State-run fertilizers major Gujarat Narmada Valley Fertilizers & Chemicals Ltd (GNFC) is on a high growth trajectory as the company aims to become zero-debt by the end of fiscal 2017-18, even as it plans foray into FMCG segment through its neem project .

The company's managing director Rajiv Kumar Gupta maintained that the year gone-by has been a remarkable one with improvement on the operational and financial front.

"This has been a great year in terms of debt repayments. There has been highest ever debt repayment of Rs 780 crore. Our debt to equity ratio has dropped from 0.38 to 0.19 per cent. There would be about Rs 500 crore debt remaining outstanding. Going by the current pace of repayments, we aim to make GNFC completely debt-free by March 31, 2018," Gupta told BusinessLine.

GNFC achieved stabilisation at the Toluene Di-Isocyanate (TDI) plant, with highest ever production of TDI in the history of GNFC at 52,000 tonnes for the year. It exported record 22,000 tonnes of TDI to 55 countries. The company had suffered a production loss of 140 days on account of gas leakage at the plant.

Earnings

GNFC posted standalone net profit of Rs 238 crore for the fourth quarter ended March 2017, up 226 per cent from Rs 73 crore reported in the same quarter last year. Total income for the quarter, however dropped marginally to Rs 1,410 crore as against Rs 1,460 crore in the corresponding quarter last year.

For the financial year 2016-17, the company's standalone net profit stood at Rs 521 crore as against Rs 173 crore in the previous year, showing 201 per cent jump. The total income for the year stood at Rs 5,170 crore as against Rs 5098 crore in the previous year. Return on Equity improved to 13.71 per cent as against 5.27 per cent last year, while earnings per share stood at Rs 33.54 as against Rs 11.11 last year.

The company, having achieved record market capitalisation of Rs 5,015 crore during the year, bets big on FMCG segment in the coming year.

"We will launch neem handwash, facewash, shampoo and hair oil in the next one-two months. With expansion of marketing and gradual high level of acceptance from big retail chains like Big Bazaar, Star bazaar and Kendriya Bhandar we expect to touch 5,000 outlets from the current 1,000 in the next three months. We expect to get at least Rs 50 crore revenue from the FMCG portfolio this fiscal," said Gupta.

Also, Gupta confirmed that the proposed di-calcium phosphate project in joint venture with Belgian company Eco Phos will be operational by 2019. Di-Calcium Phosphate is mainly used as dietary supplement in prepared instant food products including noodles.

GNFC board of directors recommended dividend of Rs 5 per equity share of Rs 10 each or 50 per cent for the year ended March 2017. The company's shares were trading 4.91 per cent up at Rs 294 on the Bombay Stock Exchange at about 1.20 pm on Wednesday.

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