Balrampur Chini Mills (BALRAMCHIN) Q3 24/25 earnings summary

Executive summary

• Sugar segment delivered strong results with improved margins, despite lower recovery rates due to adverse weather, while the distillery segment faced challenges from lower alcohol recovery and government ethanol pricing policies impacting profitability.

• PLA bioplastics project remains on schedule, with capacity increased to 80,000 TPA and capex revised to ₹2,850 crore (net ₹1,750 crore after subsidy), supported by state incentives and expected to enhance long-term value creation.

• Board approved unaudited financial results for Q3 and 9M FY25, and new employee stock schemes, with the Risk Management Committee reconstituted.

Financial highlights

• Cane crushing rose 10.4% year-over-year, but sugar recovery dropped by 48 basis points due to adverse weather.

• Q3 FY25 consolidated revenue was ₹1,230.4 crore, up from ₹1,192.2 crore year-over-year; PBT rose to ₹123.2 crore (10.0% margin) from ₹92.3 crore (7.5%).

• Standalone revenue from operations for Q3 FY25 was ₹119,215 lakhs, down from ₹123,039 lakhs in Q3 FY24; net profit was ₹6,273 lakhs, up from ₹6,031 lakhs.

• Interim dividend of ₹3 per share paid during the quarter.

Outlook and guidance

• Sugar production for the season is estimated at 9.4–9.5 lakh tons, with sales dependent on government releases; domestic sugar prices expected to remain robust.

• PLA project commissioning is scheduled for October 2026/Q3 FY27, targeting 80,000 TPA, ₹2,000 crore revenue at full scale, and 35%+ EBITDA margin.

• Ethanol production for FY25 is guided at 21.5–22.5 crore liters, with 4 crore liters from juice route; government ethanol pricing policy may challenge future distillery expansion.