3y sales CAGR ~96%ROCE 27% · ROE 38%Promoter 66.2% → 72.9%FY26 CFO −₹191 Cr vs PAT +₹180 CrBorrowings ₹376 → ₹733 Cr28.8× vs peer median 14.7×
Market Cap
₹5,656 Cr
CMP
₹183
ROCE
27.2%
ROE
38.2%
P/E (ttm)
28.8
Sales FY26
₹2,418 Cr
PAT FY26
₹180 Cr
CFO FY26
−₹191 Cr
D/E FY26
1.31
Promoter
72.9%
1 · Business Model & Position
screener.in about + key points · company disclosures
Incorporated 2004, part of the Ostwal Group. An integrated phosphatic-fertiliser
manufacturer: DAP/NPK complexes, SSP, sulphuric acid, phosphoric acid, plus beneficiation of
low-grade rock phosphate. Sells crop-nutrition products under the 'Annadata' (SSP) and
'Bharat' (NPK/DAP) brands.
Position
Backward integration across the phosphatic chain (rock beneficiation → acids → finished fertiliser) is the stated moat: raw-material security and margin stability in a commodity category.
Listed group sibling Madhya Bharat Agro Products operates in the same chain — the group, not the single entity, is the economic unit to think in.
What it is not
Not a brand franchise: subsidised, price-controlled category where the NBS subsidy regime and rock/ammonia import costs set the margin corridor.
OPM has run 12–23% over a decade — cyclicality is structural, not incidental.
2 · P&L Quality — 5-Year Trend
screener.in annual P&L
FY
Sales ₹Cr
YoY
OP ₹Cr
OPM
PAT ₹Cr
Other inc. ₹Cr
FY22
318
+69.1%
56
17%
29
1
FY23
323
+1.6%
52
16%
27
3
FY24
923
+185.8%
128
14%
40
2
FY25
1,355
+46.8%
184
14%
87
10
FY26
2,418
+78.4%
298
12%
180
16
TTM
2,555
—
322
13%
197
19
Headline vs organic. 3-year sales CAGR ~96% (₹323 → ₹2,418 Cr) and PAT CAGR ~88% (₹27 → ₹180 Cr) — but the FY24 step (+186%, with equity capital doubling ₹31 → ₹62 Cr and total assets ₹582 → ₹845 Cr) has the signature of a group consolidation/restructuring, not organic demand. The organic run-rate is the FY25–FY26 leg (+47%, +78%) on a rebased entity — fast, but the 96% headline overstates it. Margin cost of scale: OPM 16% → 12% through the ramp. Other income is 6.6% of FY26 PBT — the profit is operating, not treasury (SETL test passes).
3 · Balance Sheet
screener.in · FY24–FY26
Item ₹Cr
FY24
FY25
FY26
Equity + Reserves
301
384
561
Borrowings
436
376
733
D/E
1.45
0.98
1.31
Fixed Assets
322
295
450
CWIP
43
78
1
Other assets (incl. working capital)
479
664
1,189
Total Assets
845
1,036
1,641
⚠️Borrowings re-levered — ₹376 → ₹733 Cr in FY26 after a deleveraging FY25; interest cost ₹39 Cr FY26, ₹50 Cr TTM and rising (Q1 FY27 alone ₹21 Cr).
⚠️Working capital is where the balance sheet went — other assets +₹525 Cr in one year against +₹155 Cr of fixed assets. Debtor days 108, inventory 65, payables 47 ⇒ cash-conversion cycle 126 days.
⚠️Screener flag: "company might be capitalizing the interest cost" — CWIP swings (₹78 Cr → ₹1 Cr) alongside the fixed-asset jump warrant a read of the FY26 annual report notes.
✅Capex bets visible — FY23 built the acid/beneficiation block (fixed assets ₹85 → ₹358 Cr); FY26 added ₹155 Cr more. The integration story is on the balance sheet, not just in the deck.
4 · Cash Flow — CFO vs PAT
screener.in cash-flow statement
FY
CFO ₹Cr
PAT ₹Cr
FCF ₹Cr
Financing ₹Cr
FY22
−5
29
−91
+89
FY23
−33
27
−226
+223
FY24
−83
40
−121
+121
FY25
+154
87
+116
−110
FY26
−191
180
−305
+316
The SPECTRUM test fails. Five-year cumulative CFO is −₹158 Cr against +₹363 Cr of reported PAT. Only FY25 converted profit to cash; FY26 reversed it entirely — CFO −₹191 Cr while PAT printed +₹180 Cr, the gap absorbed by the 126-day cycle, and plugged by ₹316 Cr of financing inflows (borrowings ₹376 → ₹733 Cr). This is a growth machine funded by debt and stretched working capital. The P&L is real but the cash hasn't arrived; in a subsidy-receivable business that can be timing — or it can be the model.
