Madhya Bharat Agro Products Limited: A Stellar Half-Year Harvest in FY26

Madhya Bharat Agro Products Limited (MBAPL) has announced a period of exceptional growth and operational excellence, delivering record-breaking financial results for the second quarter and first half of fiscal year 2026. The company, a significant player in India's fertilizer sector, showcased robust performance driven by strong market demand, strategic capacity utilization, and a clear focus on backward integration and sustainability initiatives. This performance underscores MBAPL's position as a dynamic entity within the Ostwal Group of Industries, consistently transforming challenges into profitable opportunities.

For Q2 FY26, MBAPL reported a revenue of ₹450.2 crore, marking a substantial 61.8% year-on-year increase and a 9.9% quarter-on-quarter growth. The company's EBITDA (excluding other income) reached ₹61.8 crore, up 70.4% YoY and 8.6% QoQ, reflecting enhanced operational efficiencies and higher volumes. Profit After Tax (PAT) more than doubled, surging by 120.1% YoY to ₹30.5 crore. The basic EPS also saw a significant jump to ₹3.48 from ₹1.58 in Q2 FY25, demonstrating strong profitability and shareholder value creation. The half-year figures were equally impressive, with revenue at ₹860 crore (up 80% YoY), EBITDA at ₹119 crore (up 70% YoY), and PAT at ₹59 crore (up 132% YoY), with EPS reaching ₹6.7.

Operational Excellence and Strategic Growth Drivers

MBAPL's operational performance in H1 FY26 was marked by highest-ever fertilizer production volumes of 1,18,541 MT and sales volumes of 1,35,187 MT. The company achieved remarkable capacity utilization across its plants: SSP at 104% (62,334 MT), NPK/DAP at a steady 94% (56,207 MT), and impressive BRP crushing at 96% (45,263 MT). Sulphuric acid production reached 37,100 MT (90% utilization), and phosphoric acid production hit a record 8,697 MT (50% utilization), benefiting from increased capacity. This high utilization, coupled with strong market demand driven by favorable monsoon conditions and government policy support for balanced nutrition, has been pivotal to its success.

MBAPL's strategic backward integration is a key competitive advantage. The company manufactures complex fertilizers NPK/DAP and SSP with a capacity of approximately 0.5 million tonnes, supported by full backward integration. This includes in-house manufacturing of Sulphuric and Phosphoric acid and beneficiation of low-grade rock phosphate, ensuring stable, cost-effective material supply and reducing reliance on external vendors. The company operates under the brands 'Annadata' (SSP) and 'Bharat' (NPK/DAP complex), serving a wide network of 2,500+ wholesalers/dealers and 30,000+ retailers across 11 states.

Future Outlook and Sustainable Commitments

MBAPL is actively pursuing significant expansion projects to further bolster its capacity and market reach. The fully integrated DAP/NPK and SSP plant at Dhule, Maharashtra, with a total cost of ₹1,100 crore, is on track for commissioning by October 2026. This plant will add substantial capacities across DAP/NPK, phosphoric acid, sulphuric acid, and SSP. Concurrently, the DAP/NPK and sulphuric acid plant at Sagar, Madhya Pradesh, is undergoing expansion at a cost of ₹107 crore, expected to be commissioned by March 2026. These projects are poised to more than double the company's current capacity, driving future growth.

A significant milestone for MBAPL's sustainability agenda is the securing of a 10-year supply of 1.30 lakh MTPA of Green Ammonia under SECI's SIGHT Scheme in August 2025. This initiative not only ensures a reliable raw material supply for NPK production but also significantly reduces import dependency and aligns with India's green energy goals. The company's commitment to environmental stewardship is further demonstrated through its transition to bio-coal, utilization of waste heat for in-house power generation, and a 0.5 MW captive solar power plant.

MBAPL's Q2 and H1 FY26 performance reflects strategic clarity and disciplined execution. The company is confident in maintaining a similar performance trajectory in the second half of FY26, supported by robust demand and ongoing strategic initiatives. With significant capacity expansions nearing completion and a strong focus on sustainable practices, MBAPL is well-positioned for sustained long-term growth and continued value creation for its shareholders.