GNFC is a company that engages in the business of manufacturing fertilizers and chemicals. The company has been operational for over forty-five years and has a strong presence in the domestic market.
1. What is GNFC?
GNFC is a global leader in the production of natural fertilizers and bio-based materials. We supply environmentally friendly, sustainable solutions to a wide range of industries. Our products are made from natural fibers, plant-based materials, and other renewable resources.
2. What are the key financials of GNFC?
GNFC is a public sector company with a net profit of over 1700 crore. The company has a strong financial position with a healthy debt-equity ratio and a low-interest burden. Its Return on Equity (ROE) and Return on Capital Employed (ROCE) are both above 25%, indicating that the company is making good use of its invested capital. GNFC's profit margin is also healthy, indicating that it is able to generate good profits from its operations
3. What is the analysis of GNFC?
GNFC is a public sector company that was founded in 1976. It is engaged in the business of manufacturing and trading fertilizers and pesticides. The company has a strong presence in the eastern region of India.
The company has a robust product portfolio which includes urea, di-ammonium phosphate (DAP), Single Super Phosphate, Muriate of Potash (MOP),City Compost, and technical grade phosphoric acid. It has a production capacity of 6,36,900 MTA of urea.
The company has a strong distribution network which enables it to cater to the needs of farmers in the eastern region of India. It has a total of 931 dealers and 5,741 retailers. The company has a well-diversified customer base with over 1.2 million farmers as its customers.
The company is well-funded and has a strong financial position. It has a total debt-to-equity of 0 The company has a current ratio of 2.5 and a debt-to-equity ratio of 0
The company has a healthy return on equity (ROE) of 25.4%. Its operating profits are healthy at 309Cr. The company has a good free cash flow from operations of Rs. 1967 crores.
GNFC has largely been a debt-free stock with almost nil debt levels. The management further paid back the borrowings in FY21.
The company is listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
4. What are the results of GNFC?
The GNFC has had a mixed impact on the local economy. While it has brought new jobs and investment to the area, there have also been some negative consequences. One of the main criticisms of the GNFC is that it has led to an increase in the cost of living.
We are now at the end of our Fundamental Analysis of GNFC. From what we have read so far, we can conclude that it has been a major beneficiary of the chemicals sector boom. For a debt-free stock, with high return ratios, it becomes imperative to know what lies ahead of the stock.
