board matched the performance with a final dividend of ₹1.34 per share. For a state-run fertiliser maker, this is as close to a clean sweep as it gets. The open question is how much of the subsidy and gas-pooling benefit is repeatable, but the near-term picture is clearly strong.