Zuari Industries Limited announces financial results for Q3 FY24

Zuari Industries Limited (BSE: 500780 and NSE: ZUARIIND) - the apex company of the Adventz Group, declared its financial results for the quarter ended 31st December 2023.

Performance Highlights:

- Total Income from operations in Q3 FY24: INR 100.4 Cr.
- Sugar recovery increased to 9.74% Vs 9.32% (Q3 FY23).
- Sugar production stood at 3.19 Lakh Qtls vs 3.22 Lakh Qtls (Q3 FY23).
- Power production was at 332.8 Lakh Units vs 403.9 Lakh Units (Q3 FY23), lower due to equipment restoration activities.
- Ethanol production stood at 3,988 KL vs 5,316 KL (Q3 FY23) due to change in the ethanol policy by Govt of India.
- Interim dividend income of INR 26.7 Cr from Chambal Fertilizers and Chemicals Ltd.

Operational Highlights:

- Sugar sales were lower by 1.76 Lakh Qtls (Q-o-Q) owing to lower quota allocation and continued restriction on exports by the Govt. of India. The effect of lower sales of sugar was partially offset by higher realization in sugar prices.

- Towards the end of the quarter, the changes in ethanol policy by the Govt. of India also impacted the production of ethanol from sugar syrup.

- Income from Operations of the Real Estate (RE) division has increased by 12.8 Cr on account of the sale of land parcels.

Consolidated Financial Performance

- The Company's consolidated income for the quarter ended 31st December 2023 stood at Rs. 195.21 Cr

- The Consolidated EBITDA and PBT (before exceptional items) for Q3 FY 24 stood at Rs. 62.6 Cr and Rs. (16.2) Cr compared with Rs. 22.8 Cr and Rs. (46.6) Cr in Q3 FY 23, respectively.

Commenting on the Results, Mr Athar Shahab, Managing Director, Zuari Industries, said: "Despite policy headwinds, we were able to close the quarter with good performance. Sugar recovery stood at 9.74% and the sales realization were higher than last year. We have also been able to reduce our borrowing cost by replacing high-cost debt with cheaper sources of funds.

Our new grain-based distillery venture with Envien International has finally taken shape and Zuari Envien Bioenergy Private Limited (ZEBPL) became a JV company. Looking at the performance of 9M FY24, we have fared well on significant operational and financial metrices.

We will continue to focus on improving our operational efficiency, deleveraging plans, implementing digitalization initiatives and looking for new opportunities."

Shares of Zuari Global Limited was last trading in BSE at Rs. 260.30 as compared to the previous close of Rs. 248.80. The total number of shares traded during the day was 13218 in over 425 trades.

The stock hit an intraday high of Rs. 265.10 and intraday low of 249.55. The net turnover during the day was Rs. 3452407.00.

Source : Equity Bulls

Keywords

ZuariIndustries INE217A01012 Q3FY24 9MFY24 ResultUpdate