Q2 PAT up by 43% - Chemical Business contributes 75 % of sales

Mumbai, 21 October 2004... Deepak Fertilisers & Petrochemicals Corporation Ltd., (DFPCL) profit after tax (PAT) for the second quarter of the current year has gone up by 43 % as compared to that of the previous year. While net sales for the quarter remained the same as the corresponding quarter of the previous year at Rs 104 crore, PAT has improved to Rs. 16.02 crore as against Rs.11.14 crore. Optimal product mix, lower interest cost and volume growth in chemicals business were the key drivers for the rise in net profits. For the quarter ended September 30, 2004, the chemicals business contributed to more than 75% of sales. PAT for half year ended 30^th September, 2004, has also improved by 20 per cent to Rs 29.22 crore as compared to the corresponding half year of the previous year riding on a volume growth in the chemicals business.

Overall capacity utilisation of plant remained low on account of inadequate availability of natural gas. It is expected that large gas finds in KG basin and LNG will improve the availability of gas in future to enable plant operation at full capacity levels.

During the quarter the company commissioned a captive power plant of 9 MW. Progress on the IPA project and the Speciality Mall project were as scheduled.

For further information contact :-

Vishwesh Iyer / Hemant Bohra
Adfactors Public Relations
022- 22813565

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