DEEPAKFERT
Small CapDeepak Fertilizers and Petrochemicals Corporation Limited
Industrials
Deepak Fertilizers and Petrochemicals Corporation Limited is an Indian industrial company engaged in fertilizers and petrochemicals. It operates through subsidiaries like Deepak Mining Solutions and Mahadhan AgriTech, indicating diversification into mining and agri-tech sectors.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Weak fundamentals, management trust is acceptable, price trend is neutral, and recent execution is weak.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/5 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 31 Mar 2026
Bad · 0/100PAT -50% YoY · margin compression · Rev +13% YoY · +6% QoQ
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹3,011 Cr | +12.9% | +6.4% |
| EBITDA | ₹354 Cr | -26.3% | +0.3% |
| Operating margin | 12.0% | -600 bps | +0 bps |
| PAT | ₹139 Cr | -50.0% | -1.4% |
| PAT margin | 4.6% | -580 bps | -36 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Where growth can come from, and what can break the case
FY26 standalone net profit declined significantly by 34.8% YoY to Rs 26,924 Lakhs, despite a marginal 0.7% YoY revenue growth to Rs 1,96,367 Lakhs. Q4 FY26 net profit also saw a substantial YoY drop, indicating broad-based profit pressure.
The significant decline in net profit and EPS for both the quarter and full year, coupled with a massive increase in borrowings to fund capital work in progress, suggests operational and financial stress. Margin compression and lower other income contributed to the profit drop.
Deepak Mining Solutions
Mr. Sailesh C. Mehta appointed Chairman & MD of Deepak Mining Solutions Limited, a WOS, effective June 1, 2026, signaling focus on this segment.
Mahadhan AgriTech
Mr. Sailesh C. Mehta continues as Non-Executive Chairman of Mahadhan AgriTech Limited, a WOS, maintaining strategic oversight.
Substantial Capex Underway
Capital work in progress (CWIP) increased over 5x to Rs 1,11,199 Lakhs as of March 31, 2026, from Rs 20,673 Lakhs, indicating significant ongoing project investments.
Margin Compression
Total expenses increased by 8.1% YoY in FY26, outpacing the 0.7% YoY revenue growth, leading to reduced operating leverage and margin pressure.
Decline in Other Income
Other income for FY26 decreased by 27.3% YoY to Rs 18,453 Lakhs from Rs 25,377 Lakhs in FY25, significantly impacting overall profitability.
Increased Debt for Capex
Total borrowings (current + non-current) more than doubled to Rs 80,326 Lakhs as of March 31, 2026, from Rs 38,959 Lakhs, likely funding the large CWIP.
Execution Risk of Large Capex
The substantial increase in CWIP implies significant ongoing projects, which inherently carry risks related to timely execution, cost overruns, and successful commissioning.
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
Full-year results provide an overall performance view, while Q4 results offer recent operational momentum. YoY comparison is crucial for assessing annual performance and seasonal impacts, while QoQ shows sequential trends.
Revenue from operations
FY26 revenue from operations was Rs 1,96,367 Lakhs (0.7% YoY growth). Q4 FY26 revenue was Rs 47,388 Lakhs (5.6% YoY growth).
Net Profit After Tax
FY26 net profit was Rs 26,924 Lakhs (34.8% YoY decline). Q4 FY26 net profit was Rs 12,157 Lakhs (30.4% YoY decline).
Capital Work in Progress (CWIP)
CWIP surged to Rs 1,11,199 Lakhs as of March 31, 2026, from Rs 20,673 Lakhs a year prior.
Trade Receivables
Trade receivables decreased to Rs 13,052 Lakhs as of March 31, 2026, from Rs 26,423 Lakhs a year prior.
Dividend Recommendation
The Board recommended a dividend of Rs 10/- per equity share of face value of Rs.10/- each for the financial year ended March 31, 2026.
