Simbhaoli Sugars Limited has officially announced the closure of its cane crushing operations for the Sugar Season 2025-2026. The company informed stock exchanges about this operational development through a regulatory filing dated 02 March, 2026.

Operational Closure Details

The closure affects the company's Unit-Simbhaoli facility located in Hapur, Uttar Pradesh, which serves as the primary manufacturing base for the sugar producer. This announcement marks the conclusion of cane crushing activities for the current sugar season.

Regulatory Compliance

The disclosure was made pursuant to Schedule III of Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Company Secretary and Compliance Officer Jagriti Sharma signed the intimation, ensuring proper regulatory compliance for the operational update.

Company Profile

Simbhaoli Sugars Limited operates as a diversified sugar company with certifications including FSSC22000: version 6.1, ISO9001: 2015, and ISO14001: 2015. The company's business portfolio encompasses multiple segments:

• Specialty Sugars
• Potable Alcohol
• Ethanol
• Power generation

The company maintains its registered office at Simbhaoli, District Hapur, Uttar Pradesh, and continues to operate under the corporate identity number L15122UP2011PLC044210.

Simbhaoli Sugars Limited announced its unaudited standalone financial results for the quarter ended December 31, 2025, operating under the Corporate Insolvency Resolution Process (CIRP) that commenced on July 11, 2024. The company reported a net loss of ₹453.49 lakhs for the quarter, compared to a loss of ₹265.90 lakhs in the corresponding quarter of the previous year.

Financial Performance Overview

The company's revenue from operations declined significantly during the quarter, reflecting the challenging operational environment under CIRP proceedings.

For the nine months ended December 31, 2025, the company recorded a net loss of ₹3,684.50 lakhs on revenue of ₹66,782.67 lakhs, compared to a net loss of ₹2,353.85 lakhs on revenue of ₹78,696.08 lakhs in the corresponding period of the previous year.

Segment-wise Performance

The company operates through two primary business segments - Sugar and Distillery operations.

Both segments reported losses during the quarter, with the Sugar segment recording a loss of ₹377.43 lakhs and the Distillery segment posting a loss of ₹420.58 lakhs.

Corporate Insolvency Resolution Process Status

The Hon'ble National Company Law Tribunal (NCLT), Allahabad Bench, admitted the insolvency petition filed by Punjab National Bank on July 11, 2024, appointing Mr. Anurag Goel as the Interim Resolution Professional (IRP). Subsequently, the National Company Law Appellate Tribunal (NCLAT) issued an interim order on July 24, 2024, directing that no further steps be taken pursuant to the NCLT order while permitting the IRP to continue managing operations. The next hearing is scheduled for March 24, 2026.

Operational Challenges

The company faces several operational hurdles that have impacted its performance:

• Raw Material Availability: The Cane Area Reservation order issued on October 18, 2025, diverted 28 cane centres from Simbhaoli and 11 from Brijnathpur, with Chilwariya receiving zero allotment • Environmental Compliance: Central Pollution Control Board issued directions to stop manufacturing operations at Simbhaoli Distillery and Brijnathpur Distillery units • Equipment Issues: Turbine breakdown at Brijnathpur unit affected mill operations

Auditor Qualifications

The independent auditor's limited review report contained several qualifications, including:

• No provision for interest expenses on bank borrowings amounting to ₹8,941.03 lakhs for the quarter • Accumulated unprovided interest expenses totaling ₹2,01,022.71 lakhs as of December 31, 2025 • Non-provision of interest on delayed sugarcane payments to farmers amounting to ₹12,163.25 lakhs • Absence of impairment assessment for investments in subsidiary companies

Financial Position

As of December 31, 2025, the company's total assets stood at ₹1,76,706.77 lakhs, while total liabilities amounted to ₹1,85,066.42 lakhs. The company's net worth remains fully eroded, with current liabilities exceeding current assets, indicating continued financial distress despite ongoing resolution efforts under the IRP's management.