Dhampur Sugar Mills reported a significant turnaround in its consolidated financial results for Q1FY27, with net profit attributable to shareholders surging to ₹6.03 crore from ₹0.85 crore in the corresponding quarter of FY26. The company’s profit before tax (PBT) rose sharply to ₹8.24 crore from ₹1.30 crore year-on-year, reflecting improved operating efficiencies and favorable pricing in key segments. Consolidated revenue from operations increased by 6.1% to ₹786.17 crore from ₹740.68 crore, supported by higher sugar sales volumes and better realizations.

The improvement in profitability was primarily driven by the sugar business, which returned to positive EBIT of ₹7.52 crore from a loss of ₹3.10 crore in Q1FY26. This reversal was aided by an increase in sugar sales to 0.85 lakh tons from 0.80 lakh tons and a rise in average realization to ₹41,202 per ton from ₹39,999 per ton. Additionally, the ethanol segment contributed positively with an EBIT of ₹10.68 crore, up from ₹8.76 crore, due to lower production costs for maize-based ethanol. The chemicals business also saw margin expansion, with EBIT rising to ₹4.72 crore from ₹1.54 crore.

Segment-Wise Performance

The company’s diversified business portfolio showed mixed trends, with sugar and chemicals leading the growth while power exports declined due to early closure of the crushing season.

Note: Potable spirits revenue is net of excise duty.

Sugar accounted for 64.63% of total revenue in Q1FY27, up from 61.09% in Q1FY26. The ethanol segment saw a decline in sales volume to 151.53 lakh base liters (BL) from 182.39 lakh BL, though margins improved. Power exports dropped significantly to 0.36 crore units from 0.95 crore units, impacting the segment’s EBIT to ₹0.90 crore from ₹5.48 crore.

Operational Highlights

Key operational metrics for Q1FY27 reflect seasonal variations and strategic shifts in feedstock usage:

• Sugar: Cane crushed was 0.44 lakh tons vs. 1.70 lakh tons in Q1FY26. Gross recovery stood at 10.68% vs. 12.60%. Inventory reduced to 0.99 lakh tons from 1.27 lakh tons.
• Ethanol: Total production was 161.57 lakh BL vs. 177.10 lakh BL. Maize-based ethanol production declined to 63.17 lakh BL from 79.21 lakh BL, while rice-based ethanol production added 22.72 lakh BL.
• Chemicals: Sales volume increased to 86.48 lakh kg from 78.52 lakh kg, contributing to higher margins.
• Power: Generation was 1.87 crore units vs. 3.13 crore units. Realization decreased slightly to ₹4.40 per unit from ₹4.44 per unit.

What the Numbers Show

The most striking aspect of Dhampur Sugar Mills’ Q1FY27 performance is the decoupling of revenue growth from profit growth. While revenue grew modestly by 6.1%, net profit surged over sixfold. This divergence highlights significant operating leverage gained through cost management in ethanol and chemicals, alongside pricing power in sugar. The return to profitability in the sugar segment after a loss-making quarter last year underscores the impact of higher realizations and efficient inventory management. However, the decline in power exports and ethanol volumes indicates potential headwinds in these segments, suggesting that future growth will depend heavily on sustaining sugar margins and expanding chemical sales.

The company’s consolidated EBITDA margin expanded to 4.72% from 4.17%, while PAT margin improved to 0.77% from 0.12%. Cash profit rose to ₹18.66 crore from ₹14.34 crore, indicating strong underlying cash generation despite the seasonal nature of the business.

Dhampur Sugar Mills Limited has convened its 91st Annual General Meeting (AGM) scheduled for Wednesday, 26th August, 2026 at 03:00 P.M. IST, to be held through Video Conferencing (VC)/Other Audio Visual Means (OAVM) in compliance with applicable circulars issued by the Ministry of Corporate Affairs and the Securities and Exchange Board of India. The meeting will be deemed conducted at the Company's Registered Office at P.O. Dhampur, District Bijnor - 246761, U.P.

Financial Performance: FY 2025-26

The company delivered an improved financial performance for the year ended 31st March 2026. The following table summarises the key consolidated financial metrics:

Aggregate sales increased by 5.69% to ₹2,807.57 Crores in FY 2025-26. The company reported a 5.01% higher EBITDA and net worth strengthened by 3.91% during the year. Cash and liquid investments stood at ₹267.95 Crores at the close of FY 2025-26.

Segment-wise Revenue Performance

The company's diversified revenue architecture — spanning sugar, ethanol, co-generated power, chemicals, and potable spirits — provided resilience during the year.

Potable spirits revenues expanded significantly on production of 33.11 Lakh cases, supported by full-year utilisation of the tetrapack machine installed in December 2024. Ethanol revenues declined due to lower sales and a higher closing inventory of 113.09 Lakh BL.

AGM Agenda: Ordinary and Special Business

The AGM Notice, issued under Regulations 30, 34 and 36 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, covers the following items:

Ordinary Business:

• Adoption of audited standalone and consolidated financial statements for FY 2025-26
• Confirmation of interim dividend of 20% i.e. ₹2.00 per Equity Share of ₹10 each as final dividend for FY 2025-26
• Re-appointment of Mr. Subhash Pandey (DIN: 10330701), who retires by rotation

Special Business:

Key Dates and E-Voting Schedule

Shareholder Returns and Capital Allocation

During FY 2025-26, the Board approved a buyback of equity shares aggregating ₹18.92 Crores — the company's second buyback in consecutive years — alongside the interim dividend of ₹2.00 per equity share translating into a cash distribution of ₹12.86 Crores. The Board of Directors at its meeting held on 16th May, 2025 approved the buyback of up to 10,81,081 equity shares at a price of ₹185 per equity share for an aggregate amount of up to ₹20 Crores. All bought-back equity shares were extinguished on 17th June, 2025, and the paid-up equity share capital stood at 6,43,06,509 equity shares as on 31st March, 2026.

Credit Ratings and Strategic Developments

India Ratings and Research reaffirmed the company's ratings across all key instruments. The Issuer Rating, Term Loan and Fixed Deposit ratings remained at IND AA-. Working Capital Limits and Commercial Paper were reaffirmed at IND A1+. During the year, the company executed a Share Purchase Agreement to acquire 4,72,87,537 equity shares of Venus India Asset-Finance Private Limited, representing 51% of its issued and paid-up equity share capital, subject to regulatory approvals including from the Reserve Bank of India. The Notice of AGM along with the Annual Report for FY 2025-26 is available on the Company's website at www.dhampursugar.com .