NAGAFERT2025-10-012025-12-31NAGAFERT2025-04-012025-12-31iso4217:INRxbrli:pureiso4217:INRxbrli:shares539917NAGAFERTNOTLISTEDINE454M01024Nagarjuna Fertilizers and Chemicals LimitedMain BoardEquity2025-04-012026-03-312026-02-142026-02-11INRLakhsQuarterlyThird quarterSingle segmentFERTILIZERS2026-02-1415:00:002026-02-1416:00:00Not applicablefalsefalseThe company has not default on loans as on December 31, 20262025-10-012025-12-31UnauditedStandalone000000000000000000-574770000-574770000-574770000-57477000598065000100-0.1-0.1-0.1-0.1-0.0002-0.008501) The above statement of Unaudited Standalone Financial Results for the quarter ended 31st December 2025 was reviewed by the Audit Committee and approved by the Board of Directors at their respective meetings held on February 14, 2026. <BR> <BR> 2) "The Statutory Auditors have carried out Limited Review of the above financials for the quarter ended December 31, 2025. <BR> <BR> 3) "Consequent to the settlement of Debt and receipt of sale proceeds from sale of core and non-core assets controlled by ACRE, there are no other remaining fixed assets and net current assets or revenue generating business left with the Company for operations (including land, property plant and equipment) affecting the Going Concern of the Company. Based on the audit findings for FY 2024–25, as the accounts cannot be prepared on a Going Concern basis, the company’s financials have been prepared on a ‘not a going concern’ basis, reflecting discontinued business operations effective from the quarter ended June 30, 2024. This status continues for the quarter ended December 31, 2025. Accordingly, the company has not earned any revenue from operations for the quarter ended December 31, 2025. " <BR> 4) Without considering the energy and other claims from the Government (which is under consideration) the current liabilities exceed the current assets by about Rs. 87,773.06 Lakhs. Consequent to the discontinuation of operations the going concern of the company has affected and financial results have been prepared accordingly. The Company is pursuing various subsidy claims with the Government including reimbursement of Energy consumed, AP State Electricity Duty paid and IGST etc., the funds from these claims if and when received will be used for the settlement of the recognized, reconciled current liabilities which are not being contested. <BR> <BR> 5) "There are various claims and reliefs against the company. These are not acknowledged as debts as they are disputed in various forums, courts, appeals, including arbitration awards amounting to around Rs 1209.43 crores*. These contingent liabilities/claims stated above are not confirmed as dues but recorded as disputes. Amongst them, the major are Water cess (Rs 566.51 Crores), Arbitration awards which includes (Trammo (Rs. 157.04 crores) Tecnimont (Rs.44.62 crores) PIPL (Rs.48.57 cores)) and Anand Bharti claim (Rs. 21.63 crores) etc. <BR> <BR> * The amount of Rs 1209.43 crores is an approximate amount and can change upward or downwards basis reconciliation and reliefs granted after negotiation / settlement. " <BR> 6) As per Office Memorandum (OM) issued by DOF (MoCF) which is the basis of gas supply since 2018, the Company owes the supply dues to GAIL of Rs. 562.04 Crores. In contradiction to the Government arrangement, GAIL is demanding interest which is not provided in OM and has been adjusting gas payments towards interest. The company is disputing interest claims which is around Rs. 562.87 crores of GAIL. <BR> <BR> 7) "The deferred Sales Tax outstanding for FY. 2024-25 to Government of Andhra Pradesh amounts to Rs.13.43 crores, which was due for repayment on March 19, 2025. The demand was partly paid upto December 2025. Subsequently the demand of Rs. 13.43 Crores towards deferred Sales Tax outstanding to Government of Andhra Pradesh has been paid and settled in full. <BR> <BR> 8) Claim Against GAIL: The company had lost the GAIL arbitration case in 2023. The company filed an application under section 34 of Arbitration and Conciliation Act 1996 which is pending adjudication in Delhi High Court since 2023. All the assets of NFCL have been sold basis the secured creditor invoking SARFAESI. The company’s accounts have been drawn up accordingly as a non-going concern. Given the financial situation NFCL assigned its rights in favour of AMPL to represent it in all legal forums/proceedings to pursue claims from GAIL including Arbitration claim in its name as an assignee along with agency coupled with interest under the provisions of Indian Contract Act, 1872. Should GAIL satisfy the award in the future, from the net proceeds, NFCL shall use the award as it deems fit after clearing its liabilities. <BR> <BR> 9) "Claim by GAIL: GAIL has filed a petition under section 9 of Arbitration and Conciliation Act, 1996, in Hon’ble Hight Court of Delhi, seeking relief for their outstanding dues. The Company is contesting the case disputing the total claim of GAIL stating that GAIL has stopped supplies in 2018 as the