Shree Renuka Sugars stays resilient with record turnover and EBITDA
Shree Renuka Sugars Ltd posted a consolidated net loss of Rs 1117 Mn for the fourth quarter ended March 31, compared with a profit of Rs 446 Mn a year earlier, due to higher expenses.
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Shree Renuka Sugars Limited - one of India’s largest sugar and green energy (ethanol and renewable power) producers - recorded a revenue increase by 25 per cent from Rs 91,06.5 Mn to Rs 1,13,674 Mn in the quarter and year ended March 31, 2024.
SRSL, a subsidiary of Wilmar Sugar and Energy Pte Ltd (formerly known as Wilmar Sugar Holdings Pte Ltd) Singapore, also said that its EBITDA for the year stood at Rs 7,560 Mn, marking an increase of 5 per cent over the last year of Rs 7,196 Mn.
Shree Renuka Sugars Ltd posted a consolidated net loss of Rs 1117 Mn for the fourth quarter ended March 31, compared with a profit of Rs 446 Mn a year earlier, due to higher expenses.
During the year, the company strategically invested Rs 3,450 Mn in Anamika to derisk the business geographically, an SRSL pressnote said, adding that PBT loss for the year widened to negative Rs 4,618 Mn vs negative Rs 1,796 Mn over last year.
The company said the refinery division delivered strong performance due to firm international sugar prices and high export volumes. The ethanol and Sugar segment was a drag due to restrictive government policy on Ethanol.
Executive Chairman Atul Chaturvedi said, “The company has displayed strong momentum, anchored by the Refinery division’s strong performance driven by firm international sugar prices and high export volumes. The domestic business was impacted due to lower production and sales volumes on account of drought-induced low cane availability and restrictive policies on Ethanol.
"Our flagship Consumer Pack brand Madhur continued to grow. Further, higher net realization especially in domestic sugar and refinery businesses resulted in stable Q4 performance. Our consolidated total income has increased by 25 per cent over the previous year. The company’s resilience is driven by its robust business model."
Chief Financial Officer Sunil Ranka said, “Shree Renuka Sugars has delivered a stable financial performance driven by the strong topline and consolidated EBITDA growth of 5 per cent. Though our company’s EBITDA is comparable amongst its peers, the interest cost has escalated due to the upward movement in the borrowing rates along with additional working capital requirements for our refinery division thereby resulting in higher interest burden and impacting the profitability of the company.
Shree Renuka Sugars Limited is one of the largest sugar and green energy (ethanol and renewable power) producers in India. The company is a leader in the branded sugar segment in the country and the largest sugar refiner in India. The company has its corporate office in Mumbai (Maharashtra, India) and its Head Office in Belgaum (Karnataka, India).
The company operates in the sugar, ethanol and power segment and has seven integrated sugar mills in sugar sugar-rich belt of South and West India and the largest mover of sugar in the country from its two port-based refineries in India.
