Dhampur Bio Organics profit rises on unit sale in Q1FY27

2 min read     Updated on 16 Jul 2026, 12:34 AM
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Reviewed by
Riya DScanX News Team
AI Summary

Dhampur Bio Organics reported a consolidated net profit of ₹36.79 crore for Q1FY27, reversing a net loss of ₹22 crore in the same period last year, primarily due to a one-time gain of ₹63.89 crore from the sale of its Meerganj manufacturing unit. Consolidated revenue from operations increased to ₹918.56 crore from ₹750.64 crore, while standalone revenue net of excise grew 4.51% to ₹553.88 crore. The Country Liquor segment led revenue growth, and the company reduced its long-term debt by ₹93 crore during the quarter.

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Dhampur Bio Organics reported a consolidated net profit of ₹36.79 crore for the quarter ended June 30, 2026, a significant turnaround from the net loss of ₹22 crore in the corresponding period of the previous year. This recovery was driven by a one-time gain from the sale of a manufacturing unit and robust revenue growth across its continuing operations. The Board of Directors approved the unaudited standalone and consolidated financial results for the quarter on July 14, 2026.

Financial Performance

The company's consolidated revenue from operations for Q1FY27 stood at ₹918.56 crore, up from ₹750.64 crore in the same quarter last year. Total income from operations, including other income, rose to ₹919.77 crore. On a standalone basis, revenue from operations increased to ₹939.55 crore from ₹788.15 crore in the previous year.

A key factor contributing to the profitability was the gain from the sale of the Meerganj sugar manufacturing unit. The company sold the undertaking on a slump sale basis for an aggregate consideration of ₹305 crore, resulting in a gain of ₹63.89 crore. This operation has been classified as discontinued operations.

Metric (Consolidated) Q1FY27 (₹ in Crore) Q1FY26 (₹ in Crore)
Revenue from Operations 918.56 750.64
Total Income 919.77 752.13
Net Profit 36.79 (22.00)

Segment and Operational Details

The company operates across three main segments: Sugar, Bio Fuels & Spirits, and Country Liquor. The Country Liquor segment was the top revenue contributor, generating ₹489.08 crore in the quarter. The Sugar segment reported revenue of ₹371.32 crore, while Bio Fuels & Spirits contributed ₹80.78 crore.

The Board also approved the appointment of M/s Grant Thornton Bharat LLP as the Internal Auditor for the financial year 2026-27. The statutory auditors, Mittal Gupta & Co., performed a limited review of the unaudited financial results and issued an unmodified conclusion. The company noted that sugar is a seasonal industry, and quarterly performance may not be representative of the annual results.

Investor Presentation Highlights

According to the investor presentation for Q1FY27, standalone revenue net of excise was ₹553.88 crore, a 4.51% year-on-year increase. EBITDA stood at ₹12.28 crore with a margin of 2.22%. Profit after tax (PAT) for the quarter was ₹38.40 crore, which includes the gain from discontinued operations. The company repaid long-term loans of ₹93 crore during the quarter, reducing long-term debt to ₹197 crore as on June 30, 2026.

Historical Stock Returns for Dhampur Bio Organics

1 Day5 Days1 Month6 Months1 Year5 Years
+3.63%+20.38%+4.01%+18.65%+53.72%-29.90%

How will the sale of the Meerganj unit impact Dhampur Bio Organics' future production capacity and operational strategy?

What are the company's plans for utilizing the proceeds from the ₹305 crore sale of the manufacturing unit?

Will the company continue to reduce its long-term debt, or are there plans for reinvestment in core segments?

Dhampur Bio Organics completes acquisition of 74% equity shares in DBION Private Limited

1 min read     Updated on 12 Jul 2026, 09:07 PM
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Reviewed by
Suketu GScanX News Team
AI Summary

Dhampur Bio Organics has acquired a 74% stake in DBION Private Limited for ₹74,000, purchasing 7,400 equity shares at ₹10 each. The acquisition, completed on July 09, 2026, makes DBION a subsidiary and joint venture under an agreement with Orgonew Private Limited.

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Dhampur Bio Organics has completed the acquisition of a 74% stake in DBION Private Limited, formerly known as Sonitron Chemicals Private Limited, for a total consideration of ₹74,000. This strategic move, executed on July 09, 2026, transforms DBION Private Limited into a subsidiary of Dhampur Bio Organics and establishes it as a joint venture company under an agreement with Orgonew Private Limited.

Transaction Details

The acquisition involved the purchase of 7,400 equity shares at a rate of ₹10 each. This transaction represents 74% of the paid-up equity share capital of DBION Private Limited. The deal was structured in accordance with the Joint Venture Agreement entered into with Orgonew Private Limited.

Parameter Details
Acquiring Entity Dhampur Bio Organics
Target Company DBION Private Limited
Former Name Sonitron Chemicals Private Limited
Stake Acquired 74%
Shares Acquired 7,400 equity shares
Price Per Share ₹10
Total Consideration ₹74,000

Strategic Implications

With this acquisition, Dhampur Bio Organics secures a controlling interest in DBION Private Limited. The entity will now function as a subsidiary and a joint venture, allowing the acquirer to exercise significant influence over its operations and strategic direction. The completion follows prior board approvals on April 20, 2026, and May 30, 2026.

Historical Stock Returns for Dhampur Bio Organics

1 Day5 Days1 Month6 Months1 Year5 Years
+3.63%+20.38%+4.01%+18.65%+53.72%-29.90%

What are the specific synergies Dhampur Bio Organics expects to realize by integrating DBION Private Limited into its operations?

How will the joint venture structure with Orgonew Private Limited influence future strategic decision-making for the subsidiary?

What are the projected financial contributions of DBION Private Limited to Dhampur Bio Organics' revenue in the upcoming fiscal year?

More News on Dhampur Bio Organics

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