Shree Renuka Sugars Ltd.’s total income up by 40% in Q4 FY23

Company recorded total Sugar volumes up by 41%, Refinery Exports up by 19% and Ethanol Sales up by 20%

Shree Renuka Sugars Limited – one of India’s largest sugar and green energy (ethanol and renewable power) producer and a subsidiary of Wilmar Sugar Holdings Pte Ltd, Singapore – has reported its financial performance for the quarter and year ended March 31, 2023.

Highlights of the results for the quarter and Annual are summarized below –

Highlights – Q4 & Annual Performance FY23

Annual Revenue for FY23 up by 40 per cent over the previous year from Rs 62,091 Mn to Rs 86,862 Mn. Refinery contributed 67 per cent of the top line.

EBITDA for the year stood at Rs 7,197Mn, an increase of 51 per cent over the last year of Rs 4,781 Mn.

Distillery produced during the year, 19.6 Crores litres recording a growth of 19 per cent. Despatches up by 20 per cent to a record 19 Crore litres.

Expanded ethanol production capacity from 720KLPD to 1250 KLPD was commissioned in March 2023. The full impact of the expanded capacity would be available in the ensuing financial year.

Loss before exceptional items narrowed down from Rs (1,299 Mn) to Rs (1,227 Mn) decrease of 6 per cent, despite finance cost going up by 49 per cent.

At Consolidated level for the FY23, the total income went up by 40 per cent over the previous year from Rs 65,016 Mn to Rs 91,065Mn. The overall EBITDA stood at Rs 7,196 Mn up by 45 per cent as compared to Rs 4,971 Mn during the previous year.

Atul Chaturvedi, Executive Chairman said, “The company performance displayed strong momentum, anchored by domestic sugar and ethanol businesses despite early closure of crushing season. Domestic demand growth, improved capacity utilization and higher net realization, especially in sugar and refinery businesses, resulted in stable Q4 performance. Our total income has increased by 40% over the previous year. The expanded ethanol production capacity from 720KLPD to 1250 KLPD was commissioned in March 2023 and its full benefit is expected to be visible from the next financial year onwards. The company resilience is driven by its business model and strategy with improving capacity expansion and utilization.”

 Sunil Ranka, Chief Financial Officer commented, “Shree Renuka Sugars has delivered a stable financial performance driven by the highest ever strong topline and EBITDA growth of about 51 per cent. Though our Company’s EBITDA is better amongst the peers, stress in US & European Banks adversely influenced the domestic interest rates and kept the Rupee weak, thus resulting in higher interest burden and impacting the profitability of the Company. Our new bioethanol capacity expansions and increased market share of branded sugar are rebuilding our business to rejuvenate our growth story. We reaffirm our commitment to maximizing our growth and profitability.”

Company recorded total Sugar volumes up by