leading agricultural chemical manufacturer has received shareholder approval for a significant corporate action. The company’s stock will undergo a 2-for-1 split, effectively doubling the number of outstanding shares while maintaining proportional ownership for existing investors.
Share Price Movement
The share price of Rama Phosphates Limited hit an intraday high of 2.51 percent to Rs. 211.00 per share on Monday, an increase from its previous close of Rs. 205.83 per share. The market capitalisation now stands at approximately Rs. 357 crore as of January 06, 2025.
Reason for Price Surge?
Shareholders have approved a stock split, where each 1 equity share of the company will be split into 2 equity shares. Each shareholder will get 2 shares for every 1 share held by them.
Financial Highlights
According to its recent filing, in the quarter ending September 2024, Rama Phosphates’s consolidated revenue from operations has increased by 22.17 percent YOY from Rs. 171.45 crore in Q2 FY24 to Rs. 209.46 crore in Q2 FY25 and increased by 36.28 percent QoQ from Rs. 153.69 crore in Q4 FY24.
The company’s consolidated net profit has increased by 359.7 percent , from Rs. 0.67 crore in Q2 FY24 to Rs. 3.08 crore in Q2 FY25. As compared to the last quarter of 2025, the company’s net profit has decreased by 54.64 percent QoQ from Rs. 6.79 crore.
The average price-to-earnings (P/E) ratio in the fertiliser industry is 18.43, which is far less than Rama Phosphates current P/E ratio of 356.
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Market Outlook
India’s agricultural sector, vital for 58% of the population, faces challenges like weather uncertainties, export restrictions, and fluctuating growth. Fertilisers remain crucial for agricultural progress, though the industry struggles with dependency on imports, government subsidies, and monsoon variability.
Despite a slowdown in agricultural GDP growth and export declines, investments in irrigation, storage, and sustainability initiatives signal optimism. The fertiliser industry expects improved monsoon conditions to enhance sales, ensuring continued support for India’s role as a global agricultural leader.
Shareholding Pattern
As of the September 2024 shareholding pattern, Rama Phosphates Limited is primarily held by the promoters at 75 percent, foreign institutional investors hold 0.06 percent, and the public with 24.92 percent.
About Company
Rama Phosphates Limited (RPL) is a leading manufacturer of Single Super Phosphate (SSP) fertilizers in India. Established in 1984 and headquartered in Mumbai, it became a public limited company in 1986. Listed on both the BSE and NSE, RPL’s product range includes SSP fertilizers, Sulphuric Acid, LABSA, and soya edible oil products.
With units in Pune, Indore, and Udaipur, RPL is known for its innovative fertilisers and commitment to quality, led by Managing Director Haresh Ramsinghani. The company has been recognised for operational excellence by the Fertiliser Association of India.
Written By Fazal Ul Vahab C H
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