Krishana Phoschem Ltd (NSE: KRISHANA) Q4 2026 Earnings Call dated Apr. 09, 2026
Corporate Participants:
Pukhraj Kanther — Group Financial Advisor
Praveen Ostwal — Krishana Phoschem Limited
Analysts:
Aditya Agarwal — Analyst
Dhruv Mukesh Bajaj — Analyst
Nitin Kaushik — Analyst
Nirav Asher — Analyst
Hrushikesh Rajesh Shah — Analyst
Shoaib Rasheed — Analyst
Dev Gulwani — Analyst
Rishi Mehta — Analyst
Manadi Chaturvedi — Analyst
Aditya — Analyst
Bala Chander — Analyst
Anuj Haria — Analyst
Presentation:
Operator
Good afternoon, ladies and gentlemen. A very warm welcome to the Q4 and FY26 Earnings Conference Call of Krishana Phoschem Limited. From the senior management we have with us today Mr. Praveen Ostwal, Promoter and Managing Director; Mr. Pukhraj Kanther, Group Financial Advisor. [Operator Instructions]
I now hand the conference over to Mr. Pukhraj Kanther. Thank you, and over to you, sir.
Pukhraj Kanther — Group Financial Advisor
Thank you, madam, and good evening to everyone, and welcome to Earning Call of Krishana Phoschem Limited. Before we begin the earning call, I would like to mention that some of the statements made during today’s call might be forward-looking in nature and hence it may involve risks and uncertainties, including those related to future financial and operating performance. Please bear with us if there is a call drop during the course of conference call. We would ensure the call is reconnected the soonest.
I would like to hand over the conference to Mr. Praveen Ostwal, Managing Director of the company. Over to Praveen.
Praveen Ostwal — Krishana Phoschem Limited
Good afternoon, everyone. Thank you for joining us for Krishana Phoschem Limited Q4 and full year FY26 earnings call. We are pleased to report a year of exceptional performance. Our results reflected disciplined execution, a successful scale-up of our core operations, and significant momentum across our strategic growth initiatives. As we review the year ended March 31st, 2026, we look forward to discuss how these milestones strengthen our foundation for the future.
I will begin with the dynamic industry snapshot, dive into our stellar financials and operational performance, key strategic developments, wrap with our closing remarks. Then we will open the floor for Q&A session.
On Rabi season, the quarter ended March ’26 witnessed stable demand dynamics during the Rabi season. This was reflected in strong industry performance with P&K production reaching 15.76 lakh metric ton during the peak period, marking one of the highest monthly output levels. March saw natural seasonal moderation in demand as key crops such as wheat and mustard approach maturity, consistent with typical fertilizer application cycles.
The industry concluded Q4 FY26 with comfortable inventory levels of 177 lakh metric ton, indicating balanced supply-demand conditions and healthy channel inventory levels.
Global cost environment. While domestic demand remains stable, the global input cost environment tightened towards the later part of the quarter. During January and early February, input prices remain relatively stable. However, from mid-February onwards, global market witnessed firming trends driven by supply-side constraints, tightness in gas link production, higher logistics and freight costs. As a result, ammonia prices moved up sequentially during the quarter.
Sulphur prices also firmed up towards March. This created a timing mismatch where domestic demand was slowed down in March while input costs were increasing, leading to higher cost pressure in the closing. Given the industry reliance on imports for 90% of key intermediates, these global movements had a direct impact on cost structures.
Policy Framework. The NBS framework continues to be a key stabilizing factor for the sector. The recently announced NBS support is expected to help offset input cost pressures to lower burden on farmers.
Market Evolution. Amid these dynamics, the industry continues to undergo a structural shift in product consumption patterns. DAP prices and availability have led to gradual shift towards more cost-effective and balanced nutrient solutions, including NPK complexes and SSP. This trend reflects both affordability, availability considerations, and increasing awareness around balanced fertilization. As a result, integrated players with diversified product portfolio are structurally better positioned to navigate input volatility while capturing evolving demand patterns.
Outlook. As we look ahead, the industry enters the new fiscal year with a mix of supportive demand drivers and evolving cost dynamics. On one hand, a stable agricultural environment support by favorable monsoon outlook provides a constructive demand outlook. On the other, input cost volatility and global supply uncertainties remain key monitorable. In this context, the combination of the recently announced NBS support, structural shift towards balanced fertilization, and continuous focus on integration and efficiency will play a defining role in shaping industry performance going forward.
Financial Performance, Q4 FY26. Coming to the financial performance for the quarter, the company delivered a record performance. Revenue from operations stood at INR756 crore, up 59.8% year on year, primarily driven by higher sales volume supported by strong Rabi demand along with better relation across product segments.
EBITDA came in at INR90 crore, registering 59.1% year on year growth supported by operating leverage from higher volumes and stable cost management despite input price volatility.
PAT reached INR83 crore, up then 54.9% year on year, driven by scale benefits and deferred tax benefits.
EPS stood INR13.4 compared to INR5.3, reflecting 152.8% increase, in line with significant improvement in profitability.
Financial Performance – Financial Year ’26. For the year ended, FY26 marks a benchmark year with strong growth across all key financial metrics. Revenue from operations stood at INR2,418 crore, up 78% year on year, driven by significant volume growth and strong demand across fertilizer segment.
