Uttam Sugar Mills Limited — Important, 15-11-2024: Updates

**Financial Highlights:** In Q2 FY25, Uttam Sugar Mills reported standalone total revenue of ₹386.88 Cr, down from ₹606.14 Cr in Q2 FY24. The EBITDA stood at ₹4.79 Cr, while PAT fell to a loss of ₹15.63 Cr from a profit of ₹15.63 Cr, reflecting the challenging market conditions. Consolidated revenue was slightly lower at ₹402.15 Cr, with EBITDA at ₹4.54 Cr and PAT also in the negative at ₹14.75 Cr.

**Strategic Initiatives and Growth Drivers:** The company has successfully expanded its cane crushing capacity to 27,000 TCD and operationalized the Khaikheri unit to enhance energy efficiency. The overall distillery capacity, including subsidiary contributions, has reached 340 KLPD.

**Operational Highlights:** During H1 FY25, sugar production reached 1.52 Lakh Qtls, with total sugar sales (domestic and export) amounting to 17.30 Lakh Qtls. Sugar realization improved to ₹39,343 per Qtls. Distillery production was recorded at 2.09 Lakh BL, with revenues from distillery sales demonstrating a robust performance.

**Market Position and Competitive Advantage:** With a diverse product range, including specialty sugars, the company is well-positioned to capitalize on market demands, despite current revenue challenges.

**Investor Implications:** The stock may be on a watch list as operational capacity enhancements could lead to improved performance in subsequent periods. However, the current financial downturn warrants careful monitoring for recovery signs.