Deepak Nitrite Q1 Results: 36.1% fall in total net profit to Rs 149.9 crore

Deepak Nitrite, a manufacturer of chemicals, reported a 36.1% fall in its consolidated net profit for the June quarter, at Rs 149.9 crore. According to the regulatory filing, the company's net profit for the same period in the prior year was Rs 234.62 crore.

Operating results indicated a 41.1% decline in EBITDA to Rs 209.7 crore in the first quarter of the current fiscal year from Rs 356 crore in Q1FY23.

In the reporting quarter, the EBITDA margin reached 11.9%, down from 17.3% in the corresponding quarter of the prior fiscal year.

At one of its manufacturing locations in Nandesari, Gujarat, the company experienced an accidental fire on June 2, 2022. A total of Rs 47.20 crore in damages were incurred due to the destruction of goods, property, and inventory. According to the filing, the company received partial reimbursement from insurance providers for the claims made against the loss of goods and assets totaling Rs 27.09 crore, which has been adjusted from the claims. According to the company, out of the total of Rs 27.09 crore, Rs 11.23 crore was received in March 2023, while the remaining Rs 15.86 crore was received in the June quarter.

Source: Media Reports