5 · Returns
screener.in ratios
Metric
Value
Context
ROCE
27.2%
Highest in the fetched peer set (Coromandel 22.1%, Chambal 25.5%, Paradeep 17.1%)
ROE
38.2%
3-yr avg 28.0% (screener) — but the 1.31 D/E is doing part of the lifting
5-yr PAT CAGR
55.9%
screener computed
Dividend payout
2%
everything is being reinvested (and then some — see §4)
Accrual returns are excellent and directionally improving. The caveat is §4: an ROE earned on profits that haven't converted to cash, on a levered equity base, is a softer number than it looks.
6 · Shareholding
screener.in quarterly pattern
Quarter
Promoter %
FII %
DII %
Public %
Shareholders
Sep-23
66.22
0.00
0.00
33.78
8,236
Mar-24
71.01
0.00
0.00
28.99
8,937
Mar-25
71.86
0.04
0.00
28.09
9,594
Mar-26
72.94
0.26
0.00
26.80
12,975
Jun-26
72.93
0.37
0.03
26.67
19,162
Promoter stake RISING — 66.2% → 72.9% over eleven quarters, through the entire re-rating. The E2E test passes in the right direction: insiders added into strength, not sold into it. Pledge: — (not reported by the source this run). Institutions are essentially absent (FII 0.37%, DII 0.03%) — the register is promoter + retail (shareholder count up 48% in the June quarter alone), which cuts both ways: undiscovered, and un-underwritten.
7 · Valuation
screener.in peer table (fertiliser sector)
Company
CMP ₹
P/E
Mkt Cap ₹Cr
ROCE %
Krishana Phoschem
183
28.8
5,656
27.2
Coromandel International
2,074
32.8
61,175
22.1
Chambal Fertilisers
439
9.1
17,585
25.5
Paradeep Phosphates
147
14.1
15,295
17.1
RCF
127
17.8
7,029
10.2
M B Agro (group co.)
160
45.3
7,019
19.3
GSFC
159
9.4
6,329
7.2
Sector median (21 cos.)
—
14.7
—
15.3
28.8× TTM is ~2× the sector median (14.7×) and 10.1× book. Only Coromandel — with a fortress balance sheet and net cash — trades richer among the large caps; the other premium name is the Ostwal group sibling. The price assumes the growth is durable and the cash conversion eventually follows. The stock has already travelled: 52-week range ₹86 → ₹194, and CMP sits 6% off the high. A guidance-anchored model was attempted (see Guidance section) but returned LOW confidence, so no scenario targets are printed.
8 · Quarterly Cadence — Last 8 Quarters
screener.in quarterly results
Quarter
Sales ₹Cr
YoY
OP ₹Cr
OPM
Tax %
PAT ₹Cr
Sep-24
301
+13.6%
40
13%
32
17
Dec-24
304
+32.2%
44
15%
29
21
Mar-25
473
+79.8%
56
12%
30
33
Jun-25
396
+40.9%
66
17%
40
31
Sep-25
608
+102.0%
73
12%
45
33
Dec-25
659
+116.8%
70
11%
41
33
Mar-26
755
+59.6%
89
12%
−15
83
Jun-26
532
+34.6%
89
17%
22
47
Seasonality: H2 (rabi + pre-kharif dispatch) runs heavier than H1. Anomalies (DEEPINDS test): the tax line is noisy — three straight quarters at 40–45%, then Mar-26 at −15%, which turned an ordinary ₹72 Cr PBT quarter into an ₹83 Cr PAT print. Strip the tax credit and Q4's earnings power was in line, not a leap. The good news is Jun-26: revenue ₹532 Cr +34.6% yoy with OPM back at 17% — the first quarter that shows scale AND the old margin at the same time. One quarter is not a trend, but it is exactly the data point the bull case needs.
Guided (FY26): "Revenue target ₹1,500+ crore for FY26; EBITDA margin 14–15%" — status maintained, management graded consistent.
Delivered (FY26): revenue ₹2,418 Cr — a ~61% beat on the ₹1,500 Cr floor — but OPM 12%, below the 14–15% guided band.
The pattern: this management under-promises on volume and over-promises on margin. Growth guidance is believable; margin guidance has not been met at scale until the single Jun-26 quarter (17%).
