EID Parry (India) Ltd.’s standalone net profit for the second quarter ended September rose 16% to ₹85 crore from the year-earlier period. Revenue from operations increased to ₹646 crore from ₹438 crore.
Sugar and distillery segments performed better in Q2 due to increased sales volumes and realisations and better sales mix in distillery, while the cogen profitability was impacted due to increase in coal prices, said MD S. Suresh.
Cane crushing volumes increased to 8.4 lakh metric tonnes from 6.6 lakh metric tonnes. The company operated a ‘special season’ in Tamil Nadu till October 2022 and exported 0.28 lakh metric tonnes.
On Friday, the board approved payment of interim dividend of ₹5.50 per share, which will be paid by November 23.
The company said it was also planning to set up a 120 kilo litres per day (KLPD) distillery and 35 TPH incinerator boiler at its Haliyal unit in Karnataka at a capital outlay of ₹181 crore.
The board approved the proposal to set up a new distillery as the existing one (417 KLPD) is operating at 90-95% capacity, EID Parry India said in a regulatory filing.
The new distillery will become operational by February 2024. It will be funded through internal accruals and borrowings.
The Centre has announced an ethanol blending progarmme of 20% by the year 2025. The company intends to avail of this opportunity by increasing its foray into ethanol production.
The proposed distillery will utilise sugarcane juice/syrup as its principal feedstock during the cane crushing season and also B-heavy molasses during off season for the manufacture of ethanol, it said.
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