Fertilizer: Fertilizers profits likely to decline 32% YoY in 1Q2025 Market Weight Maintained - By Topline Research

<p></p><ul><li><span style="font-family:Arial, Helvetica, sans-serif;font-size:medium;">We expect Topline Fertilizer universe earnings to decrease by 32% YoY and 55% QoQ in 1Q2025 mainly due decline in Urea and DAP offtakes amidst weak farm economics, and water shortage.</span></li></ul><ul><li><span style="font-family:Arial, Helvetica, sans-serif;font-size:medium;">Urea offtake is expected to decrease by 40% YoY and 45% QoQ to 1.1mn tons in 1Q2025. Similarly, DAP offtakes are expected to decrease by 50% YoY and 79% QoQ to 144k tons in 1Q2025.</span></li></ul><ul><li><span style="font-family:Arial, Helvetica, sans-serif;font-size:medium;">Average Urea prices during 1Q2025 declined by 4% YoY and 1% QoQ to Rs4,520 per bag as Engro Fertilizers announced a discount of Rs100/bag during the quarter to capture the market share. Similarly, DAP...