National Fertilizers Business Operations and History

Close-up of hands holding granular fertilizer in Bahawalpur, Pakistan.
Credit: pexels.com, Close-up of hands holding granular fertilizer in Bahawalpur, Pakistan.

National Fertilizers is a leading player in the Indian fertilizers industry, with a rich history dating back to 1974.

The company was established by the Government of India to cater to the growing demand for fertilizers in the country.

National Fertilizers has a strong presence in the Indian market, with a production capacity of over 4 million tons of fertilizers per annum.

The company's products include a wide range of fertilizers such as urea, ammonia, and DAP, which are essential for agricultural growth.

Financials

National Fertilizers has a sales growth of 9% over the last 10 years, with a compound annual growth rate (CAGR) of 9% over the same period.

Their profit growth has been fluctuating, with a 21% CAGR over the last 10 years, but a -3% CAGR over the last 5 years.

The company has a return on equity (ROE) of 9% over the last 10 years, indicating a stable return on shareholder investment.

Consider reading: 5 Years

Credit: youtube.com, National Fertilizers Ltd Share Price Financials condition Analysis is Good time for BUY? NSE:NFL

Here's a breakdown of the company's financial performance over the last 10 years:

The company's net profit has been affected by a significant decline in the last two years, with a loss of Rs 39.44 crore in the June 30, 2025 quarter.

National Fertilizers' share price has been volatile, moving up by 1.20% from its previous close of Rs 92.99.

Share Price and Returns

National Fertilizers' share price has shown a significant increase of 1.20% from its previous close of Rs 92.99, with the current stock price standing at Rs 94.10.

The company has spent 1.14% of its operating revenues towards interest expenses and 3.08% towards employee cost in the year ending Mar 31, 2025.

Over the past year, the company's share price has dropped by 24.5%.

Here's a breakdown of National Fertilizers' share price returns over various time periods:

The company has also posted a loss of Rs 39.44 cr in Jun 30, 2025 quarter after 3 consecutive quarters of profits.

Operations and Performance

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National Fertilizers operates its facilities at a high level of efficiency, with a production capacity of 3.6 million tonnes per annum. This is a significant contribution to the country's agricultural sector.

The company's production is spread across various products, including urea, ammonia, and DAP, which are essential for crop growth and development. These products are in high demand, and National Fertilizers is well-positioned to meet this demand.

National Fertilizers has a strong distribution network, with its products being supplied to farmers across the country. This ensures that the fertilizers reach the right people at the right time, supporting the country's agricultural growth.

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History

NFL initially operated two plants in Bathinda and Panipat. In 1978, the ownership and operations of the Nangal plant of FCI was transferred to NFL. The company's presence expanded significantly with this transfer.

The Govt. of India entrusted NFL to execute the country's first inland gas based fertilizer project in District Guna of Madhya Pradesh. This project had a capacity of 726,000 tones urea.

Commercial production of the project started from 1 July 1988. The company's Vijaipur plant in Guna district of Madhya Pradesh was built and commissioned around this time, doubling the company's capacity to 1.45 million tones in 1997.

Industrial Operations

Credit: youtube.com, Operations Performance Objectives

NFL has five gas-based urea plants located in various states across India.

The plants at Panipat, Bathinda, and Nangal have been converted from fuel oil feedstock to natural gas.

NFL is also engaged in manufacturing and marketing of other industrial products like ammonia, nitric acid, and ammonium nitrate.

NFL's Vijaipur plants have been revamped for energy saving and capacity enhancement.

NFL's industrial operations also include the production of bio-fertilizers in both solid and liquid forms.

NFL's product portfolio includes Neem-coated urea, which is a type of fertilizer.

NFL has a wide range of industrial products, including sodium nitrite and sodium nitrate.

A unique perspective: Nfl Rhodes Scholar

Performance

When analyzing National Fertilizers' performance, one key aspect to consider is their historical returns.

In the month of October, National Fertilizers has given positive returns in 10 out of 17 years.

Their highest positive return in October was 15.52% in 2019.

On average, they have experienced a 5.59% positive change in October over the years.

October has also seen some significant negative returns, with the maximum drop being -12.98% in 2009.

The average negative change in October is -7.81%.

Despite fluctuations, the overall average change in October is a mere 0.07%.

Sales and Marketing

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National Fertilizers sold 31.62 LMT of urea during 2012-13, including 10.92 LMT of Neem-coated urea.

The company generated significant revenue from industrial products, selling them worth ` 956.3 million during 2012-13.

Bio-Fertilizers, including liquid and solid products, contributed ` 36.5 million to the company's sales in 2012-13.

The turnover of traded Agri products, such as compost, seeds, Bentonite sulphur, and pesticides, was ` 300.8 million.

Recommended read: Buy Urea Fertilizer

Insights and Analysis

National Fertilizers has a significant promoter holding of 74.71% as of the June 2025 quarter, indicating a strong ownership stake in the company. This level of ownership suggests a high degree of control and influence over the company's decisions.

The stock is currently 27.42% away from its 52-week high, indicating that it has some room for growth. This could be an opportunity for investors to consider buying the stock.

Here are some key financial insights to consider:

  • Buy / Sell Signals
  • Price Analysis
  • Pivot Levels & ATR
  • Chart

These financial insights can provide valuable information for investors looking to make informed decisions about National Fertilizers.

Insights

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The promoter holding in a company is a significant indicator of its stability. In the case of the company mentioned earlier, the promoter holding remains unchanged at 74.71% in the Jun 2025 qtr.

Looking at the stock's performance, we can see that it's 27.42% away from its 52-week high.

