Deepak Nitrite Q1 preview: Soft global demand to hit exports, PAT likely to fall 5.5%

Deepak Nitrite Q1 preview, Deepak Nitrite Q1 result date: Deepak Nitrite is likely to report a weak set of numbers for the quarter ended June 30, 2023 (Q1 FY24), as the company's exports are expected to take a hit due to weak global demand. The company is scheduled to release its results today. According to the research desk, the chemical intermediates company is likely to report a 7.5 per cent year-on-year (YoY) decline in its consolidated revenue at Rs 1,904 crore against Rs 2,058 crore logged a year ago.

Deepak Nitrite's earnings before interest, taxes, depreciation, and amortisation (EBITDA) are expected to drop by 7.1 per cent to Rs 331 crore from Rs 356 crore registered in the year-ago period. They estimate its margin—a key measure of profitability for a business—to increase to 17.4 per cent from 17.3 per cent. The company is likely to report a 5.5 per cent decline in profit after tax (PAT) to Rs 222 crore from Rs 235 crore registered in the corresponding quarter of the previous fiscal.

However, the analysts estimate a strong growth forecast for phenolic segments. According to Zee Business research, the outlook on the demand for phenol in the domestic market, capacity utilisation of the Nandesari plant, an update on Capex for FY24, and an update on MIBK (Methyl isobutyl ketone), MIBC (Muscle invasive bladder cancer), and polycarbonate products are key factors to keep an eye on.

Deepak Nitrite's share price history

Over the past 12 months, the stock of Deepak Nitrite has risen just 2 per cent (including the closing figure of August 3, 2022). In comparison, the headline index Nifty 50 has rallied over 12 per cent.

Catch latest minute-by-minute stock market updates here. For all other news related to business, politics, tech, sports and auto, visit Zeebiz.com.