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Check Before You Invest : The Fertilisers And Chemicals Travancore Ltd

BSE: 590024 NSE: FACT ISIN: INE188A01015
  |   Sector:  Chemicals & Fertilizers   |   Industry:  Fertilizers

Snapshot

Q.1 Which industry/sub-sector does The Fertilisers And Chemicals Travancore Ltd belong to?
The Fertilisers And Chemicals Travancore Ltd belongs to the Chemicals & Fertilizers sector, operating specifically within the Fertilizers segment.
Q.2 Is The Fertilisers And Chemicals Travancore Ltd a good quality company?
The Fertilisers And Chemicals Travancore Ltd is a good quality company, based on a consistently good 10 year financial track record.
Q.3 Is The Fertilisers And Chemicals Travancore Ltd undervalued or overvalued?
The Fertilisers And Chemicals Travancore Ltd appears Overvalued, as its key valuation ratios are above with their past averages.
Q.4 Is The Fertilisers And Chemicals Travancore Ltd a good buy now?
The Fertilisers And Chemicals Travancore Ltd is a good buy now, based on strong price trend analysis suggesting prices may rise. However, you need to check its quality and valuation before making a decision

Performance Analysis

Q.1 Revenue growth of The Fertilisers And Chemicals Travancore Ltd?
The Fertilisers And Chemicals Travancore Ltd revenue growth is -19.8% for FY-2025 , which is below its 5 year CAGR of 7.9% , indicating slower growth.
Q.2 Gross Profit margin of The Fertilisers And Chemicals Travancore Ltd?
The Fertilisers And Chemicals Travancore Ltd Gross profit margin which is the profit after deduction of direct costs, is 1.6% for FY-2025 , which is below its 5 year median of 10.4% , indicating decreasing margins.
Q.3 Operating Profit Margin of The Fertilisers And Chemicals Travancore Ltd?
The Fertilisers And Chemicals Travancore Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 2.46% for FY-2025 , which is below its 5 year median of 12.6% indicating decreasing margins.
Q.4 Net Profit Margin of The Fertilisers And Chemicals Travancore Ltd?
The Fertilisers And Chemicals Travancore Ltd Net Profit Margin is 1.02% for FY-2025 , is below with its 5 year median of 7.83%, indicating decreasing margins.
Current Level Historic Median
Gross Profit Margin 1.6 10.4
Operating Profit Margin 2.46 12.6
Net Profit Margin 1.02 7.83
Q.5 Return on Asset of The Fertilisers And Chemicals Travancore Ltd?
The Fertilisers And Chemicals Travancore Ltd Return on Asset is 0.71%, which is below its 5 year historical median of 8.55%, indicating deteriorated asset utilization efficiency.
Q.6 Return on Equity (ROE) of The Fertilisers And Chemicals Travancore Ltd?
The Fertilisers And Chemicals Travancore Ltd Return on equity is 3.02% for FY-2025 , which is below its historical median of 9.75%, indicating the business is making worse use of its shareholders capital.
Q.7 Return on capital employed (ROCE) of The Fertilisers And Chemicals Travancore Ltd?
The Fertilisers And Chemicals Travancore Ltd Return on capital employed is 11.3% for FY-2025 , which is above its estimated weighted average cost of capital(WACC) 11.25%, indicating value creation.
Q.8 Cash conversion cycle of The Fertilisers And Chemicals Travancore Ltd?
The Fertilisers And Chemicals Travancore Ltd Cash conversion cycle is 67 days, above its historical median of 46 days, indicating deteriorated working capital management. However, you need to compare this with its peers in the industry.
Current Level Historic Median
Asset Turnover 0.7 1.09
ROE 3.02 9.75
ROCE 11.3 32.91
Cash Conversion Cycle 67 days 46 days
Q.9 Debt to Equity ratio of The Fertilisers And Chemicals Travancore Ltd?
The Fertilisers And Chemicals Travancore Ltd Debt-to-Equity ratio is 0.94 , which is above with the industry average of 0 , indicating higher debt levels in the industry.
Q.10 Debt to cash flow from operations of The Fertilisers And Chemicals Travancore Ltd?
The Fertilisers And Chemicals Travancore Ltd Debt to cash flow from operations is 9.16 , which is at a unhealthy level.

Ownership & governance

Q.1 Promoter shareholding and pledge status of The Fertilisers And Chemicals Travancore Ltd?
Promoters hold 90.00% of the The Fertilisers And Chemicals Travancore Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

Q.1 Revenue growth of The Fertilisers And Chemicals Travancore Ltd vs industry peers?
The Fertilisers And Chemicals Travancore Ltd revenue CAGR is 7.90% , compared to the industry median CAGR of 3.95% , indicating faster growth and gaining its market share.
Profit Metrics
Current Level Industry Median
Revenue 4,050.9 2,212.4
Gross Profit 64.8 187.4
Operating Profit 95 269.5
Net Profit 41 173
Operating Efficiency
Current Level Industry Median
Asset Turnover 0.7 0.55
ROE 3.02 4.88
ROCE 11.3 16.46
Cash Conversion Cycle (days) 66.79 14

Valuation & price assessment

Q.1 Stock return of The Fertilisers And Chemicals Travancore Ltd over the last decade?
Over the last 9 year(s), the stock has delivered a CAGR of 44.1% based on the current price.
Q.2 What return has the stock given over the last decade?
9Y 5Y 3Y 1Y
Share Price 44.1% 52.3% 39.3% 18.7%
Q.3 Valuation ratios of The Fertilisers And Chemicals Travancore Ltd vs historical?
The current P/E is higher that its historical median.
Q.4 How do the current valuation ratios measure up against the historic numbers and the current industry numbers?
Valuation Ratios Current Historic Median Industry Median
Price to Earnings 2023.14 3.07 21.04
Price to Book 43.27 0.00 1.44
Price to Sales 10.69 1.08 0.61
EV to EBITDA 189.03 11.88 7.51

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