The company's financials show a decline in profit after tax (PAT) in the Jun 30, 2025 quarter, resulting in a loss of Rs 39.44 cr.

Let's take a closer look at the company's expenses. In the year ending Mar 31, 2025, the company spent 1.14% of its operating revenues towards interest expenses and 3.08% towards employee cost.

Here's a breakdown of the company's share price update:

The company's share price has moved up by 1.20% from its previous close.

News & Analysis

As you're looking for insights and analysis, let's dive into the latest news and trends in the fertilizer sector.

BEML and 56 other stocks are going ex-dividend on Monday, so if you own any of these, be sure to check your portfolio.

Credit: youtube.com, Unlocking Business Insights: Stay Ahead with the Latest News and Analysis

The fertilizer sector has been underperforming lately, with stocks down due to the overall market decline.

Some fertilizer sector companies are worth watching, with 10 companies in particular standing out for their potential for wealth creation.

These companies offer a great opportunity for investors to diversify their portfolios and potentially reap long-term gains.

Here are 10 fertilizer sector companies worth keeping an eye on:

Ownership and Shareholding

National Fertilizers has a stable promoter base, with a consistent shareholding of 74.71% as of June 2025. This is a remarkable consistency, with the same percentage holding true since September 2024.

The company's shareholding pattern has been relatively stable, with no significant changes in the promoter base since 2017. However, there have been some fluctuations in the FIIs and DIIs shareholding.

As of June 2025, FIIs hold 0.49% of the company's shares, a decrease from 0.60% in March 2025. DIIs, on the other hand, hold 6.21% of the shares, a decrease from 6.83% in March 2025.

Credit: youtube.com, National Fertilizers Latest Share Price !! Company Fundamental !! Shareholding Pattern !! Profit !!

Here's a breakdown of the company's shareholding pattern as of June 2025:

The number of shareholders has also increased over the years, with a total of 3,10,847 shareholders as of June 2025. This is a significant increase from the 43,642 shareholders in March 2017.

Here's an interesting read: Cover Corp Shareholders

Corporate Actions

National Fertilizers has a number of corporate actions scheduled.

The company's annual general meeting (AGM) is set for September 29, 2025, which was announced on August 18, 2025.

The company has held several board meetings to discuss and approve quarterly results and final dividends.

One of these board meetings was held on August 14, 2025, where the quarterly results and final dividend were discussed and approved.

A final dividend of 15% was declared, with a dividend per share of 1.56, and an ex-dividend date of September 22, 2025.

Another board meeting was held on May 28, 2025, where audited results were discussed and approved.

Credit: youtube.com, National Fertilizers' management on business outlook

A final dividend of 12% was declared, with a dividend per share of 1.26, and an ex-dividend date of September 22, 2023.

Here are the details of the final dividends declared by National Fertilizers:

Forecast and Comparison

National Fertilizers is part of the BSE SmallCap and BSE CPSE indices, indicating its relatively smaller market capitalization compared to other companies. Its inclusion in these indices suggests it's a significant player in the fertilizers segment.

Fertilizers, as a category, are also part of the BSE Commodities and Nifty Total Market indices, highlighting their importance in the broader market landscape. National Fertilizers' performance can be compared to other companies listed under these indices.

Forecast

Forecasting is crucial in making informed decisions, and it's essential to understand the different types of forecasts available.

Short-term forecasts are typically accurate for up to 30 days, but they may not account for seasonal fluctuations.

The article section on "Trends" highlights the importance of considering long-term trends when making forecasts.

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Credit: youtube.com, Spotlight on the Difference between Budgeting and Forecasting

Long-term forecasts, on the other hand, can be less accurate but provide valuable insights into larger patterns and cycles.

For example, a 3-month forecast may be more accurate than a 6-month forecast due to the increased uncertainty of long-term predictions.

The article section on "Data" emphasizes the importance of using reliable data sources when making forecasts.

Reliable data sources can help improve the accuracy of forecasts, especially when combined with statistical models and machine learning algorithms.

By understanding the limitations and strengths of different types of forecasts, you can make more informed decisions and stay ahead of the curve.

Peer Comparison

When comparing National Fertilizers with its peers, it's essential to look at their stock performance over time. National Fertilizers' stock performance over the past 5 years has been impressive, with a return of 181.79%.

National Fertilizers' return on equity (ROE) is 6.77%, which is lower than its peers, such as Rashtriya Chemicals and Mangalore Chem. Rashtriya Chemicals' ROE is 5.10%, while Mangalore Chem's is 13.49%.

Credit: youtube.com, Peer Analysis

In terms of revenue growth, National Fertilizers has a compound annual growth rate (CAGR) of 7.69% over the past 3 years. This is lower than Mangalore Chem's CAGR of 4.83% over the same period.

Here's a comparison of the key ratios of National Fertilizers and its peers:

National Fertilizers' return on capital employed (ROCE) is 7.49%, which is lower than its peers, such as Rashtriya Chemicals and Mangalore Chem.

Frequently Asked Questions

What is the highest salary in National Fertilizers Limited?

The highest salary in National Fertilizers Limited is ₹29,84,475 per year, offered to a DGM - Operations role. This is an estimated figure based on available data.

Timothy Gutkowski-Stoltenberg

Senior Writer

Timothy Gutkowski-Stoltenberg is a seasoned writer with a passion for crafting engaging content. With a keen eye for detail and a knack for storytelling, he has established himself as a versatile and reliable voice in the industry. His writing portfolio showcases a breadth of expertise, with a particular focus on the freight market trends.

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