EBITDA increased to INR298 crore, up 62% year on year, supported by improved operating performance and a favorable product mix.
PAT stood at INR180 crore, up 109% year on year, supported by financial efficiencies including deferred tax benefits.
EPS came in at INR29.1 compared to INR14, reflecting a 108% year on year growth, aligned with the overall profitability expansion.
Operational Highlights. Our operational performance reflects strong execution and effective utilization of capacities. For the quarter, achieved fertilizer production 94,103 metric ton, driven by peak Rabi season demand and improved operational throughput. Maintained healthy utilization across NPK, DAP, and SSP plants, with certain units operating above 100% capacity, reflecting strong demand and efficient plant operations.
For the year, achieved a total production of 3,97,263 metric ton supported by high demand across markets.
Record high utilization levels in NPK, DAP, and SSP plants, operating above rated capacity, highlighting strong market acceptance and efficient asset utilization.
Coming to capacity expansion and strategic development. During the year, we successfully completed a significant capacity expansion. NPK/DAP capacity enhanced by 50% to 4.95,000 metric ton per annum, and existing SSP capacity at 1,20,000 metric ton per annum, taking total phosphatic fertilizer capacity to 6.15,000 metric tons per annum. Backward integration strengthens with sulphuric acid capacity of 99,000 metric ton per annum. This expansion has been funded through a prudent mix of internal accrual, and term loans, reflecting disciplined capital allocation.
On the part of Green commitment. As part of long-term sustainability strategy, KPL has entered into 10-year green ammonia sale agreement under India’s National Green Hydrogen Mission for 70,000 metric ton per annum. This initiative enhances supply security, supports decarbonization, and improves long-term cost visibility.
We are also pleased to highlight that our credit rating has been upgraded Crisil to A+ Stable, reflecting improved financial strength and business fundamentals.
With enhanced capacities, now operational, we expect the benefits of this expansion to meaningfully reflect in our performance from FY27 onwards, supported by improved scale, operating leverage, and better efficiency levels. Combined with our continuous focus on integration and sustainability initiatives, we are well-positioned for the next phase of growth. We remain committed to deliver consistent performance and creating long-term value for our stakeholders. Going forward, we will continue to keep you updated on key developments.
Thank you for the continued support. We now open the floor for the question and answer session.
Questions and Answers:
Operator
Thank you very much. We will now begin the question and answer session. [Operator Instructions] We have the first question from the line of Aditya Agarwal from Motilal Oswal Financial Services Limited. Please go ahead.
Aditya Agarwal
Hi, sir. Congratulations on a set of numbers, and thanks for this opportunity. Just wanted to understand how are — what are our plans going forward for the next couple and chill years, and how are you projecting our number for the next financial years?
Pukhraj Kanther
Look, we — as our MD has told, our new expansion has already started production and we hope in the next three, four months, it will stabilize. So we hope this current year we will be able to show a growth of more than 40% in all parameters.
Aditya Agarwal
Understood. Sir, also there was some news yesterday that the government.
Operator
Sorry to interrupt in between. Aditya, your voice is not audible.
Aditya Agarwal
Hi, Am I audible now?
Pukhraj Kanther
Yes, now.
Aditya Agarwal
Yeah. So there was some news yesterday that the government has also given some relief on some nutrient-based fertilizers. So how will that affect us? Is it beneficial for us?
Pukhraj Kanther
Obviously, that as the price — input prices have gone up substantially, and all fertilizer manufacturers were expecting that the government will come out with some support. Though that support has not compensated completely, the input price will increase. But yes, it will offset to a great extent, and that balance will increase by MRP. So I think this next quarter, this position will be reflected in a better performance.
Aditya Agarwal
So you mean to say that you will pass on the additional price hike to the customers and we won’t have any bearing or loss due to this. Right? Is my analysis correct?
Pukhraj Kanther
Obviously, obviously. Look, the price rise had been phenomenal in the last quarter, and it is not possible to absorb. Yes, of course, we will pass on. We will absorb to some extent, and as a result, our profitability is expected to come down slightly during the current year FY27, but another part will have to be borne by the consumer.
Aditya Agarwal
Understood, Understood, understood. And sir, what would — I know we have — we are adding another plant in today. In addition to that do we have any other capex plans or any other capacity expansion plans?
Pukhraj Kanther
No, so far. So far we have not planned anything. Whatever we had, it has been implemented.
Aditya Agarwal
Okay, okay, okay, okay. Understood. And one more thing, sir, sir, I was — just wanted to understand about the receivable days as to — because I saw that our receivable days have stretched around 100 days. So, will we needing any other working capital financing, or how are we looking to — are we looking to reduce this going forward, or this is a sustained number of receivable that we will have.
Pukhraj Kanther
Look, obviously, what happened — in the last earnings call also I explained that the demand for different variant of NPK is rising in India. We have been producing one variant 202013 [Phonetic], and even the demand of this product, we have not been able to meet adequately. As a result, our plants are operating purely on this one product.
Now, to meet the market demand, and just that our consumers should think that we are capable of providing all variants, we imported other variants and that we supplied and that has happened during the last quarter. As a result, on the balance sheet side, on the day March end closing, that the receivable levels are going up. But otherwise — but for subsidy, our receivable levels are normally in the range of — for 50 to 55 days.
