E I D Parry India (EIDPARRY) Q3 24/25 earnings summary

Executive summary

• Global sugar supply-demand deficit widened to 2 million metric tons for 2024-25, driven by production cuts in Asia and Mexico, with Brazil and Russia also reporting lower output.

• Consolidated revenue for Q3 FY25 rose 12% YoY to ₹8,720 crore; EBITDA up 79% YoY to ₹811 crore; consolidated PAT after non-controlling interest at ₹195 crore, up from ₹118 crore YoY.

• Standalone revenue for Q3 FY25 was ₹848 crore (up from ₹668 crore YoY); standalone loss after tax at ₹146 crore, including a ₹77 crore impairment provision.

• For 9M FY25, consolidated revenue reached ₹24,797 crore (up from ₹23,856 crore YoY), EBITDA at ₹2,367 crore, and PAT after non-controlling interest at ₹592 crore (down from ₹679 crore YoY).

• Indian sugar production for 2024-25 is estimated at 30.25 million metric tons, down from 34 million metric tons last year, with further reductions expected due to lower yields in key states.

Financial highlights

• Sugar crushing for the quarter was 12.7 lakh metric tons, down from 17.8 lakh metric tons year-over-year; sugar production was 1.08 lakh metric tons versus 1.5 lakh metric tons.

• Sugar revenue was INR 392 crores, down from INR 435 crores; average selling realization was INR 38.31/kg, slightly lower year-over-year.

• Distillery segment Q3 revenue grew 64% YoY to ₹289 crore, benefiting from capacity expansion, though margins remain under pressure.

• Consumer Products Group Q3 revenue surged 72% YoY to ₹236 crore, driven by new staples portfolio; segment loss at ₹16 crore.

• Q3 FY25 standalone EBITDA: -₹19 crore (down from ₹24 crore YoY); 9M FY25 standalone EBITDA: ₹27 crore (down from ₹140 crore YoY).

Outlook and guidance

• Management expects robust sugar pricing in the coming quarters, supported by government export quotas and shortfall in production.

• Premiumization and quick commerce expected to drive consumer business growth in 2025.

• Distillery segment to leverage enhanced capacity utilization post-expansion.

• Macro headwinds include inflation and volatile input costs, but food price inflation is receding.

• Consumer product group aims for high single-digit to double-digit EBITDA margins as the business scales.