Shree Renuka Sugars Limited has commenced the remote e-voting process for a material related party transaction with AWL Agri Business Limited. The proposed marketing arrangement involves the sale, marketing, and distribution of sugar manufactured by the company under the Madhur brand. The aggregate estimated transaction value over the five-year term is ₹3,072.1 Crores.

The transaction requires shareholder approval as it exceeds the materiality threshold defined under Regulation 23 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company's annual consolidated turnover for FY 2025-26 was ₹9,168.90 Crores, rendering the proposed deal material. The arrangement is set to commence on July 1, 2026, for a duration of five years.

Under the terms of the agreement, Shree Renuka Sugars will supply at least 100,000 metric tonnes of Madhur Sugar per annum to AWL. The company will retain ownership of the Madhur trademark and related intellectual property, while AWL will have rights to use the brand for marketing and distribution. AWL will pay royalty to Shree Renuka Sugars at 1% of sales of sugar manufactured and sold by the company, and 0.5% on sales of sugar sourced by AWL from third parties.

The schedule for the postal ballot e-voting has been finalized. The remote e-voting period begins on May 30, 2026, at 9:00 a.m. IST and concludes on June 28, 2026, at 5:00 p.m. IST. The results of the postal ballot are expected to be declared on or before June 30, 2026. The cut-off date for determining shareholder eligibility is May 27, 2026.

Key Transaction Details

The Audit Committee of the Board reviewed the proposal and noted that the transaction is on an arm's length basis and in the ordinary course of business. The Board, at its meeting held on May 19, 2026, recommended the ordinary resolution for shareholder approval. CS Tehseen Fatima Khatri of M/s. T. F. Khatri & Associates has been appointed as the Scrutinizer to monitor the e-voting process.

Shree Renuka Sugars Limited, a Wilmar Group company and one of India's largest sugar producers and refiners, reported audited standalone and consolidated financial results for the quarter and year ended March 31, 2026. The Board of Directors approved the results at its meeting held on May 8, 2026, following a review by the Audit Committee on May 7, 2026. The statutory auditors, S R B C & CO LLP, issued audit reports with unmodified opinions on both standalone and consolidated financial results. Pursuant to Regulation 47 and 52(8) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the company submitted newspaper publications of the audited standalone and consolidated financial results — published in Financial Express (English) and Kannada Prabha (Kannada) on May 10, 2026 — to the National Stock Exchange of India Limited and BSE Limited.

Consolidated Financial Performance

On a consolidated basis, the company recorded a significantly wider net loss for FY26 compared to the previous year. Total revenue from operations declined to INR 91,689 million from INR 109,143 million in FY25, while total income fell to INR 93,053 million from INR 110,409 million. Total expenses stood at INR 101,776 million against INR 114,035 million in the prior year. The following table summarises the key consolidated financial metrics:

For the quarter ended March 31, 2026, consolidated revenue stood at INR 25.4B compared to INR 27B in the corresponding prior-year quarter. The consolidated loss before tax for the quarter was INR 1,532 million, compared to a profit before tax of INR 909 million in the quarter ended March 31, 2025. Net loss for the quarter stood at INR 1,214 million versus a net profit of INR 916 million in the corresponding prior-year quarter.

Standalone Financial Performance

The standalone results also reflected a deterioration in performance. Revenue from operations declined to INR 85,220 million in FY26 from INR 1,02,794 million in FY25. The standalone net loss for FY26 widened to INR 6,989 million from INR 2,558 million in FY25. Key standalone metrics are presented below:

For the standalone quarter ended March 31, 2026, loss before tax was INR 1,754 million compared to a profit before tax of INR 659 million in the same quarter of the prior year.

Segment-Wise Performance

Across consolidated segments for FY26, the sugar refinery segment remained the largest revenue contributor at INR 61,022 million, though down from INR 74,912 million in FY25. The sugar milling segment reported revenue of INR 28,270 million versus INR 31,793 million in the prior year. The distillery segment generated INR 9,233 million compared to INR 10,094 million previously. Segment-wise revenue details are as follows:

In terms of consolidated segment results (profit/loss before tax, finance cost, other income, and foreign exchange), the sugar refinery segment reported a profit of INR 1,137 million in FY26 versus INR 4,087 million in FY25. The sugar milling segment posted a loss of INR 851 million against a profit of INR 112 million in FY25. The engineering segment reported a loss of INR 449 million compared to a loss of INR 109 million in the prior year.

Balance Sheet and Going Concern

As at March 31, 2026, the standalone balance sheet reflected total assets of INR 71,570 million against INR 86,602 million in the prior year. Total standalone equity stood at INR (12,455) million, with standalone outstanding debt at INR 55,664 million compared to INR 44,702 million in FY25. On a consolidated basis, total assets were INR 74,124 million versus INR 88,377 million, and total consolidated equity was INR (26,766) million.

The company noted that as at March 31, 2026, current liabilities of the standalone entity exceeded current assets by INR 21,145 million, and the Group's current liabilities exceeded current assets by INR 34,066 million. The Group's negative net worth stood at INR 26,766 million. All term loans, External Commercial Borrowings, and working capital loans (except working capital loans of INR 18,111 million) are secured by a corporate guarantee from the ultimate holding company, Wilmar International Limited. Working capital loans of INR 11,996 million are secured by a charge against current assets and a letter of comfort from Wilmar International Limited. The Board of Directors of Wilmar Sugar and Energy Pte Ltd. has also provided a letter of support to meet shortfalls in normal trade-related working capital requirements. On this basis, the company and the Group have prepared their financial results on a going concern basis.

Impairment and Other Key Developments

During the quarter ended March 31, 2026, the company recognised an impairment loss of INR 2,948 million for its integrated milling division following an impairment assessment. Given that the company follows the revaluation model for property, plant and equipment and holds an existing revaluation surplus for this division, the impairment loss was accounted for as a revaluation decrease in Other Comprehensive Income. The amount of revaluation reserve as at March 31, 2026, on a standalone basis, was INR 5,613 million, and on a consolidated basis was INR 6,353 million.

Additionally, during the quarter ended March 31, 2026, the standalone entity recognised income of INR 353 million due to reversal of cane provisions determined by management as no longer payable, included in cost of materials consumed. The consolidated entity recognised INR 376 million on the same account. The asset cover for non-convertible debentures (NCDs) stood at 1.57, with NCDs secured by an exclusive charge on the movable and immovable assets of the Panchaganga and Haldia plants. The subsidiary in Ethiopia, Shree Renuka East Africa Agriventures PLC, was struck off by cancellation of its investment permit on March 17, 2026, following Board approval in February 2025; FEMA compliance procedures are ongoing.