Gujarat Narmada Valley Fertilizers & Chemicals Ltd(GNFC)

NSE: GNFCBSE: 500670

₹ 520.3+4.66%refreshed 26 Oct, 03:30 pm ISTMarket cap: ₹ 7,645 crNext results: 2 Nov 2026Website: www.gnfc.inUpdated: 27 Oct 2026

About

Gujarat Narmada Valley Fertilizers & Chemicals Ltd (GNFC) is an integrated chemical and fertilizer manufacturer based in Gujarat, operating plants at Bharuch and Dahej. The company is India's sole manufacturer of TDI, Acetic Acid, Formic Acid, Methyl Formate and Technical-grade Urea, and reported revenue of ₹7,773 cr in FY26. Chemicals (63% of FY26 revenue) is the profitable engine while Fertilizers (36%) runs at a structural loss pending government norm revisions.^[1][2][3]

Business segments

Chemicals: 63% of FY26 revenue (₹4,899 cr), segment result ₹913 cr - covers TDI, nitric acid, ammonium nitrate, acetic acid, formic acid and technical-grade urea.^[3][1]
Fertilizers: 36% of FY26 revenue (₹2,764 cr), segment result -₹186 cr - urea and complex fertilizers sold under the Bharat brand (formerly Narmada) per the One Nation, One Fertilizer initiative.^[3][1]
IT/Others (nCode Solutions): FY26 revenue ~₹92 cr (FY25), segment profit doubled from ₹17 cr to ₹35 cr in FY26; business plans for digitisation/AI to be finalised by end-CY2026.^[4][5]

Products and market position

GNFC is India's sole manufacturer of TDI, Acetic Acid, Formic Acid, Methyl Formate and Technical-grade Urea.^[1]
TDI domestic market share ~60% of India's ~1 lakh MT flexible foam market as of Q3 FY26; anti-dumping duty on EU, Saudi Arabia, Middle East and Taiwan origins extended for a further five years to ~2030.^[6][7]
Technical-grade Urea (TGU) is used as diesel exhaust fluid feedstock; GNFC produced >210,000 MT in FY26 and 74,800 MT in Q1 FY27 (annualised ~300,000 MT vs ~210,000 MT in FY26).^[5][8]
Concentrated Nitric Acid (CNA): ~45% of FY26 output sold as merchant sales, balance consumed captively for downstream products.^[5]

Manufacturing capacity and utilisation

2 manufacturing plants (Bharuch and Dahej) and 5 offices nationally; no international plants.^[1]
Rated capacities: Ammonia 4,45,500 MTPA; Urea 6,36,900 MTPA; Acetic Acid 1,00,000 MTPA; Formic Acid 19,720 MTPA; Weak Nitric Acid-I 2,47,500 MTPA; TDI-I 14,000 MTPA; TDI-II 50,000 MTPA; CNA-IV 50,000 MTPA.^[1]
TDI-II Dahej operated 276 days at 77% capacity utilisation in FY26, affected by equipment issues, maintenance and natural gas supply constraints.^[1]
30 new production and dispatch records set in FY26 (20 production, 10 filling/dispatch/sales); Acetic Acid plant achieved a record continuous run of 273 days vs prior best of 237 days.^[1]

Key operating volumes

Q1 FY27 production: Ammonia ~173,000 MT, TDI 12,800 MT (three plants curtailed for cost-economics; all resumed August 1), WNA 113,000 MT, CNA 37,500 MT, AN Melt 55,600 MT, TGU 74,800 MT, Formic Acid 8,200 MT.^[8]
Q1 FY27 sales volumes fell materially below production volumes, building chemical inventory; only ~15% of that inventory was liquidated by end of July 2026.^[8]
Urea energy norm revised to 6.37 Gcal/MT (from 6.20) by Department of Fertilizers notification dated June 30, 2026, valid for three years from FY25-26; preliminary one-time positive impact estimated at ~₹61 cr to be booked in Q2 FY27.^[8]

Feedstock and raw materials

IOCL has been sole supplier of petroleum feedstock (HSFO/LSHS-P/FOHV) since inception; supply agreement extended to April 30, 2031.^[1]
Indian coal supplied under FSA with South Eastern Coalfields Limited (SECL/CIL); annual contracted quantity 2,20,000 MT, valid until April 30, 2028.^[1]
Natural gas for urea production contracted until December 2027; supply managed by GAIL as pool operator due to geopolitical tensions.^[1]
Natural gas prices fell 30% from $4.11/MMBTu (Mar-25) to $2.88/MMBTu (Mar-26), a key input cost benefit; international ammonia prices rose 24% and phosphoric acid 22% over the same period.^[1]

