Indian Potash Ltd

Indian Potash Ltd

Fundamentals

Quick Insights

  • Dominance in Fertiliser Trading Market: India's Muriate of Potash (MOP) trade is dominated by the company, controlling a whopping 69% of all MOP imports in the FY22. Additionally, due to higher domestic demand for urea compared to its production, IPL acts as an import agent on behalf of the Ministry of Fertilizer.
Market Cap₹9,851.74 Cr
PE Ratio5.93
EPS₹580.95
Dividend Yield-
Book Value₹3,958.95 Cr
Debt/Equity0.46
Price/Book-
Price/Sales-
Industry PE-
Sales₹20,946.4 Cr
Profit After Tax₹1,661.4 Cr
Share Capital₹28.6 Cr
Shares Outstanding-
ISININE863S01015
SectorChemicals
Symbol-
About Company

Incorporated in 1955 as the Indian Potash Supply Agency (IPSA) for importing and promoting potash fertilisers across India, the company was rebranded as IPL in 1971.

Latest News
Govt. set to auction India'a potash mining blocks in RajasthanProjects Today - 3/26/2025Read full article
PS Gahlaut's Leadership at Indian Potash Limited: Pioneering Sustainable Agriculture with Eco-Friendly FertilizersHansIndia - 1/5/2025Read full article
Strengths & Weaknesses

Strengths

Dominance in Fertiliser Trading Market: India's Muriate of Potash (MOP) trade is dominated by the company, controlling a whopping 69% of all MOP imports in the FY22. Additionally, due to higher domestic demand for urea compared to its production, IPL acts as an import agent on behalf of the Ministry of Fertilizer.
Resilient Profitability Amid Revenue Dip: While revenue dropped by 37.8% in FY24 and remained flat in FY25 at ₹20,688 Cr, IPL maintained a healthy Operating Profit of ₹1,082 Cr and improved operating margins to 5.2% in FY25 — the highest in 7 years, showing strong cost control and pricing power.
Future Business Diversification: IPL’s diversification continues with expansion into sugar, cattle feed, and dairy. The ₹1,341 Cr acquisition of a sugar/distillery plant in Odisha is already reflecting in the increased fixed assets from ₹1,149 Cr (FY22) to ₹2,149 Cr in FY25.

Weaknesses

Price and Forex Risk: IPL has a significant amount of outstanding debts and letters of credit denominated in US dollars and euros. If the Indian rupee weakens considerably, this could lead to substantial losses due to forex conversion.
Increase in Borrowings: The long-term borrowings have increased from 4,449.69 Cr in FY24 to 5,191.99 Cr in FY25
Annual Reports
Balance SheetFY25FY24FY23FY22FY21FY20FY19
Equity Capital28.628.628.628.628.628.628.6
Reserves11,292.899,487.68,211.26,097.74,478.23,631.83,217.5
Total Equity11,321.59,516.28,239.86,126.34,506.83,660.43,246.1
Borrowings71.8124.9124.647.869.197.5292.5
Other Non-Current Liabilities1,323.61,084.2897.6226.351.866.950.2
Total NC Liabilities1,395.371209.11,022.2274.1120.9164.4342.7
Borrowings5,191.994449.63,839.25,496.62,707.73,575.42,851.5
Other Current Liabilities4,201.02,446.35,963.69,481.23,050.54,181.64,034.5
Total Current Liabilities9,392.996896.09,802.814,977.95,758.37,757.06,886.0
Equity + Liabilities22,109.917,621.419,064.821,378.210,385.911,581.810,474.8
Fixed Assets (incl. WIP)2149.091538.85,791.31,148.71,059.1955.6842.1
Other Non Current Assets8,723.545838.4488.43,037.81,933.11,470.61,492.1
Total NC Assets10,872.637,377.26,279.74,186.52,992.12,426.22,334.2
Trade Receivables4,507.113669.75,454.41,900.23,066.65,408.44,301.9
Cash & Cash Equivalents421.06613.61,400.75,110.21,224.9542.4753.5
Other Current Assets6,309.15,960.85,930.010,181.43,102.33,204.83,085.1
Total Current Assets11,237.2210,244.112,785.117,191.77,393.89,155.68,140.5
Total Assets22,109.917,621.419,064.821,378.210,385.911,581.810,474.8
Profit & LossFY2025FY24FY23FY22FY21FY20FY19
Revenue from Operations20,688.9120,946.433,323.018,503.516,303.914483.415430.1
Growth %-1%-37%80%13%13%-6%0
Operating Expenses19606.5320,546.032,241.4517,726.0415,617.1713,847.1414,895.31
Growth %-5%-36%82%14%13%-7%0
Operating Profit1,082.4400.51,081.6777.5686.7636.2534.8
Op. Profit Margin %5.2%1.9%3.2%4.2%4.2%4.4%3.5%
Other Income + share of net profits from investments 2172.042,257.22,369.61,419.2621.8231.8436.8
Finance Costs499.42383.76695.8118.1151.1253.8283.8
Depreciation68.3760.747.746.451.252.342.5
Profit Before Tax2,686.62,213.22,707.72,032.11,106.2561.84645.3
Tax1,025.28955.3833.3414.5253.6184.8191.0
Tax %38%43%31%20%23%33%30%
Profit After Tax1,661.41,257.81,874.41,617.7852.6377.1454.3
Growth %32.1%-32.9%15.9%89.7%126.1%-17.0%0
PAT %8%6%6%9%5%3%3%
Diluted EPS580.95439.84655.46565.67298.1131.9158.9
Shareholding Pattern
ColorShareholderHolding
Indian Farmers Fertilisers Cooperative Ltd 33.99%
Gujarat State Co-operative Marketing Federation Limited10.45%
Gujarat State Fertilisers and Chemicals Limited7.87%
Andhra Pradesh State Cooperative Marketing Federation Limited6.23%
Madras Fertilisers Limited5.54%
Others 35.92%
Board of Directors
Shri. Pankaj Kumar Bansal, IASChairman
Shri. Kamal Dayani, IASDirector
Shri. Manoj Kumar JainDirector
Thiru. Siva MuthukkumarasamyDirector
Shri. Sony SebastianDirector
Shri. Arvind Kumar KadyanDirector
Shri. Santosh Kumar Dash, OAS (SS)Director
Shri. Manish GuptaDirector
Shri. Rakesh KapurDirector
Shri. Dileep SanghaniDirector
Dr. U. S. AwasthiDirector
Shri. Alok Kumar Singh, IASDirector
Shri. Kumar Amit, IASDirector
Dr. P. S. GahlautManaging Director
Shri. Sudhir BhargavaIndependent Director
Ms. Vandana ChananaIndependent Director
Senior Management
Dr. P. S. GahlautManaging Director
Shri. R. SrinivasanChief Financial Officer
Dr. Girish KumarCompany Secretary

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