Dalmia Bharat Sugar: Q4FY25 Net Profit Jumps 126% on Strong Realisations, Share Price rises up to 9%

Profit Soars on High Realisations and Revenue Growth

Dalmia Bharat Sugar and Industries Ltd delivered a strong financial performance for the fourth quarter ended March 31, 2025, reporting a significant increase in net profit. The company's net profit for Q4 FY25 jumped 126% year-on-year to ₹206.3 crore, up from ₹91.3 crore in the corresponding quarter of the previous fiscal year. This substantial increase was primarily attributed to record-high average sales realisations and robust revenue generation. Following the announcement of these results, shares of Dalmia Bharat Sugar and Industries Ltd opened at ₹451.80 on Wednesday, up by 9.07%

Quarterly Operational and Financial Highlights

During Q4 FY25, Dalmia Bharat Sugar's revenue from operations saw a 35.7% surge, rising to ₹1,018 crore compared to ₹750 crore in the same period last year. At the operational level, EBITDA (Earnings Before Interest, Tax, Depreciation, and Amortisation) demonstrated strong growth, climbing 65.3% to ₹195 crore from ₹118 crore in Q4 FY24. This improvement was reflected in the EBITDA margin, which expanded to 19.2% in the reporting quarter, up from 15.7% previously.

Key operational metrics also showed positive trends. Sugar sales volume stood at 1.5 lakh metric tonnes (LMT) in Q4, with exports contributing 0.1 LMT, representing approximately 9% of the total volume. The company benefited from a favourable market environment, achieving an average net sales realisation (NSR) of ₹38.9 per kg, a 5% increase year-on-year. Ethanol production also saw a notable increase; the cane distillery produced 3.4 crore litres in Q4 FY25, a 31% volume increase compared to 2.6 crore litres in Q4 FY24. This was supported by the unrestricted diversion of sugar towards ethanol production via the B-heavy molasses and juice routes.

Full Year FY25 Performance Overview

For the full financial year FY25, Dalmia Bharat Sugar reported record-breaking revenue from operations totalling ₹3,746 crore, marking a 29% growth year-on-year. The company achieved an all-time high in domestic sugar sales volumes at 5.9 LMT, leading to a significant reduction in year-end sugar inventory, which stood at 3.8 LMT compared to 4.3 LMT in FY24. The average sales realisation for sugar for the full year also reached an all-time high of ₹38 per kg.

The grain distillery segment also contributed positively to the full-year performance, delivering 6.2 crore litres in FY25, a 72% year-on-year increase. This growth was supported by capacity expansion initiatives. For the full year, the company reported an EBITDA of ₹544 crore and a profit after tax (PAT) of ₹387 crore.

Financially, the company made notable progress in deleveraging its balance sheet, reducing total borrowings (current and non-current) by ₹386 crore, bringing the figure down from ₹1,430 crore to ₹1,044 crore.

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