Aditya Agarwal
Understood, understood, Understood. Sure, sir, I think that’s it for my side. I’ll happily join back in the queue. But thank you so much, sir, for answering the questions, and congratulations again on an excellent set of numbers. I would also — we would also like to meet you guys sometime soon. So, we’ll just get in touch with your team.
Pukhraj Kanther
Most welcome.
Aditya Agarwal
Thank you, sir.
Operator
Thank you. We will take the next question from the line of Dhruv Mukesh Bajaj from GrowthSphere Ventures. Please go ahead.
Dhruv Mukesh Bajaj
Yeah, thank you so much for giving me this opportunity, and congratulations, sir, on an amazing quarter and amazing annual year. So, sir, given the disruption that you have seen mainly on the supply front of import, so is it fair to say that April has been pretty slow, or the demand front as well, given the increase in the prices as you mentioned. And since our new capex has also come live from the start of April, so how do we see the near future going ahead in terms of the demand side?
Pukhraj Kanther
Look, 140 crore population of India needs to be paid.
Dhruv Mukesh Bajaj
So, absolutely.
Pukhraj Kanther
Whether you compromise on any subject or not but on food and consumer items, you cannot compromise. Farmers have to — have produced the agriculture output, and and they need fertilizer. And as far as I see the domestic product manufacturers will not face any pressure as far as demand is concerned. In any case, for the sake of just for hypothecation, that in case something happens and demand goes down, you should know that phosphatic fertilizer almost 40% we import.
So, as far as logistics manufacturers are concerned, though I’m sure including import, the demand is not going to go down. But still for the sake of understanding, if it goes down, we are not going to affect it.
Dhruv Mukesh Bajaj
Definitely. Sir, I was coming more from the angle that as we mentioned earlier in our previous conference that we are price makers because we make complex fertilizers. When we are not too much dependent on subsidy and naturally we’re able to maintain our margins versus our peers. So I was coming from that angle like given the recent deception. So you have already mentioned that we might have to take some sort of margin hit. Is it possible to quantify on how much margin we are looking at? Because there is a mix of distribution as well as our own manufacturer products. Hence it is a bit difficult for the analyst to decipher, like for instance, for a year on year comparison of margins on EBITDA level of decreased from 15% to 39%. But that might also be because of higher distribution-led revenue. So is it possible to quantify that for the current quarter and from going forward as well, so we can understand like are we facing.
Pukhraj Kanther
No, no. Right now, it is not. It is not working out because still we are working on to how to procure the material and at a reasonable price. And that reasonable price increase will be passed on to the customers, because subsidy has already been announced. So we don’t think — so that we will get a hit. But we are expecting some downturn in the first quarter. It may be in the first quarter, but after these downturn happens in the first quarter, we will be able to pass on all the price hikes to the consumers.
Praveen Ostwal
Looking to the volatility in the market price up and down. Government policy, government decision on giving some [Technical Issues] required, our decision to pass on through increase in MRP, everything it is in dynamic position, and we will keep on taking decisions based on our sustainability. And I’m sure no government would like that we will turn into losses. Yes, there can be pressure on the margin, but we will continue to earn profit.
Dhruv Mukesh Bajaj
Got it. And sir, there was a recent announcement of the [Indecipherable] point wherein our — all the ratings was upgraded. But there was a negative outlook given the fact that import prices are increasing. We have low stock of ammonia and we also import rock faster which we ultimately do beneficial process. So in that front, how will we place in terms of input? And — because we also announced that recently we have tied up for some green ammonia. So will we be able to tap that thing in — from the domestic market in the coming year itself. So if you can give some sort of picture on that and that will be very helpful because we are one of the more backward integrated players. So Your commentary does help a lot.
Pukhraj Kanther
Look, first of all, let me tell you this negative watch is for the industry not for the company.
Dhruv Mukesh Bajaj
Okay.
Pukhraj Kanther
On that fertilizer as such, because of this Iran-Israel war, possibly off date, the availability of ammonia may be underneath. So for industry as a whole, they have put under negative watch. As far as Crisil is concerned, we will continue to be on the A+, so there is no issue. Another thing, green ammonia will be available only after three years. For the time being, we will have to rely only on green ammonia.
And in the last two days you might have read in the press the gas supply to the urea manufacturers have been restored to the 100%. As a result, we expect that ammonia supply will ease out in next seven days.
Praveen Ostwal
[Speech Overlap] Any issues with the raw material and further signing of this ammonia — green ammonia will strengthen the company as a whole.
Dhruv Mukesh Bajaj
Got it, sir. And, sir, based on our recent performance for the past three, four years, ours have been a relatively much higher margin business versus our peers. [Speech Overlap]
Pukhraj Kanther
[Speech Overlap] If you compare three, four years, then you know, we started production of NPK, DAP only from 2023. Earlier we were producing SSP, which is a low margin product. So by adding to this, and then last year we added even SSP urea also. So we keep on innovating, keep on meeting the demand of the market, and giving the innovative product. So that way we are trying to offset the margin and offset the volatility in the market, because of the price in few segment of the input material.
Dhruv Mukesh Bajaj
No, no sir, definitely I am not trying to get — whether you are able to pass on the pricing or not. My question is a bit different. So since I am trying to understand the entire landscape of fertilizer players. So I wanted to understand like why — so since we do our own beneficiation and produce our own sulphuric acid and that’s why we are more backward integrated versus some of our other complex fertilizer peers. So I’m trying to understand that given the outperformance on the numbers part, almost of the same is being led by a supply side cost dominance, because they are backward integrated versus our ability to maybe cross sell our products better than our peers because we have a good distribution at us. So what [Technical Issues] to our success
Pukhraj Kanther
Backward integration has benefited. It has — that is why our EBITDA margin is better than our peer group, we have to say.