Guidance-to-EPS bridge
Bridge (operating identity: guided margin × own realised revenue CAGR): margin 14.8% → 14.5% guided on +84.6% realised revenue CAGR ⇒ PAT +80.8%, dilution +21.7%, EPS +59.1% — graded medium.
Note the dilution term: equity capital doubled in FY24; per-share growth runs well behind PAT growth.
Scenario block: dropped. The scenario model returned confidence LOW — "growth capped from +53.5% — inputs extreme, not a forecast." Per pipeline rules a low grade means the model could not form a view, so no bear/base/bull targets are printed in this dossier.
⚡ 9 · CONSOLIDATED VIEW THESIS
Research Reference Only — Not an Investment Recommendation · Primaegis Research Pipeline
💡 WHAT YOU'D HAVE TO BELIEVE
To own KRISHANA you have to believe three things at once: that the post-consolidation growth (FY25–26: +47%, +78%) is the real run-rate and not a subsidy-cycle spike; that the Jun-26 quarter (₹532 Cr, OPM 17%) marks the return of integrated margins at scale rather than one good raw-material quarter; and — the hard one — that the 126-day cash cycle unwinds so FY27 CFO turns positive without another ₹350 Cr of borrowing. Management has earned the growth benefit of the doubt (guided ₹1,500+ Cr, delivered ₹2,418 Cr; graded consistent) but not yet the margin one (guided 14–15%, delivered 12%). The promoter buying from 66.2% to 72.9% through the entire re-rating is the strongest single fact on the bull side. What breaks the thesis: a second consecutive negative-CFO year, borrowings rising again in FY27, OPM slipping back below ~13% for two quarters, or any promoter pledge appearing. At 28.8× against a 14.7× sector median, the price already assumes the believer's case.
✅ PROS
3y sales CAGR ~96% / PAT ~88% (organic leg still +47–78%/yr); 5y PAT CAGR 55.9%
ROCE 27.2% / ROE 38.2% — best returns in the fetched peer set
Promoter rising 66.2% → 72.9%; zero pledge reported
Backward-integrated model; Jun-26 shows scale + 17% OPM together
Management growth guidance beaten by ~61%; graded consistent
⚠️ CONS
FY26 CFO −₹191 Cr vs PAT +₹180 Cr; 5y cumulative CFO negative — debt-funded growth
Borrowings ₹376 → ₹733 Cr in one year; D/E 1.31; interest run-rate rising
Debtor days 108, CCC 126 — subsidy-receivable working-capital model
OPM 16% → 12% through the scale-up; margin guidance missed
28.8× vs 14.7× peer median, 10.1× book; FY24 base likely consolidation-inflated
Noisy tax line (−15% Mar-26 flattered PAT); possible interest capitalisation flag
🎯 RESEARCH WATCHLIST VERDICT
WATCH — CASH-FLOW PROOF REQUIRED
🔑 Catalyst: H1 FY27 CFO sign + a second ≥15% OPM quarter + borrowings flat-to-down
⏱ Horizon: re-assess at H1 FY27 results
Research tracking priority only — not a buy/sell/hold recommendation per SEBI (RA) Regulations 2014
📌 MILESTONES TO WATCH
FY27 CFO — the single decisive variable; positive = thesis upgrade
Debtor days — 108 must trend down as subsidy receipts normalise
OPM ≥ 14–15% — management finally meeting its own margin band
Borrowings — any further rise re-runs the SPECTRUM failure
Pledge line — currently unreported; any appearance is a hard flag
⚠️ This VIEW is an internal, unregulated analytical opinion of Primaegis Research for internal
pipeline use only. It does NOT constitute a SEBI-regulated investment recommendation, research
report, or solicitation to buy, sell, or hold any security.
⚠️ IMPORTANT DISCLAIMER
This document is a research and educational output only, generated by the Primaegis Research
Investment Analysis Pipeline. Neither the author nor any contributor to this report is a
SEBI registered investment advisor or research analyst. Nothing in this report constitutes
investment advice, a research recommendation, or a solicitation to buy, sell, or hold any security,
fund, or financial instrument under SEBI (Research Analyst) Regulations, 2014 or any other
applicable law. All financial data is sourced from publicly available disclosures (screener.in,
NSE/BSE filings, company releases) and the pipeline's own computed models; any value that could not
be sourced is rendered as a dash. Always conduct your own due diligence and consult a SEBI
registered investment advisor before making any financial decision. Generated: 2026-08-01 | Primaegis Research · Not for distribution.