EID Parry India Ltd, a prominent sugar manufacturer based in Chennai, has reported a consolidated profit after tax (PAT) of ₹294.30 crore for the quarter ending March 31, 2024. This marks a slight increase from the ₹286.90 crore registered in the same period last year.
![S Suresh](https://themachinemaker.com/wp-content/uploads/2024/05/S-Suresh.jpg)
Commenting on the company’s performance, Managing Director S Suresh noted, “The operating performance of the standalone sugar division was lower during the year compared to the previous year due to nil exports, higher cane costs, lower recovery from cane, and a change in the distillery product mix driven by government policy changes.”
The total cane crushed marginally decreased from 51.81 LMT (lakh metric tonnes) to 50.09 LMT, while sugar sales also fell from 5.20 LMT to 4.64 LMT.
For the financial year ending March 31, 2024, the company reported a consolidated PAT of ₹1,617.57 crore, down from ₹1,827.74 crore the previous year. The consolidated total income for the quarter under review dropped to ₹5,680.02 crore from ₹6,865.28 crore in the same quarter last year. For the full financial year, consolidated total income declined to ₹29,716.92 crore from ₹35,283.02 crore a year ago.
The Murugappa Group company stated that the consolidated sugar operations reported an operating profit of ₹161 crore for the January-March 2024 quarter, compared to ₹176 crore in the same period last year. The farm inputs division registered an operating profit of ₹315 crore, down from ₹432 crore in the previous year. The nutraceuticals division, however, saw a turnaround with an operating profit of ₹16 crore, against a net loss of ₹54 crore in the corresponding quarter last fiscal year.
Suresh highlighted that the company’s expansion in the distillery segment, with 165 KLPD (kiloliters per day) capacities in Haliyal, Karnataka, and Nellikuppam near Cuddalore, Tamil Nadu, has reached an advanced stage and will be fully operational by Q1 FY2024-25. Additionally, EID Parry has ventured into the staples market during Q4 of FY2023-24.
The nutraceuticals division faced setbacks due to certification issues restricting sales to Europe, leading to losses during the year. “However, such certification issues are expected to be resolved in the near future,” Suresh added optimistically.
Despite the challenges, the company remains committed to leveraging its strengths in the sugar and allied sectors while exploring new growth opportunities in staples and nutraceuticals to drive future profitability and sustainability.