Bajaj Hindustan Sugar, on Friday reported narrowing of consolidated loss to Rs 76.17 crore for September quarter, helped by lower expenses and complete repayment of sustainable debt.
The sugar producer, which operates 14 sugar factories, six distilleries, and cogeneration facilities, expects to receive Rs 1,860 crore in benefits under a 2004 state policy, subject to ongoing legal proceedings
Bajaj Hindustan Sugar, on Friday reported narrowing of consolidated loss to Rs 76.17 crore for September quarter, helped by lower expenses and complete repayment of sustainable debt.
The country's largest integrated sugar producer, which accounts for 14 per cent of Uttar Pradesh's cane crushing, incurred a loss of Rs 122.59 crore a year ago.
Revenue in the quarter remained stable at Rs 1,163.26 crore. Total expenses fell to Rs 1,238.95 crore from Rs 1,286.18 crore, according to a regulatory filing.
Despite positive EBITDA, the company faced operational challenges including lower sugarcane availability, under-capacity utilization, and reduced by-product production, primarily due to delayed cane payments to farmers.
"The debt clearance has significantly reduced our finance costs, improving liquidity for cane payments and development activities," the company said.
The outlook appears brighter as the government considers raising the minimum sugar selling price to Rs 39-40 per kg from Rs 31 per kg, alongside expected higher ethanol prices.
Recent policy changes allowing ethanol production from B-heavy molasses and sugarcane syrup are also expected to benefit the company, it said.
The sugar producer, which operates 14 sugar factories, six distilleries, and cogeneration facilities, expects to receive Rs 1,860 crore in benefits under a 2004 state policy, subject to ongoing legal proceedings.