📈 Live Market Tracking
AI-Powered NSE Corporate Announcements Analysis
Davangere Sugar Q3 Revenue Up 13% YoY to ₹82.69 Cr; Net Profit Drops 61% to ₹2.62 Cr
Davangere Sugar Company reported a 13% YoY increase in revenue to ₹82.69 crore for Q3 FY26, but net profit fell sharply by 61% to ₹2.62 crore compared to ₹6.77 crore in the same period last year. Profitability was severely impacted by the sugar segment, which recorded a loss of ₹2.47 crore at the PBIT level, while the distillery segment remained the sole profit driver with ₹10.94 crore. Total comprehensive income was further reduced to ₹1.34 crore due to a ₹1.28 crore gratuity provision. High finance costs of ₹6.33 crore continue to weigh on the bottom line.
Key Highlights
Revenue from operations increased 13% YoY to ₹8,268.61 Lakhs from ₹7,317.75 Lakhs.
Net profit for the quarter declined significantly to ₹262.27 Lakhs from ₹676.89 Lakhs YoY.
Distillery segment PBIT stood at ₹1,093.97 Lakhs, while the Sugar segment posted a loss of ₹246.62 Lakhs.
Finance costs for the quarter remained elevated at ₹632.59 Lakhs.
Appointed B N Rajendrababu as Internal Auditor to fill a casual vacancy until FY 2027-28.
💼 Action for Investors
Investors should exercise caution as the core sugar business is currently loss-making, leaving the company heavily dependent on distillery margins. Monitor the company's debt levels and finance costs, which are consuming a large portion of operating profits.