Customers and distribution

GNFC serves 27 states nationally and exports to 86 countries; exports contributed 0.44% of total turnover in FY26.^[1]
Fertilizer retail network operates through Narmada Khedut Sahay Kendras (NKSKs), a COCO model providing agri-inputs and advisory services to farmers.^[1]

Expansion and capex

Total committed project capex pipeline ~₹2,800 cr across four brownfield projects; FY27 full-year capex guided at ₹1,500-1,800 cr (₹300 cr spent in Q1 FY27).^[8][7]
CCPP Dahej (coal-based steam and power plant): steam supply commenced in Q1 FY27 delivering ₹30,000-40,000/MT TDI cost relief; power generation expected ~45 days from August 6, 2026.^[8]
WNA-III (200 KTPA Weak Nitric Acid): ~3-month delay vs plan; commissioning now expected ~Q2 FY28; ~70,000 MT earmarked for merchant sale, balance for AN Melt downstream.^[8][6]
AN Melt II (163 KTPA, ~₹450 cr): Board approved November 12, 2025; targeted to commission around July 2027, bringing total AN Melt capacity to 338,000 MTPA.^[7]
Fifth CFBC boiler at Bharuch approved (₹480-500 cr) primarily for reliability; CFBC efficiency ~83% vs existing pulverized boilers at 71-75%.^[6]
BPA (150 KTPA) and Polyols (100 KTPA) at Dahej under feasibility study; combined capex ballpark ₹7,000-8,000 cr including upstream phenol plant; in-principle decision expected end-CY2026.^[7][6]
Once the current ₹2,800 cr capex pipeline is fully operational, incremental revenue of ₹1,200-1,500 cr and contribution of ₹500-600 cr is expected.^[8]

Recent developments

Q1 FY27 PAT ₹310 cr described as second-highest in company history for a first quarter, after Q1 FY22; Q1 FY26 PAT was ₹78 cr.^[8]
GNFC proposed an MOU with Gujarat Mineral Development Corporation (GMDC) for underground coal gasification, combining GMDC's mining capability with GNFC's downstream expertise; feasibility studies ongoing as of August 2026.^[8]
AT Kearney cost transformation programme claims estimated savings of ₹250-300 cr per annum; P&L quantification clarity expected by end of Q2 FY27.^[8]
Smt. Gauri Kumar, IAS (Retd.) ceased to be an Independent Director on September 30, 2026, after completing her second term.^[9]
TDI JV with INEOS abandoned; company is now in dialogue with INEOS about a licensing arrangement for additional TDI capacity instead.^[5]

Market Cap

₹7,645 Cr

High / Low

₹636 / 365

Stock P/E

7.1

Price / Book

0.8

Book Value

₹620

EPS

₹55.0

No. of Shares

14.69 Cr

ROCE

12.2%

ROE

9.1%

OPM

13.0%

Debt / Equity

0.00

Sales

₹7,773 Cr

Net Profit

₹808 Cr

Promoter holding

41.3%

Loading chart…

Signal history

AI Deep Dive

The analysis Screener can't give you

Our models read the latest earnings call, annual report, and financials end-to-end - then grade management, value the business, and flag the risks. Unlock all of it for this company:

Verdict
The headline call - descriptive label, conviction, and the synthesis behind it.
Valuation
Guidance-anchored P&L bridge - worst / average / best multiple cases.
Walk the talk
Did management deliver on past guidance? A commitment-by-commitment scorecard.
Red flags
Forensic and governance risk pointers, severity-ranked.
Balance sheet
Solvency and earnings-quality score.
Concall briefs
Quarter-by-quarter earnings-call briefs - what changed and why.

₹49 unlocks this company for 90 days, ₹299 for a full year - bundles bring it lower. Built on public disclosures - educational, not investment advice.

AI Deep Dive

Verdict

Locked

The headline call - descriptive label, conviction, and the synthesis behind it.

Company data

Financials

Gujarat Narmada Valley Fertilizers & Chemicals Ltd(GNFC)

About

Business segments

Products and market position

Manufacturing capacity and utilisation

Key operating volumes

Feedstock and raw materials

Customers and distribution

Expansion and capex

Recent developments

Signal history

The analysis Screener can't give you

AI Deep Dive

Verdict

Company data

Product Segments

Corporate Actions