Q4FY21 Result Update - Dwarikesh Sugar - ICICI Direct

Dwarikesh Sugar (DWL) reported strong results with 29.9% revenue growth led by 25.6% growth in sugar revenues & 100.5% growth in distillery sales. It sold 1.52 lakh tonnes (lt) of sugar in Q4, including 0.8 lt of exports. Domestic realisation was down 2.5% to Rs. 31.2/kg mainly due to peak crushing season & low winter demand. Distillery volumes grew 75.3% to 1.28 lt on the back of smooth offtake by OMCs & ramping up of utilisation of 130 KLD distillery. Moreover, distillery realisation increased 13.6% to Rs. 57.6 /litre given the company has sold only B-heavy ethanol during the quarter. Operating profit increased 47.3% to Rs. 82.4 crore with strong sales of B-heavy ethanol, which fetches ~25% more realisation compared to conventional C-heavy ethanol. With strong growth in operating profit & stable interest cost, PBT increased 70.5% to Rs. 63.3 crore. PAT grew slower at 8.8% due to tax write back in base quarter. DWL generated Rs. 295 crore of cash flow from operations in FY21E mainly due to strong profitability & inventory reduction. Further, it has been able to reduce total debt by ~Rs. 230 in the last one year.

For details, click on the link below: Link to the report

Shares of DWARIKESH SUGAR INDUSTRIES LTD. was last trading in BSE at Rs.55.35 as compared to the previous close of Rs. 51.1. The total number of shares traded during the day was 685626 in over 3126 trades.

The stock hit an intraday high of Rs. 56 and intraday low of 50.55. The net turnover during the day was Rs. 37197504.

Source : Equity Bulls

Keywords