Avadh Sugar & Energy Limited — PPTs, 12-05-2026: Investor Presentation

Avadh Sugar's FY26 revenue remained flat at Rs 2,694 crore. While sugar sales dipped 5%, this was offset by 4% higher sugar realization and a 10% jump in ethanol sales. However, EBITDA declined 35% to Rs 226 crore and PAT to Rs 57 crore, mainly due to a Rs 30/quintal increase in sugarcane prices without a proportional rise in sugar prices. The company declared a Rs 10 per share dividend.

Strategically, the integrated sugar, ethanol, and power operations, particularly the recently expanded Hargaon unit, enhance efficiency. Avadh aims to mitigate industry cyclicality through operational efficiency in sugar, leveraging ethanol as a long-term growth engine aligned with national blending goals, and monetizing by-products via co-generation.

Recent updates include the UP State Advisory Price for sugarcane rising to Rs 400/quintal, impacting margins. Ethanol blending achieved 20%, with increased molasses allocation boosting potential. The company saw higher ethanol inventory due to lower allocation from Oil Marketing Companies.

Management notes that current sugar output is below domestic consumption, leading to tight opening stocks. They emphasize the need for a sugar Minimum Support Price revision and ethanol procurement price adjustments given rising feedstock costs. The long-term ethanol blending roadmap remains a key growth driver.