Dhruv Mukesh Bajaj
Right? So why can’t other players also do this beneficiation?
Pukhraj Kanther
Beneficial, as far as PRP is concerned, there are only three players in India. One is [Indecipherable] Udaipur which is government of Rajasthan, basically. Another is [Indecipherable] our group company, and KPL [Phonetic]. So Only three players. Otherwise there is no low prospect reserves available anywhere so far at present. So I don’t think this is available to anybody else.
Dhruv Mukesh Bajaj
Got it. Got it. And, sir, just one last question from my end was that what are we expecting in terms of the new nutrient-based subsidy? Because from what I understand we complex fertilizer players don’t get a lot of impact from all these subsidies. So is that a fair assessment or does that also play a major role in our performance as well?
Pukhraj Kanther
It is not fair. The subsidy constitute a substantial part. Almost in NPK, 40% revenue comes from subsidy. So it will be unfair for the government initiatives. They are doing very well. Yes, of course, during this first half year, the compensation as announced yesterday, does not mean adequately the price rise. That we will offset by increasing MRP.
Dhruv Mukesh Bajaj
Got it. Got it. Sir, congratulations on an amazing session. Thank you so much for your time, sir..
Operator
Thank you. We will take the next question from the line of Nitin Kaushik from Afin Capital Private Limited. Please go ahead.
Nitin Kaushik
Hello. Good evening, sir. First of all, congratulations for such a good result. My first question is regarding inventory and receivables. They have increased significantly. So should we see this as strong future demand or slower sales in future?
Pukhraj Kanther
I think inventory part is concerned, there has not been any rise. Yes, receivable part, there has been rise, which I explained to an earlier — our participants that in the last quarter of this year, we have imported other variant of NPK, and as a result, that receivable is outstanding, and that will be realized during the current quarter.
Nitin Kaushik
Okay. So, sir, this question was arise because in FY25, if we seen cash flow, it was around an increase of INR664 lakhs. But right now, it’s more than INR16,000 lakhs. So the increase is huge if you see that.
Pukhraj Kanther
[Speech Overlap] Look, raw material increased from INR60 crore to INR93 crore. And then finished goods — Finished goods. As I told you this right which is visible is because of supplies to these cooperative federation where we supply. But we are not permitted to issue invoice till some inspection or some — which is called YR. So technically this 161, it is the stock lying with this mass fed authority.
Praveen Ostwal
Government authority.
Pukhraj Kanther
Otherwise you can see it is almost in the same same range.
Nitin Kaushik
Okay, sir. Got it, sir. The next question is recently Skymet forecasted that this year will have a weaker monsoon compared to previous year, around 94% long period average, which were — which was around 106% long period average previous year. So would it have an impact on fertilizer sales in coming months?
Pukhraj Kanther
The monsoon forecast is around 95% of the normal monsoon. So this is not a major variation. And the major reservoirs or the rivers or what you call it wells, bore wells. So the water levels are high in comparison to the older times in the country. And we are not expecting any stress on the agriculture part, and in continuations, the fertilizer is also — will be in demand for the agriculture crops.
Nitin Kaushik
Okay, sir. Sir, so could you please shed some light on purchase of trading stock because it increased more than 6 times this year.
Pukhraj Kanther
[Speech Overlap] I have already explained you that we have been manufacturing only one type of variant of NPK vary the demand for other variants. And just that the consumer should feel that we are capable of supplying all type of variant, we resorted to import of these other variant supply to our farmers. That is why this import has increased, which is nothing but a trade goods purchased.
Nitin Kaushik
Okay, sir, that’s it from my side. And sir, again, thank you for your attention.
Pukhraj Kanther
Thank you. Next question.
Operator
We’ll take our next question from the line of Nirav Asher from Latin Manharlal Securities. Please go ahead.
Nirav Asher
Yeah, good evening. Am I audible?
Operator
Yes.
Pukhraj Kanther
Yes.
Nirav Asher
Good evening, sir. And congratulations on a great set of numbers. I think it’s kind of a picture perfect situation as far as the capacity addition is concerned, as far as the performance is concerned. I would like to get some color on what are your expectations as far as the revenue growth for the current year is concerned. What kind of — after having put in this kind of capacity utilization which is so impressive at 6,15,000 metric tons, what kind of capacity utilization are you targeting for the current year?
What is your take on margins, and what kind of headwinds do you see, especially with respect to factors like the — that increase in the cost and the working capital issues.
Praveen Ostwal
We remain committed to the best utilization of our manufacturing facilities. And you have been seeing our capability of manufacturing the fertilizer products in last two, three years. So our team of manufacturing is working on to give the best and efficient results at the manufacturing units. And this year also, we are committed to perform as performed in our last two, three years.
And the new expansion which has already started this month, in first quarter or second quarter, we think that there can be a initial teething [Phonetic] problems. But then this capacity will be fully utilized in coming quarters. So one point is this.