company was unable to comply with the gas supply agreement clauses(as regards security and payment terms) and GAIL resumed supplies only after intervention of DoF, MoCF, GoI assuring GAIL on payments and payment security via Office Memorandum (OM). The Government did not agree to pay GAIL within a specified period nor did it agree to reimburse GAIL of any interest as can be clearly seen in the Office Memorandum (OM) of DOF, basis of which GAIL resumed the gas supply in public interest in December, 2018, securitized through subsidy escrow arrangement / escrow mechanism. GAIL was fully aware of the impossibility of the company complying with the security and payment terms in gas supply agreement and has communicated in writing in various legal forums and with DoF that it started supplies only after security and assurances of payment from DoF. Despite this GAIL has adjusted payments/recovered interest since 2018 and also raising claims for interest post the sale of assets on the amounts due. The company is disputing interest being claimed by GAIL with GAIL, with DoF and in Legal Forums. NFCL has no responsibility for delays in subsidy payment or reimbursement of interest on delayed payment by Government to GAIL. The total outstandings to GAIL for gas supply is Rs. 562.04 crores only and this does not include any interest. <BR> <BR> 10) "The Company has been using the Nagarjuna Brand / Trademarks for its urea and other products under a License Agreement Dt 29/01/1998 with the grantor, a related party. The company, during the period ended on 31.12.2021, received a claim from the grantor asserting its right to royalty for the period from 29/01/1998. The company agreed without impairment and prejudice to the rights of AMPL in any manner whatsoever to settle the claims in a manner such that the dues are secured and paid/deducted on a priory basis from the receipts if any from claims against GAIL if and when GAIL satisfies the award in relation to pipeline accident. The Dolaramudu trademark/mascot being used by the Group and by NFCL in urea packaging. After the government letter dated August 18, 2023, on One Nation One Fertilizers by introducing Single Brand for fertilizers and Logo under fertilizer subsidy scheme, the company has discontinued use of trademark and did not renew the trademark. The group agreed to continue the trademark. Based on the agreed terms with NACL the company has written to NACL to stop utilising the groups trademarks vide letter dated 28th May 2025, after hearing news that there is a change in company’s ownership and management. The grantor has submitted its claim towards royalty payment for an amount of Rs. 836.67 crores (principal and interest) as on March 31, 2021, as per License Agreement, with the Interim Resolution Professional appointed by Hon’ble NCLT, Hyderabad Bench, when the company was admitted to NCLT under Insolvency and Bankruptcy Code, 2006, in 2021. " <BR> <BR> 11) "Government of India announced New Urea Policy (NUP)-2015 and Gas Pooling Policy for Fertilizer (Urea) Sector which are effective from 1st June 2015 to 31st March 2019. Government of India extended the NUP -2015 from 1st April 2019 until further orders. Income from Urea Operations has been recognised in accordance with the said policies. Income towards freight subsidy, Reimbursement claims towards additional fixed cost, Input escalation / de-escalation, have been recognized during the Quarter ended on December 31, 2025, in terms of the said policies. <BR> " <BR> The Subsidy income is recognised based on the notified Gas Pool prices for the time being in force and upon final notification of the prices the escalation / de-escalations are accounted for in the year in which these notifications are issued. During the Current quarter the final Gas Pool price for the year 2023-24 has been notified by GAIL and issued Debit note on 14-10-2025. NFCL recognized increase in Gas Costs by Rs. 1070.58 Lakhs as per Debit Note and correspondingly increased Urea Subsidy by Rs. 845.89 Lakhs for FY 2023-24. Accordingly, the increase in cost of raw material / power and fuel and consequent escalation of the subsidy revenues, respectively, belonging to FY 2023-24 have been accounted during the quarter. As there is no production from 4th June 2024 there is no revenue from Operations to be recognised for the current quarter. <BR> 12) Dealer Deposit: The Company has dealer deposits in books. Basis reconciliation, negotiation and settlement, the final amount payable / receivable will be finalized. <BR> 13) The Company has received certain claims from parties for settlement of dues including rentals (totalling to 41,86,02,859). The Company shall account the same appropriately. <BR> <BR> 14) "The figures for the corresponding previous periods have been regrouped, wherever necessary, to make them comparable with those of the current periods. " 2025-04-012025-12-31UnauditedStandalone000000000000000000-1702920000-1702920000-1702920000-170292000598065000100-0.28-0.28-0.28-0.28-0.0002-0.00850