Gujarat State Fertilizers & Chemicals Limited (GSFC)
Micro CapChemicals stocks · Micro cap · NSE
Gujarat State Fertilizers & Chemicals Ltd (GSFC) operates in the Fertilizer and Industrial Products segments. The company reported robust performance in FY 25-26, with strategic focus on production optimization, market presence, and export orientation in chemicals, while advancing capex plans.
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.
Investable fundamentals, management trust is acceptable, price trend is neutral, and recent execution is mixed.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 0/0 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 30 Jun 2026
Average · 52/100margin compression · Rev +64% YoY · PAT +14% YoY · +36% QoQ
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹3,583 Cr | +64.1% | +36.1% |
| EBITDA | ₹233 Cr | +20.7% | +180.7% |
| Operating margin | 6.0% | -300 bps | +280 bps |
| PAT | ₹159 Cr | +14.4% | +205.8% |
| PAT margin | 4.4% | -192 bps | +247 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
GSFC reported strong FY26 results: Operating Revenue up 15% YoY to Rs. 10,827 Cr, Operating EBITDA up 24% YoY to Rs. 781 Cr, and PAT up 14% YoY to Rs. 652 Cr. Q4 25-26 saw highest-ever quarterly sales. Fertilizer segment sales volumes grew 49% in Q4 YoY, while Industrial Products achieved highest yearly profitability in 4 years.
GSFC delivered robust FY26 performance with double-digit revenue and profit growth, driven by strong fertilizer volumes and improved industrial product profitability. Strategic capex and export focus are positive, though raw material volatility and Caprolactam spread pressure remain concerns. Management's crisis management and product mix optimization are key.
Fertilizer Volume Growth
Fertilizer segment delivered a robust performance during FY 25-26, with sales volumes rising by 12% from 19.88 LMT to 22.31 LMT.
Industrial Products Profitability
Industrial Products segment delivered its highest yearly profitability in the last 4 years and highest Q4 EBIT in the last 10 quarters.
Melamine Exports
Strategic focus on higher Melamine exports aligned with Government of India trade facilitation initiatives.
Technical Grade Urea & HX Crystal Sales
Improved performance was supported mainly by higher sales of Technical Grade Urea, HX Crystal and traded Ammonia.
Urea Revamping Project
Commissioned during FY 2025-26 at Rs. 364 Cr.
600 MTPD SA-V Project
Commissioned during FY 2025-26 at Rs. 233 Cr.
15MW Solar Power Project at Charanka
Commissioned during FY 2025-26 at Rs. 77 Cr.
C - Train Modification for APS Production at Sikka Unit
Ongoing project for 1200 MTPD, expected commissioning in Q1 FY 26-27.
Government Nutrient-Based Subsidy (NBS)
Announcement of NBS rates for H1 26-27, including a 10% increase in Nitrogen, Phosphorus and Sulphur nutrient support.
Government Trade Facilitation Initiatives
Aligned with Government of India’s ongoing trade facilitation initiatives, including recently executed and under-negotiation FTAs / CEPAs.
Expected Caprolactam-Benzene Spread Improvement
Caprolactam-Benzene spreads are expected to improve during Q1 26-27.
Raw Material Price Pressure
Profitability remained under pressure due to a sharp increase in prices of key raw materials, including Sulphur and Sulphuric Acid, arising from global geopolitical developments.
Caprolactam & Nylon Realization Pressure
Elevated Caprolactam and Nylon-6 prices witnessed in Q4 25-26 are unlikely to sustain, which may exert pressure on realizations.
Subdued Demand for Melamine & Technical Grade Urea
Demand for Melamine and Technical Grade Urea is expected to remain subdued due to lower operating rates in downstream industries amid higher raw material costs.
Weak Domestic HX Crystal Demand
Domestic demand for HX Crystal may continue to remain weak due to disruptions in agrochemical and related downstream sectors arising from the ongoing geopolitical situation.
Geopolitical Volatility
Heightened geopolitical volatility and global supply chain disruptions during the quarter.
Raw Material Price Fluctuations
Sharp fluctuations in key raw material prices impacting profitability across business segments.
Monsoon & El-Nino Conditions
Progress of the south-west monsoon and possible emergence of El-Nino conditions will remain key factors influencing demand outlook.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
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.
The document provides both full-year (FY) and quarterly (Q4) results. FY comparison is crucial for overall business health and annual trends, especially for a seasonal business like fertilizers. QoQ is important for sequential momentum, particularly for the Industrial Products segment's Q4 EBIT and overall Q4 sales records, indicating recent performance strength.
Operating Revenue
Operating Revenue increased by 15% from Rs. 9,429 Cr. in FY 2024-25 to Rs. 10,827 Cr. in FY 2025-26.
Operating EBITDA
Operating EBITDA surged 24% YoY to Rs. 781 Cr.
