E I D Parry India (EIDPARRY) Q1 25/26 earnings summary

Executive summary

• Global sugar market remains in mild surplus through 2025-2026, with increased production in Brazil, India, and Thailand, but risks persist due to weather and price volatility.

• Q1 FY26 consolidated revenue from operations was Rs. 8,724 crore, up 29% year-over-year, with EBITDA rising 70% to Rs. 895 crore and consolidated profit after tax at Rs. 246 crore, up from Rs. 91 crore last year.

• Q1 FY26 saw improved cane volumes and higher average realizations, but lower overall sales due to reduced domestic release orders.

• Focus areas include biofuels/bioenergy, consumer product group, and cost optimization, with consolidation in ethanol and ongoing product development in consumer products.

• Standalone revenue was Rs. 760 crore, nearly flat year-over-year, with EBITDA at Rs. 14 crore and a reduced standalone loss after tax of Rs. 28 crore.

Financial highlights

• Sugar segment revenue for Q1 FY26 was Rs. 1,258 crore, with improved realizations but lower volumes.

• Distillery segment revenue grew to Rs. 296 crore, up 12% year-over-year, with 413 lakh liters sold and profit rising to Rs. 20 crore.

• Consumer product group Q1 FY26 revenue was Rs. 192 crore, down 11% year-over-year, with staples within the segment growing 33%.

• Refinery operations Q1 FY26 sales were 2.02 LMT, revenue $106 Mn, EBITDA $3.1 Mn, and PBT $0.08 Mn after extraordinary items.

• Consolidated nutraceuticals business Q1 FY26 revenue was Rs. 27 crore, down 53% year-over-year, with a PBIT loss of Rs. 10 crore.

Outlook and guidance

• Positive outlook for sugarcane crushing in Karnataka due to good monsoon; Tamil Nadu expected to remain neutral.

• No immediate capacity expansion plans; recent ethanol CapEx cycle concluded, with future expansion contingent on policy clarity.

• Ethanol blending target of 20% by ESY 2025-26, with 18.93% achieved as of June 2025.

• Company remains optimistic about government direction on ethanol blending and is monitoring for potential ethanol price hikes.

• Indian government partially lifted sugar export ban, allowing 10 LMT exports for 2024-25; only 6 LMT contracted due to high local prices.