Multibagger Update: Dwarikesh Sugar declares positive set of numbers
Dwarikesh Sugar Industries Ltd announced its audited financial results for the quarter and fiscal year ended March 31, 2021.
On Tuesday, Dwarikesh Sugar Industries Ltd announced its audited financial results for the quarter and fiscal year ended March 31, 2021. The CMP of the stock is Rs 123.50. The stock appreciated by 65.77 per cent in the last six months whereas in the past one year, it has given a staggering return of 146.51 per cent. The company declared the highest-ever dividend interim dividend at 200 per cent.
In Q4FY22, the company recorded a profit before tax (PBT) of Rs 85.74 crore and profit after tax (PAT) of Rs 59.61 crore, a 35 per cent rise in PBT along with a 24 per cent increase in PAT over the same period last year. The PBT of Rs 218.67 crore and PAT of Rs 155.22 crore were reported in FY22, reflecting an increase of 83 per cent in PBT & 70 per cent in PAT, respectively over FY21. The company's net worth was Rs 673.29 crore at the end of March 2022, up from Rs 578.91 crore the previous year. The company's EBIDTA margin (EBIDTA/revenue from operations) was 21.7 per cent in Q4FY22, compared to 14.0 per cent (higher the better) in the previous quarter. The company's EBIDTA margin (EBIDTA/revenue from operations) in FY22 is 14.9 per cent, up from 11.3 per cent (higher the better) in FY21. In Q4FY22 and FY22, industrial alcohol was sold in 16,526 KL and 55,728 KL, respectively, compared to 12,833 KL & 31,732 KL in the previous year's corresponding quarter. ICRA's long-term rating of A+ has been reaffirmed. The rating outlook has been changed from stable to positive.
Dwarikesh Sugar Industries Ltd is one of the largest sugar producers in India. The company operates three completely automated and highly-efficient sugar mills in the sugarcane-rich districts of Bijnor & Bareilly in Uttar Pradesh. The aggregate crushing capacity of the company is 21,500 tonnes of sugarcane per day. As growth enablers, modern and technologically-advanced units assist the company in harnessing sugar by-products as well as producing ethanol/industrial alcohol & bagasse-based power. Ethanol will be a key business driver in the future and the corporation is working to achieve complete integration in order to optimise its operations. The company's primary USPs are high recovery, plant efficiencies, cane development programmes along with ethical and open business practices. Farmers have benefited from the company's collaborative approach, which has helped them increase yield and maximise profits. The company has been able to secure a streamlined and high-quality supply of sugarcane, thanks to the focussed R&D investments, allowing for high recovery and production levels.