Q2FY21 Results by Dwarikesh Sugar Industries Limited

Results Highlights:

Mumbai, November 02, 2020: Dwarikesh Sugar Industries Ltd., today announced its unaudited financial results for the quarter and six months ended September 30, 2020. In Q2FY21, the company reported a total income of Rs. 418.62 crore, profit before tax of Rs. 23.73 crore and profit after tax of Rs. 17.74 crore registering 136% growth in total income and 275% growth in profit after tax as compared to same quarter last year. In H1FY21, the company reported total income of Rs. 859.44 crore, profit before tax of Rs. 49.25 crore and profit after tax of Rs. 35.83 crore registering 54% growth in total income and 45% growth in profit after tax as compared to corresponding period last year.

Estimated sugar production during the ensuing season 2020-21 is 33 million tons without considering sugar sacrifice in favor of ethanol and after considering sacrifice is 31 million tons. Domestic sugar prices are presently range bound between Rs. 3200 and Rs. 3300 per quintal.

Mr. Vijay S. Banka,

Managing Director,

Dwarikesh Sugar Industries Ltd.

Key Highlights of P&L statementSighlights of P&L Statement:

Figures in INR crore except EPS

• Sugar sold during Q2FY21 is 11.32 lakhs quintals (including export of 1.99 lakh quintals) as compared to 5.22 lakh quintals domestic sale of sugar during corresponding quarter last year.
• Sugar sold during H1FY21 is 23.88 lakhs quintals including export of 8.05 lakh quintals as compared to 17.29 lakh quintals including 3.66 lakh quintals of sugar exported during corresponding period last year
• During SS 2019-20, the company was allotted export quota of 14.00 lakh quintals sugar under MAEQ Scheme of the GOI which is completely executed.
• Sugar stock as on 30^th September 2020 was 17.66 lakh quintals as compared to stock of 17.15 lakh quintal as on 30^th September 2019.
• Ethanol sold during Q2 FY 21 and H1 FY 21 is 8,993 KL and 13,346 KL respectively as compared to 992 KL and 3,792 KL ethanol sold during corresponding periods last year. Company’s distillery capacity was expanded from 30 KL/day to 100 KL/day in December, 2019 and it is further being expanded from 100KL /day to 130 KL/day. Commercial production from expanded capacity is likely to commence from November/December, 2020.
• On 30^th September, 2020, the Company had outstanding long term loan of Rs. 217.74 crore including SEFASU 2018 (funded by the State Government of Uttar Pradesh to clear sugar cane dues of SS 2017-18) loan of Rs. 100.86 crore. Balance amount of Rs. 116.88 crore is the loan availed for the distillery project. All the outstanding long term loans are at concessional rate of interest.
• Long term rating accorded by ICRA is maintained at A+ with stable outlook and the short term rating accorded to the Company by ICRA for CP program of Rs. 300 crore is A1+
• The COVID-19 outbreak caused Pan-India disruption of businesses. The company has considered the possible impact of COVID-19 in preparation of financial results for the quarter and half year ended September, 2020 including internal & external factors as known to the company up to the date of approval of these results to assess and finalize the carrying amounts of its assets & Liabilities. The company will continue to closely monitor any material changes in the future economic conditions.
• Crushing Operations for SS 2020-21 commenced in two sugar plants of the Company in Bijnor district on 31st October and in the third sugar plant in Bareilly district it will commence on 7th November. We continue our efforts towards improving operating efficiencies and control costs.

";