Deepak Nitrite shares gain up to 6% after arm commissions ₹85 crore plant in Dahej, Gujarat

Shares of Deepak Nitrite Ltd. gained 6% on Tuesday, January 20, after the company said its wholly-owned subsidiary commissioned its nitration and second hydrogenation plant in Dahej, Gujarat.

Deepak Nitrite, in an exchange filing on Monday, said its materially wholly-owned subsidiary Deepak Chem Tech Ltd. had commissioned the said project. The total capital expenditure incurred for this project is around ₹85 crore as of the date of commissioning.

Last month, Deepak Chem Tech had commenced manufacturing operations at its nitric acid plant in Nandesari, Vadodara district, Gujarat.

The facility became functional on December 4, 2025. The total capital expenditure incurred for the plant was around ₹515 crore as of the commencement date.

In the second quarter, Deepak Nitrite's consolidated net profit declined nearly 39% to ₹118.7 crore from ₹194.2 crore in the previous year.

Its revenue declined 6.4% to ₹1,901.9 crore from ₹2,032 crore in the previous year.

The company's standalone profitability improved in the second quarter as its revenue from operations increased to ₹615.92 crore from ₹604.7 crore in the year-ago period.

Its profit before tax declined to ₹119.09 crore from ₹158.34 crore in the second quarter of the previous year. It improved from ₹40.93 crore in the previous quarter.

Shares of Deepak Nitrite have snapped a seven-day losing streak in today's trading session. The stock is bucking the trend in an otherwise weak market, gaining on strong volumes as well.

Despite this recovery, the stock is down over 7% in the month of January, and starting 2022, the stock has delivered negative returns in every January month.

Shares of Deepak Nitrite are trading 4.2% higher at ₹1,600.6. The stock is down 33% from its 52-week high of ₹2,405.

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