Fertilizer Sales Volume (FY)
Fertilizer segment sales volumes rising by 12% from 19.88 LMT to 22.31 LMT in FY 25-26.
Fertilizer Sales Volume (Q4)
Fertilizer segment registering 49% growth in sales volumes over Q4 24-25.
Optimizing Sales & Margin Management
The Company will continue to maintain a balanced approach towards optimizing sales opportunities, strategic stock placements and margin management.
Strengthening Export Orientation
The Company continued to strengthen its export orientation in the Chemicals business, with strategic emphasis on higher Melamine exports.
Capex-led Growth Plan
The Company continues to advance its capex plans aligned with its strategic growth roadmap.
Agile Operational Planning
Maintained uninterrupted operations and supply continuity through agile operational planning and dynamic optimization of product mix.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Fertilizer Segment Profitability | Under pressure due to sharp increase in raw material prices (Sulphur, Sulphuric Acid). | Impact of 10% increase in NBS rates and stabilization of global raw material prices on margins. |
| Industrial Products Realizations | Lower Caprolactam realizations (Capro-Benzene spread averaged USD 535/MT in FY26 vs USD 578/MT in FY25). | Improvement in Capro-Benzene spreads and sustained export momentum for Melamine and other chemicals. |
| Capex Project Commissioning | Rs. 675 Cr. projects capitalized in FY26. Sikka APS, PA, and SA projects ongoing. | Timely commissioning of C-Train Modification for APS (Q1 FY27) and PA/SA Project at Sikka (Q2 FY27). |
| Key Raw Material Price Trends | Volatility in global raw material markets (Sulphur, Sulphuric Acid, P2O5, Benzene, Natural Gas, Ammonia). | Stabilization or decline in prices of critical inputs to ease cost pressures and improve profitability. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Trend score and candlestick chart
54NeutralMACD +
Technical chart
GSFCdaily · 1Y · AUTO+3.6%Daily technical trend read
Mixed signalsSignals are conflicting — long-term trend down. RSI 59. Wait for confirmation.
- Price below SMA200 (long-term downtrend) — short-term bounces likely countertrend.
- SMA20 roughly flat — short-term momentum stalled.
- RSI(14) at 59 — rising, no extreme reading.
- MACD above signal, histogram expanding — bullish momentum building.
- 24% off 52W high · 17% above 52W low.
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
U-Score 65 · UNDERVALUED · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 65 · UNDERVALUED · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
UNDERVALUEDWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Piotroski is strong at 7/9.
- Fair-value margin of safety is positive at 70.0%.
- Valuation contributes 30/30 to the score.
Main drags
- Quality is weaker at 0/20; verify the latest quarterly trend.
- Growth is weaker at 12/25; verify the latest quarterly trend.
- Cash flow is weaker at 5/10; 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
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Healthy Trust: Claim history is still being built. It ranks around the 72nd percentile of the scored universe and 53rd percentile within Chemicals. Main check: financial discipline is weak at 40/100.
Healthy Trust Lite: Promoter pledge is zero. Key concern: ROCE is low at 7.2%.
Generally investable credibility. Look for weak sub-scores before increasing position size.
overall median 67 · Chemicals: 53rd pctile, median 73 · Micro: 54th pctile, median 73
65 documents have extracted text, but claim history is not strong enough yet.
0 claims extracted · No contradicted claim yet
How to read this Trust Score
Healthy 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.
- ▸FCF yield is positive at 1.4%.
- ▸7 years of positive FCF.
- ▸Debt/equity is 0.00.
Trust risks
- ▸ROCE is low at 7.2%.
- ▸ROE is low at 5.5%.
- ▸1 of the latest 4 quarters had PAT decline worse than 25% YoY.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 9.37
- P/B
- 0.53
- EV/EBITDA
- 6.28
- Market Cap
- 6490.00Cr
Profitability
- ROE
- 5.51%
- ROCE
- 7.16%
- ROA
- 4.82%
- Dividend Y
- 3.07%
Growth (CAGR)
- Revenue 5Y
- 7.00%
- EPS 5Y
- 10.00%
- Revenue 3Y
- -1.00%
- EPS 3Y
- -19.00%
Balance Sheet
- Debt/Equity
- 0.00
- Interest Coverage
- 48.82×
- Altman Z
- 4.37
- Book Value
- 308.00
Cash Flow
- FCF Yield
- 1.39%
- FCF Positive Y
- 7/5
- OCF
- 136.00 Cr
- EPS TTM
- 17.39
Shareholding
- Promoter Hold
- 37.84%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 32%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
Business-comparable names in Chemicals, ranked by similarity
Peers
Business-comparable names in Chemicals, ranked by similarity
Peers
Business-comparable peers in Chemicals — 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.