EID Parry (India), one of the largest manufacturers of sugar and part of Murugappa group, on Tuesday reported a standalone profit after tax (PAT) of Rs 83 crore for fourth quarter of FY23 as against Rs 225 crore in the corresponding quarter of previous year, registering a multi-fold decline.
The standalone revenue of the company for the quarter was at Rs 807 crore as against Rs 921 crore, posting a drop of 12%. The PAT for Q4FY23 includes loss of Rs 155 crore representing provision for impairment of investment in subsidiaries and joint ventures, the company said in a statement.
Earnings before depreciation, interest, taxes and exceptional items (EBITDA) for the quarter was at `327 crore in comparison to the corresponding quarter of previous year of Rs 309 crore.
S Suresh, MD, EID Parry, said the operating profit of the standalone sugar division was better than the previous year on account of better sales realisation and increased domestic sales volume. There was cost pressure on account of higher energy prices partly offset by increased realisation from power export.
For FY23, the standalone revenue from operations was at Rs 2,895 crore as against `2,489 crore in the previous year, logging a growth of 16%. EBITDA for the year was at Rs 527 crore as against Rs 492 crore. The PAT for the whole year, which includes provision for impairment of investment in subsidiaries and joint ventures, stood Rs 197 crore as against Rs 284 crore, marking a drop of 31%,
The company’s overall cane crush increased during FY23 to 51.8 LMT from 50.2 LMT in the previous year. The sugar sales also increased to 5.19 LMT from 4.95 LMT. It continues to focus and deliver on sweating of assets and expansion in core areas. EID Parry had completed sale process of Pettavaithalai plant and commenced 120 KLPD ethanol facility in Sankili from sugar syrup. Also, the 165 KLPD expansion in Haliyal and Nellikuppam is under progress.
“Despite increase in interest rates, our effective cash management and cash generated from operations resulted in reduced finance cost of Rs 36 crore from Rs 46 crore in the previous year,” he said.