Navin Fluorine International (532504) Q2 24/25 earnings summary

Executive summary

• Interim dividend of INR 5 per share (250% of face value) declared for FY 2024-25, reflecting confidence in financial stability and future prospects.

• Q2 FY25 sales reached INR 519 crore, up 10% year-on-year, with operating EBITDA of INR 107 crore, up 9% year-on-year.

• H1 FY25 sales were INR 1,042 crore, up 8% year-on-year, but operating EBITDA declined 2% year-on-year to INR 208 crore.

• Profit after tax for Q2 FY25 was INR 58.8 crore, down from INR 60.6 crore in Q2 FY24; H1 FY25 PAT was INR 110 crore, down 10% year-on-year.

• 50,000 stock options granted to the Managing Director under the ESOP 2017 scheme.

Financial highlights

• Q2 FY25 consolidated revenue was INR 529.72 crore, up from INR 494.90 crore in Q2 FY24; H1 FY25 revenue at INR 1,063.66 crore, up from INR 994.35 crore year-on-year.

• Q2 FY25 operating EBITDA margin at 20.7%, down 14 bps year-on-year but up 154 bps sequentially.

• Q2 FY25 profit after tax margin was 11.3%.

• Standalone revenue for Q2 FY25 was INR 398.28 crore, up from INR 341.22 crore in Q2 FY24.

• Basic EPS (consolidated) for Q2 FY25 was INR 11.86, compared to INR 12.22 in Q2 FY24.

Outlook and guidance

• Strong order visibility for Specialty Chemicals and CDMO segments into H2 FY25 and FY26, supported by firm purchase orders.

• Specialty Chemicals expected to return to year-over-year growth in H2 FY25.

• CDMO segment anticipates a strong Q4 FY25 and further growth in FY26.

• Constructive outlook on offtake for expanded R32 capacities in HPP segment.