The second point is again on — coming on to the profits and the raw material cost, we have been explaining you that the raw material cost have rised. That is for sure because it is coming from that war area, and the prices have to be compensated either from the government or from the MRP to the farmers. The government has already declared their NBS policy. Already they have come out with the numbers, and we have also started working on to increase the MRPs.
And we are sure that after the increase of MRPs of the various products, the market remains sustainable and the product is already in demand. And as told to you, there could be a slight pressure of margins in the first quarter. But then we don’t see any margins in the coming quarters at the later part of the year because then we will be passing on the cost to the farmers as well.
So this is — in all summary, best utilization of the asset and trying to maintain the margins after this quarter.
Nirav Asher
Thank you, sir. But I think, in terms of some quantification, I mean, as we’ve seen in this particular year that the revenue growth has been impressive at around 80%, close to 80% revenue growth. So I mean, I’m sure you’re working with some kind of figures for FY27. So could you give me some color on what you see?
Praveen Ostwal
See, [Speech Overlap] 1,65,000 tons is the capacity increase 40%, 50%. Also if if you think it off, 80,000 tons, 80,000 tons into [Speech Overlap] 80,000 tons into around INR60,000 per ton. So you can expect a top-line increase of around INR500 crores. So this year, we had around INR2400 odd crores. So you expect an increase of around INR500 crores more, INR2900 crores to INR3000 crores. But this is all numbers based on the capacity expanded, and the utilization of that asset.
Nirav Asher
Thank you, sir. So can ICFC assume something like a 35% to 40% hike in the revenue?
Pukhraj Kanther
Yes. Including the import and manufacturing, we are expecting — we expect 40% growth would not be a big issue.
Nirav Asher
And sir, what kind of margin trajectory are you working with, considering the fact that [Speech Overlap]
Pukhraj Kanther
We have repeatedly been told margin will be under pressure. Margin will be under pressure. And probably, the kind of margin which we have shown during this FY26, may not be possible. There will be slight reduction, because some part of increased raw materials will be absorbed by us. Some part will be absorbed by government of India, and something will pass on to the farmers. But of course, you rest assured, the company will continue to earn profit and a reasonable good profit.
Nirav Asher
Sir, can we expect margins to go into single digits? Operating profit margin?
Pukhraj Kanther
See again, we want to tell you that — see, we will try our best. We will try our best to maintain the profitability. We understand the investors concern that the profits should not go down. But in the present scenario, where the raw material prices have gone up, and the prices to the farmers or MRP to the farmers will increase gradually, so we cannot quantify right now. We are trying hard that the profits should not go down.
And we are much more concerned. And we still remain committed to the investors that we will work hard to sustain the profits. But definitely, first quarter may be difficult. But in coming quarters and the year along, we will be able to sustain the profitability.
Nirav Asher
Thank you so much for your input, sir. And I wish you all the best for the coming quarters. Thank you, sir.
Praveen Ostwal
Thank you. Thank you very much. And don’t worry, we are working on it.
Nirav Asher
Thank you so much, sir.
Dhruv Mukesh Bajaj
Thank you. We will take the next question from the line of Hrushikesh Rajesh Shah from Alchemy Capital. Please go ahead.
Hrushikesh Rajesh Shah
Yeah. Hi. Am I audible?
Pukhraj Kanther
Yes.
Hrushikesh Rajesh Shah
Yeah. Congratulations on good set of numbers. My questions were mainly regarding the volumes and EBITDA. So what is the trading volume that we did in FY26?
Pukhraj Kanther
Look, trading has almost — our manufacturing has been about INR1,900 crore. And the rest has been trading.
Praveen Ostwal
Around INR500 crores.
Pukhraj Kanther
Yes.
Hrushikesh Rajesh Shah
Yeah. Okay.
Pukhraj Kanther
INR550 crores.
Hrushikesh Rajesh Shah
No, I’m asking the volumes.
Pukhraj Kanther
Metric tons?
Hrushikesh Rajesh Shah
Trading volumes.
Praveen Ostwal
Yeah, yeah. Just hold on.
Pukhraj Kanther
It is — the trading was 93,000 metric ton.
Hrushikesh Rajesh Shah
93,000. And that is included [Speech Overlap]
Pukhraj Kanther
[Speech Overlap] And 383 is manufactured.
Hrushikesh Rajesh Shah
Okay, understood. And sir, what would be our EBITDA per ton on the manufacturing side? Manufactured.
Pukhraj Kanther
It is in the range of INR5,500.
Hrushikesh Rajesh Shah
5,500. And sir, what was it in March ’25 financial year?
Pukhraj Kanther
6,000.
Hrushikesh Rajesh Shah
6,000. Okay. So actually it has decreased from FY25 to ’26. Right?
Pukhraj Kanther
Yes. slight. Slight decrease. Our overall EBITDA margin which was 13.54% has come down to 12.34%.
Hrushikesh Rajesh Shah
Right. Sir, so what I wanted to ask is, see our phosphoric acid capacity utilization has increased. Our BRP crushing capacity has increased. So what is the reason for lower margins? When are [Speech Overlap]
Pukhraj Kanther
Sorry. Sorry for the interruption, but as you all are already asking what has been the trading. Trading, the EBITDA margin is 36%. And our trading turnover has gone up from INR116 crore — INR560 crore. So obviously, our coverage margin will be less than last year.
Hrushikesh Rajesh Shah
No, no. I am asking on the manufactured side.
