FACT’s Q3 net jumps to all-time high on higher fertiliser sales

Our Bureau Updated - February 10, 2021 at 05:07 PM.

Palakkad, Kerala, 08/12/2019: A Farm worker sprinkling fertilizer at a paddy field at Kodumbu near Palakkad on December 08, 2019. In a move to tide over the shortage in paddy seeds, which were aged in bulk during the back-to -back floods in the state, Kerala State Seed Development Authority (KSSDA) officials have initiated steps to procure more seeds from Palakkad. However, as late rain and heavy monsoon during the harvest season immensely brought down the quantity of seeds in Palakkad, the authorities may have to depend on neighbouring states or the National Seed Corporation (NSC). Annually, require around 8,000 tonnes of paddy seeds in the state, but the heavy rain in the region prevented the farmers in Palakkad from drying the seeds. Hence, this year we expect to procure only around 1,200 tonnes. Photo: K. K. Mustafah.

Riding on the comfort of increased fertiliser sales, the State-owned FACT has posted an all-time high quarterly net profit of ₹136.71 crore in Q3. The figure in the corresponding period of the previous fiscal was ₹10.80 crore.

For the nine months period, the net profit was ₹202.22 crore. According to company officials, improvement in business volumes — both in production and trading — coupled with a dip in raw material costs last year have led to the rise in profits.

FACT has achieved all-time high production of Ammonium Sulphate and Factamfos. The production of flagship product Factamfos for the nine months stood at 6,44,924 tonnes (6,20,141 tonnes). Ammonium Sulphate production was 1,76,546 tonnes (58,098 tonnes).

The sale of Factamfos, Ammonium Sulphate, MOP and NPK was higher during the nine months. Factamfos sales was at 6,98,547 tonnes (6,17,992 tonnes), while that of Ammonium Sulphate stood at 1,88,673 tonnes (1,67,323 tonnes).

Expansion activities

FACT has started pan-India operations extending its marketing territories to Bihar, Gujarat, Maharashtra. During the year, it imported five shipments of fertilisers.

The company has achieved a record monthly fertiliser production of 1.12 lakh tonnes in December 2020. Of this, NP production was 66,610 tonnes; fertiliser dispatch 69,776 tonnes, Ammonium Sulphate 25,370 tonnes. The company clocked an all-time high turnover of ₹2,438 crore during April-December 2020.

Published on February 10, 2021 11:37