Balrampur Chini Mills reports robust FY24 financial results amid expansion in sugar and distillery segments

Balrampur Chini Mills Limited (BCML), one of India‘s largest integrated sugar manufacturing companies, has announced its financial results for the fourth quarter and the fiscal year ending March 31, 2024. The Kolkata-based company reported significant growth in revenue and comprehensive income for FY24, despite a slight dip in the fourth quarter’s performance.

Balrampur Chini Mills Annual Financial Performance Highlights

For the fiscal year 2024, Balrampur Chini Mills Limited achieved a noteworthy increase in its financial metrics. The company’s revenue from operations rose to Rs. 5593.74 crores, marking an increase of 19.9% from the previous year’s Rs. 4665.86 crores. This growth is attributed to higher volumes and realizations across both the sugar and distillery segments.

The EBITDA (excluding Other Income) for FY24 was Rs. 786.17 crores, up 53.5% from FY23’s Rs. 512.04 crores. Total Comprehensive Income for the year also saw a substantial rise, increasing by 95.2% to Rs. 542.55 crores, compared to Rs. 277.90 crores in FY23.

Balrampur Chini Mills Q4 FY24 Performance Analysis

Despite the overall annual growth, the fourth quarter of FY24 saw a slight downturn. Revenue from operations for Q4 FY24 was Rs. 1434.26 crores, a decrease of 3.8% from Rs. 1491.53 crores in the corresponding quarter of the previous year. EBITDA for the quarter also fell by 14.6%, and Total Comprehensive Income decreased by 18.5%, reflecting a challenging quarter but not overshadowing the overall positive annual performance.

Strategic Developments and Future Outlook

During FY24, Balrampur Chini Mills Limited experienced a significant increase in sugarcane crushing by approximately 16% and sugar production by about 27%. These increases were largely due to effective cane development activities, varietal rebalancing, and a strategic response to changes in the Ethanol policy which helped moderate the impact of rising costs and control the carrying cost of sugar inventory.

Looking ahead, the company is optimistic about the upcoming season, with the Indian Meteorological Department forecasting a normal monsoon, which is expected to support better yields and higher cane availability in Uttar Pradesh. However, lower acreage predictions in Maharashtra and Karnataka could affect overall cane supply.

On the innovation front, BCML is setting up India’s first integrated sugar-to-PLA bioplastics facility, partnering with global technology providers. This project not only diversifies BCML’s product range but also aligns with global environmental goals by offering an eco-friendly alternative to traditional plastics.

About Balrampur Chini Mills Limited

Founded in 1975, Balrampur Chini Mills Limited operates ten sugar factories in Uttar Pradesh, India, with an aggregate sugarcane crushing capacity of 80,000 TCD, along with distillery and co-generation operations. Known for its efficiency, BCML remains at the forefront of India’s sugar industry.