Pukhraj Kanther
Manufacturing line. Manufacturing, we have maintained.
Hrushikesh Rajesh Shah
No, sir. So my question is, are EBITDA margins on manufacturing side — EBITDA per turn on manufacturing side, what would be that in FY26.
Praveen Ostwal
FY26.
Pukhraj Kanther
Only manufacturing will be done.
Praveen Ostwal
Only manufacturing will be done.
Hrushikesh Rajesh Shah
Only manufactured.
Pukhraj Kanther
We have maintained the last year EBITDA margin..
Hrushikesh Rajesh Shah
So that is around 5200 or something.
Pukhraj Kanther
Yes, yes, we have maintained. Whatever has been there for ’25, it has been maintained in ’25, ’26.
Hrushikesh Rajesh Shah
Okay. Okay. Understood. Thanks. That’s all from my side. Thanks a lot.
Operator
Thank you. We will take the next question from the line of Shoaib Rasheed from Swing LIST [Phonetic]. Please go ahead.
Shoaib Rasheed
Hello. Thank you for the opportunity, and congratulations for a great set of numbers. So I wanted to ask that are we having any problem with the procurement of sulphur as we you know, procure it domestically? I understand there is a price hike but are we having also problems in procuring it? Because we procure it from domestically from Indian refiners and smelters. So is there a problem in procurement as well?
Praveen Ostwal
No, no, no, no, no. No problems. Only the price increase is there which is, we are already working on to get the best price. And ultimately the cost has to be passed on to the consumers.
Shoaib Rasheed
[Speech Overlap] And sir, are we expecting any increase in subsidy from government as the cost is going continuously up?
Praveen Ostwal
See, already the NBS has been announced yesterday and the notification has been received today. Subsidies have been increased, and the reference has to be passed on to the consumers. For this six months, the subsidy has been announced.
Shoaib Rasheed
That’s nice, sir. And sir, how much — must be the MRP increase of NPK and DAP and SSP after February?
Pukhraj Kanther
After February, we have been working last 10, 15, 20 days. And since the subsidy announcement has already come out, we are expecting around 25% to 30% of price increase in incoming days.
Shoaib Rasheed
Okay. Okay. Thank you. Thank you. That’s all from my side, and best of luck.
Praveen Ostwal
In present scenario. And what happens if the prices go down or something happens, because already the prices are at the top and the war stops. Let’s see how the things move in terms of costing.
Shoaib Rasheed
Okay, sir, thank you.
Pukhraj Kanther
Thank you.
Dhruv Mukesh Bajaj
Thank you. We will take the next question from the line of Dev Gulwani from Care PMS. Please go ahead.
Dev Gulwani
Thank you for the opportunity. Company imports low grade phosphate rocks and convert it into high grade rock. So is it more beneficial than importing high grade phosphate rocks in terms of price?
Praveen Ostwal
No. See, we are not importing low grade. We are just getting the low grade rock from the local mining institute which is a government of Madhya Pradesh company, MP State Mining Corporation Limited. And that is the rock we are beneficiary. And definitely that beneficiation is always better, and it gives a definitive margin in the numbers.
And the capacity is at 200,000 tonnes. And we are utilizing that capacity in the range of 50% to 75%. And other rock, which we are importing, whether it is medium-grade or high-grade, that is being used for the manufacturing of fertilizers directly.
Dev Gulwani
And what is the conversion rate? So approx how much low grade rock phosphate is required to produce a single metric ton of phosphoric acid?
Praveen Ostwal
What quality [Speech Overlap]
Pukhraj Kanther
Low grade, we are getting low grade from 14% to 20%. So what type of low grade you are getting, accordingly the output will be there.
Dev Gulwani
Still any approx number?
Pukhraj Kanther
You can see last year as against the capacity of 200,000 tons, we produced more than 70,000 metric ton of high grade of phosphate..
Praveen Ostwal
See, if you give an input of suppose 15%, and you get an output of 30%, so around 2-2.5 tons of phosphate required.
Pukhraj Kanther
It keeps on changing.
Praveen Ostwal
It keeps on changing. It is not like it is — it cannot be a some rule formula that one ton, one ton or — it keeps on — it keeps depending on the input what you give.
Dev Gulwani
Okay, understood. Thank you.
Dhruv Mukesh Bajaj
Thank you. We will take the next question from the line of Rishi Mehta, an Individual Investor. Please go ahead.
Rishi Mehta
Hello. First of all, congratulations to the whole team for the achievements. My question is, as you mentioned, plant are operating on 100% capacity. So how much life you assume? And is there any risk of asset stress?
Praveen Ostwal
No, no, there cannot be a risk of stress. Because if you maintain a plant at a very good level, the plants can operate at — plant can operate around — for another 30, 40, 50 years, 60 years. And as we have already told you that since we are maintaining the efficiencies at 100%, so we maintain our assets in the best way to give the good results in terms of quality and quantity. And we expect our team to maintain those plants for another 50 years.
Rishi Mehta
Okay. And when you will start receiving the green ammonia?
Praveen Ostwal
After three years.
Rishi Mehta
Okay, thank you.
Praveen Ostwal
See the contract says the green ammonia plant has to be started in the third year. And we would be eager to get that green ammonia very fast. Because then what happens is that it reduces our dependency on any other supplier. And green ammonia will ultimately be a great achievement for the country as a whole also. And we being the biggest of the consumers in the country, in the world, it will be a pride for us and pride for the investors as well.