Strategic Subsidiary Leadership
Mr. Sailesh C. Mehta, Chairman and MD of the company, was appointed Chairman & MD of Deepak Mining Solutions Limited, a WOS, effective June 1, 2026.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| CWIP to Operational Assets Conversion | Capital work in progress is Rs 1,11,199 Lakhs as of March 31, 2026. | Timely commissioning and ramp-up of projects under CWIP to generate revenue and improve profitability. |
| Borrowing Levels and Cost | Total borrowings increased to Rs 80,326 Lakhs as of March 31, 2026. | Management's plan to manage increased debt, interest rate trends, and impact on future finance costs. |
| Profitability Trend | FY26 net profit declined by 34.8% YoY. | Reversal of the declining profit trend, driven by better operational efficiency and higher other income. |
| Subsidiary Performance | Leadership changes in Deepak Mining Solutions and Mahadhan AgriTech. | Performance and contribution of these subsidiaries to overall company results, especially Deepak Mining Solutions under new leadership. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Show extracted source claims
The Nitric Acid project in Dahej, with capacities of WNA 300 KTPA and C’NA 150 KTPA, is expected to be commissioned.
"Expected Commissioning: H2FY26"
The Technical Ammonium Nitrate (TAN) project in Gopalpur, with a capacity of 376 KTPA, is expected to be commissioned.
"Expected Commissioning: H2FY26"
Demand for Technical Ammonium Nitrate (TAN) is expected to receive robust support as mining and infrastructure activities pick up post-monsoon, driven by increased demand for Power (Coal), Cement, and Steel.
"The mining and infrastructure is expected to pick up post monsoon"
Demand and margins for Propylene-based IPA are expected to be stable and improve following the implementation of the Anti-Dumping Duty (ADD) on Chinese suppliers.
"IPA demand and margins are expected to be stable and improve following the implementation of the ADD"
Trend score and candlestick chart
56NeutralSMA20 +20.9% / mo · near 52W high
Technical chart
DEEPAKFERTdaily · 6M+23.5%Technical trend read
Mixed signalsSignals are conflicting — long-term trend unclear. RSI 73. Wait for confirmation.
- SMA20 rising (~9.9% over last month) — short-term momentum positive.
- RSI(14) at 73 — overbought zone; risk of mean reversion.
- MACD below signal but histogram contracting — bearish momentum easing.
- Within 3% of 52-week high — testing resistance.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Valuation, score drivers, trust methodology, financials, and peers
Use these sections after reviewing the decision summary, latest result, thesis, management accountability, and technical timing above.
Fundamental score breakdown
WATCHLISTWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Piotroski is strong at 8/9.
- Fair-value margin of safety is positive at 42.2%.
- Balance sheet contributes 7/15 to the score.
Main drags
- Quality is weaker at 2/20; verify the latest quarterly trend.
- Cash flow is weaker at 4/10; verify the latest quarterly trend.
- Valuation is weaker at 13/30; verify the latest quarterly trend.
Cyclical valuation: normalized earnings, not just trailing PE
Cyclical companies can look cheapest near peak profits, so IndiaPulse flags value-trap risk separately.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Mixed Trust: Claim history is still being built. It ranks around the 38th percentile of the scored universe and 34th percentile within Industrials. Main check: results consistency is weak at 39/100.
Healthy Trust Lite: Promoter pledge is zero. Key concern: 2 latest quarters had PAT decline worse than 25% YoY.
Usable, but needs evidence. Treat guidance with a margin of safety.
overall median 67 · Industrials: 34th pctile, median 68 · Small: 43rd pctile, median 65
152 documents indexed, but claim history is not strong enough yet.
5 claims extracted · No contradicted claim yet
How to read this Trust Score
Mixed Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter pledge is zero.
- ▸5 years of positive FCF.
- ▸4/4 latest quarters had positive YoY revenue growth.
Trust risks
- ▸2 latest quarters had PAT decline worse than 25% YoY.
- ▸1/4 latest quarters had positive YoY PAT growth.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Intrinsic value
Fundamentals
Valuation
- P/E
- 26.00
- P/B
- 2.80
- EV/EBITDA
- 11.78
- Market Cap
- 19158.00Cr
Profitability
- ROE
- 11.30%
- ROCE
- 11.60%
- ROA
- 4.48%
- Dividend Y
- 0.66%
Growth (CAGR)
- Revenue 5Y
- 15.00%
- EPS 5Y
- 13.00%
- Revenue 3Y
- 1.00%
- EPS 3Y
- -15.00%
Balance Sheet
- Debt/Equity
- 0.83
- Interest Coverage
- 4.77×
- Altman Z
- 2.95
- Book Value
- 542.00
Cash Flow
- FCF Yield
- —
- FCF Positive Y
- 5/5
- OCF
- 206.00 Cr
- EPS TTM
- 58.40
Shareholding
- Promoter Hold
- 45.63%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 72%
Financial History
Updated 9/6/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable peers in Industrials — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.