The brewing storm at the markets hits fertilisers stocks too

Shares of Coromandel International Ltd., a maker of fertilisers, dropped more than 4 percent after the company's first quarter profit shrank on account of lower realisations.

Coromandel, which also makes pesticides, said its consolidated quarterly profit slipped 55 percent to 14.5 crore rupees compared with 32.5 crores in the same quarter a year ago. Sales during April-June rose 16 percent to 2,181 crore rupees compared with 1,881 crore rupees in the year ago period.

As a consequence Coromandel's shares fell 4.5 percent, or 11 rupees, to 235 rupees on the National Stock Exchange where 2.1 lakh shares changed hands in the five hours of trade compared with the 5-day average of 0.38 lakh shares.

Coromandel's market capitalisation has remained flat at 7,100 crore rupees in the past one year as investors ignored commoditised stocks. The company is a part of South-based diversified giant Murugappa Group.

(Image credits: thehindubusinessline)