Rishi Mehta
Okay. Okay, thank you, sir.
Praveen Ostwal
Thank you.
Operator
[Operator Instructions] We will take the next question from the line of Manadi Chaturvedi, an Individual Investor. Please go ahead.
Manadi Chaturvedi
Good morning, sir. Hello. Am I audible?
Pukhraj Kanther
Yes. Yes,
Manadi Chaturvedi
Sir, so my question is input costs were rising in quarter four, then how did you manage to deliver such strong EBITDA margins despite this?
Pukhraj Kanther
See, the input cost has rised in the last part of the Q4. And we maintained the reasonable inventories full year around. So EBITDA margins were never under pressure for this Q4. And let’s see what happens in the coming quarters.
Manadi Chaturvedi
Okay, sir. Thank you.
Operator
Thank you. We will take the next question from the line of Aditya, an Individual Investor. Please go ahead. Aditya, please proceed with your question.
Aditya
Yeah. Am I audible?
Operator
Yes, you are.
Aditya
Yeah. So yes. Regarding your working capital side, if I understanding correct is the trading margin is like 2% and 2.5% in between, trading business margin.
Pukhraj Kanther
EBITDA margin is 6% in trading. 5% to 6%.
Aditya
Okay. And sir, is your interest cost is 8% to 9% in between, right. It’s a short term borrowing.
Pukhraj Kanther
You asked me the rate of interest which we are paying.
Aditya
Yes. Yes, sir.
Pukhraj Kanther
This depends what type of facility we are using. If we are using in foreign currency, SOFR plus some reasonable margin of 30, 40 basis points. If you are using WCBL then some banks are charging [Indecipherable]. It’s about 60,70 basis point above. Some are charging 0 rate. But you can say it is in the range of 6% to 7.5%.
Aditya
Okay. Sir, I am asking because the short-term borrowing completely wiping out our mixed profitability in the trading segment. Right? So we just put that.
Praveen Ostwal
No, we did not get your point.
Pukhraj Kanther
Can you please repeat?
Aditya
I’m asking if the interest cost is more than more than your trading business margin. So it’s a short-term borrowing. It’s completely wiping our profitability on the trading segment. Right?
Pukhraj Kanther
[Speech Overlap] Look, in trading, as I told you EBITDA is 6% can be spend about in interest cost and deficiency is not interested about — it goes to 3%. So leftover is 3%. Yes. Obviously, we are working only on 2.5% to 3% margin — net margin on import. Nothing more than that. But the question is when we are able to provide all type of variant that is more useful, that gives some credibility to this organization that we are able to meet the demand of the market. It is not question of the profit. Import is being done to facilitate our consumer, not to earn profit. For profit, we have our production facility.
Operator
Thank you. We will take the next question from the line of Bala Chander, an Individual Investor. Please go ahead.
Bala Chander
Hello. My question is mainly regarding the EBITDA margin and sulphur prices. And as we talk right now, the sulphur price is around INR90,000 per ton. And sulfuric acid is around INR25,000 per ton. And this is 100% hike compared to the last quarter. And the full impact of this might only be seen in the next quarter. That I understand very much. And I also wish to be optimistic that the sulphur prices will come down. But there are concerns that under the new normal, the crude oil might be as inflated as around $90 for a longer period of time. And I know that we cannot pass on much burden to the customer. And also the government also cannot keep on increasing the subsidy rates. So is the management taking any proactive measures to mitigate the risk?
Pukhraj Kanther
See, management….
Praveen Ostwal
INR90,000 is nowhere the price.
Pukhraj Kanther
First thing is INR90,000 is nowhere the price. This is not correct figure. And another thing is we cannot pass on. This statement itself has many limitations. Yes, of course, we can pass on. But then a balance view has to be taken. How much we would like to absorb, how much government will support, and how much we will pass on. But of course, a part will be passed on to the consumer. No doubt. We have already increased the MRP.
Praveen Ostwal
Fertilizer remains to be an essential part of the life of a farmer. And India still remains to be an agricultural economy. And still, the farmers will keep on farming, and at large fertilizer cost or any other cost has to be passed on to the consumer. No doubt the cost [Speech Overlap]
Pukhraj Kanther
Just to add this point, if we talk of the world scenario, still the prices in India are well within control.
Bala Chander
All right. And can you please quantify the EBITDA margin for the next quarter, because the next is going to see the much impact due to the increased sulphur price.
Pukhraj Kanther
We may have already told you that we are working on it. Already the NBS has been announced. We have already started increasing the MRPs. Definitely EBITDA with our old stocks, and the new stocks which we are buying and the new MRP which we are already giving in the market. let’s see what happens.
Praveen Ostwal
One more thing to add to this. India’s BAP availability and stock positions are very limited. So we expect expect the things in line.
Pukhraj Kanther
As we told you, there will be some pressure, but we will continue to be in positive and have a reasonable profit. Rest assured.
Bala Chander
All right, thank you.
Operator
Thank you. We will take the next question from the line of Anuj Haria from Inter Globe Services. Please go ahead.
Anuj Haria
Yes. Hi, congratulations on a great set of number. I just wanted to know for the coming — for FY27, what will be the balance of manufactured revenue and trading revenue? Like for FY26, it was nearly a 85 — 80 — 80/20 mix. What can we expect for the coming year?
