The Phosphate Company Limited reports Rs 2.7647 crore loss

The Phosphate Company Limited reported a Rs 2.7647 crore net loss for the quarter ended September 30, 2026, reversing a Rs 46.70 lakh profit in the June quarter, as total expenses reached Rs 40.3663 crore against total income of Rs 37.9643 crore. Revenue from operations rose to Rs 37.9971 crore.

What were The Phosphate Company's September-quarter results?

The Phosphate Company recorded a Rs 2.7647 crore net loss in the quarter ended September 30, 2026, compared with a Rs 46.70 lakh net profit in the quarter ended June 30, 2026. The company had reported a Rs 2.4867 crore net loss in the quarter ended September 30, 2025, meaning the latest quarterly loss was larger than the year-earlier loss.

Revenue from operations rose to Rs 37.9971 crore in September 2026 from Rs 19.5471 crore in June 2026 and Rs 31.1666 crore a year earlier. Other income was negative Rs 3.28 lakh, compared with positive other income of Rs 11.31 lakh in June 2026 and Rs 45.35 lakh in September 2025, leaving total income at Rs 37.9643 crore.

The Phosphate Company's loss before interest, depreciation and tax was Rs 2.4020 crore in the September quarter, against a Rs 1.5004 crore profit in the June quarter. Finance costs of Rs 1.1236 crore and depreciation and amortisation of Rs 14.07 lakh then resulted in a Rs 3.6663 crore loss before tax.

Which costs moved The Phosphate Company into a loss?

The Phosphate Company's total expenses rose by Rs 22.2065 crore quarter on quarter to Rs 40.3663 crore, exceeding the Rs 18.3041 crore increase in total income. Cost of materials consumed was the largest expense at Rs 29.6912 crore, up from Rs 22.7321 crore in the June 2026 quarter and Rs 28.4745 crore a year earlier.

Other expenses increased to Rs 6.2960 crore from Rs 3.4379 crore in June 2026, while employee benefit expenses rose to Rs 1.6201 crore from Rs 1.3993 crore. Purchases of trading goods fell to Rs 1.3679 crore from Rs 2.7293 crore, but that reduction did not offset the increases in materials, employee costs and other expenses.

The inventory line changed to an expense of Rs 1.3911 crore in the September 2026 quarter from a reduction of Rs 12.1388 crore in June 2026. In the year-earlier September quarter, the same line showed a reduction of Rs 8.5925 crore, illustrating the change in the inventory movement between the two September quarters.

The Phosphate Company's negative tax expense of Rs 90.16 lakh reduced the reported loss after tax relative to the Rs 3.6663 crore pre-tax loss. The September-quarter tax figure comprised negative current tax of Rs 19.17 lakh and deferred tax of negative Rs 70.99 lakh, against a Rs 17.23 lakh tax expense in June 2026.

How did The Phosphate Company's half-year performance compare?

The Phosphate Company reported a Rs 2.2977 crore net loss for the half year ended September 30, 2026, compared with a Rs 1.6892 crore loss in the corresponding 2025 half year. Revenue from operations increased to Rs 57.5442 crore from Rs 45.2258 crore, while total income rose to Rs 57.6245 crore from Rs 45.7854 crore.

Total expenses for the six months were Rs 58.5261 crore, compared with Rs 45.6575 crore in the prior-year period. The increase left the company with a loss before interest, depreciation and tax of Rs 90.16 lakh, reversing a Rs 12.79 lakh profit before those items in the half year ended September 30, 2025.

Material consumption rose to Rs 52.4233 crore for the 2026 half year from Rs 38.8219 crore a year earlier. Other expenses declined to Rs 9.7339 crore from Rs 10.9889 crore, but employee benefit expenses increased to Rs 3.0194 crore from Rs 2.6433 crore and the inventory reduction narrowed to Rs 10.7477 crore from Rs 13.2310 crore.

The half-year loss before tax widened to Rs 3.0270 crore from Rs 2.2579 crore. Finance costs declined slightly to Rs 1.8440 crore from Rs 1.8976 crore, while depreciation and amortisation fell to Rs 28.14 lakh from Rs 48.82 lakh, but the lower charges did not eliminate the operating loss.

Was The Phosphate Company's result audited and what should readers watch?

The Phosphate Company's results for the quarter and half year ended September 30, 2026 were unaudited and subject to limited review, rather than a full audit. The board approved the results on November 13, 2026, after the audit committee's recommendation, and the statutory auditor issued its review report on the same date.

S K Agrawal and Co Chartered Accountants LLP said nothing had come to its attention that caused it to believe the results were materially misstated or had failed to make disclosures required under Regulation 33 of the Securities and Exchange Board of India listing regulations. The auditor stated that a review is narrower than an audit and primarily involves inquiries and analytical procedures.

The Phosphate Company prepared the results under Indian Accounting Standard 34, which covers interim financial reporting. Basic and diluted earnings per share were negative Rs 7.66 in the September 2026 quarter, compared with positive Rs 1.29 in June 2026 and negative Rs 6.89 in September 2025; the paid-up equity share capital remained Rs 3.6075 crore.

The filing states that The Phosphate Company's business is seasonal and that performance in a particular current quarter is not indicative of the full year. That qualification applies to the September quarter, when revenue increased to Rs 37.9971 crore but expenses reached Rs 40.3663 crore, and the filing does not disclose a management earnings target or operating milestone.

Conclusion

The Phosphate Company's September-quarter result shows that higher operating revenue did not cover the period's cost base. Revenue from operations rose by Rs 18.4500 crore from June 2026, but expenses rose by Rs 22.2065 crore, moving the company from a Rs 46.70 lakh quarterly profit to a Rs 2.7647 crore loss and widening the half-year loss year on year.

The next reported periods will matter because The Phosphate Company says its business is seasonal and a single quarter does not indicate the full year. Readers can watch whether material consumption, the inventory movement and other expenses change after September 2026, alongside the relationship between revenue and total expenses.