Pukhraj Kanther
Look on the FY27, based on the demand market, we had anticipated that we will be importing around 1,50,000 of metric ton of material which will translate into INR1,000 crore. And based on the capacity utilization on reasonable level, the growth in the manufacturing will be in the range of 25%. So overall, we hope 35% to 40% revenue growth in FY27.
Anuj Haria
Okay. And the other thing is if you can just highlight what are the current sulphur and sulphuric acid prices that you are — that you can price now?
Pukhraj Kanther
The prices are changing. And prices have in the range of around INR55,000 to INR70,000 per ton, depending on the supplier and what time we are buying, and what are the payment terms. It is changing. It has changed a lot in last 30 days. 45 days. And we are expecting changes in another 30 days. It may start going down also.
Anuj Haria
Can we expect a INR60,000 revenue per ton for the — for FY27, and for the SSP fertilizers, can we expect around INR15,000 revenue per ton or there’s a divergence in numbers.
Pukhraj Kanther
INR15,000. We are recording at present.
Praveen Ostwal
Yes. INR15,000 is already there. And INR60,000, they need to say 1500 and 6000 [Phometic]
Pukhraj Kanther
Plus subsidy.
Praveen Ostwal
You mean to say INR1500 crore EBITDA in SSP, and INR6000 [Speech Overlap] [Foreign Speech] You’re talking about EBITDA, or you are talking about [Speech Overlap]
Anuj Haria
No, no, I’m talking about EBITDA. [Speech Overlap] So basically INR6000 of EBITDA for NPK and approximately 16 — INR1500 to INR1600 for SSP or…
Praveen Ostwal
Yes. [Speech Overlap]
Pukhraj Kanther
To date, it would not be the issue. And NPK, yes. INR6000 for — plus minus 3%. 4%, here and there.
Anuj Haria
Okay. Okay. Got it. Thank you. Thank you. That will be all from my end.
Operator
Thank you. We will take the next follow up question from the line of Aditya, an Individual Investor. Please go ahead.
Aditya
Our cash flow, sir, has returned negatively in this year round. So — and INR336 crore in last year as a trade receivable. So can you just break down what percentage of these receivables are pending from the government subsidies versus credit extending to dealers. And are we seeing any subsidy realization cycle stretch beyond the historical 400 days?
Pukhraj Kanther
You’re talking about [Indecipherable] of subsidy and other receivables.
Aditya
Yes. accreditation including [Indecipherable]
Pukhraj Kanther
Okay. Okay. Subsidy. Because we — that import material we supplied substantially during this last quarter. So subsidy receivable is almost INR400 crore. And other receivables are in the range of INR300 crores to INR325 crores.
Aditya
Okay.
Praveen Ostwal
And we expect all these money to flow in in this quarter. So we don’t feel any stress on the cash registration.
Operator
Thank you. We will take the next follow up question from the line of Nitin Kaushik from Afin Capital Private Limited. Please go ahead.
Nitin Kaushik
Thanks, again. Sir, my question is since most of our — expect most of the capacity expansion is done now, so could you please cite on capex going forward if possible as a percentage of revenue. So assuming that we are not doing any capacity addition going on, so what would be the maintenance capex?
Pukhraj Kanther
The benefit capacity addition will appear only during the current year. We started production only from 1st April.
Nitin Kaushik
Yes sir.
Pukhraj Kanther
So, during the current year only, this new capacity will give result.
Praveen Ostwal
You try to understand that 50% of the NPK capacity has been increased, and this whole year, we can expect a 50% of 1,65,000 tons capacity increase, means it is around 80,000 tons and 80,000 into around INR60,000 per ton. We are expecting a top line increase of around INR500 crores. This is what you want to know or you want to know anything else?
Nitin Kaushik
No, sir, that was not my question. My question was regarding that we have done capacity expansion now. So going forward, what would be capital expenditure as a percentage of revenue, assuming that we are not doing any capacity extension going forward
Praveen Ostwal
We keep on planning the business expansions and we keep on updating our investors as well as the regulators. And once we come out with any expansion plans, definitely we will update you. We are working on different, different projects, and we have a very good cash flow. We are expecting good cash flows in this year also.
So as we finalize the project and capex, we will declare it. [Speech Overlap] You have seen the history of our company that we declaring the capex at appropriate times, and with a proper debt equity ratio, we keep on expanding.
Nitin Kaushik
So yes, sir. Also, sir, if you could give FY27 estimates for capex.
Praveen Ostwal
See when we have not declared on or — with the regulators, we cannot come out right now. It is on the part of a statutory obligation to declare with the regulator, and then only we can come up with the exact capex for the year.
Nitin Kaushik
Yes, sir, I understand completely. Again sir, thanks a lot.
Praveen Ostwal
Okay, thank you very much.
Operator
Thank you. Ladies and gentlemen, as there are no further questions from the participants, with that concludes the question and answer session. I would now like to hand the conference back to the management for closing comments.
Pukhraj Kanther
Thank you. Thank you very much once again for joining this earning call. If you have any further questions, please do not hesitate to reach out to our Investor Relations team, and thank you. Have a great day.
Operator
[Operator Closing Remarks]
Praveen Ostwal
Okay. Thank you very much. Bye.
Operator
Thank you, sir.