Uttam Sug.Mills Q1 FY27 Results (NSE: UTTAMSUGAR)
Signal: Revenue declined
The read
The operating inflection is negative: consolidated EBITDA margin fell to 4.5% from approximately 8.2% YoY and 21% in Q4FY26, while PAT fell 91.5% to ₹123 lakh; distillery growth and lower finance costs were not enough to offset gross-margin compression and weak sugar profitability.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹606.37 Cr | -3.6% | +28.9% |
| EBIT | ₹14.99 Cr | -62.1% | |
| Net profit | ₹1.23 Cr | -91.5% | |
| EPS | ₹0.32 | -91.6% | |
| EBIT margin | 4.5% |
P&L walk
Consolidated revenue declined 3.6% YoY to ₹60,637 lakh, gross margin compressed to 14.0%, EBITDA fell 46.8% to ₹2,747 lakh, and PAT fell 91.5% to ₹123 lakh; distillery remained the main profit contributor while cogeneration stayed loss-making.
Segments
Distillery drove the group with ₹17,863 lakh of revenue and ₹2,266 lakh of segment result, up 3.1% and 13.9% YoY respectively, while cogeneration remained loss-making at negative ₹283 lakh; consolidation lifted PAT to ₹123 lakh from standalone PAT of ₹85 lakh.
Key positives
- Distillery segment revenue was ₹17,863 lakh, up 3.1% YoY, while segment result increased 13.9% to ₹2,266 lakh, making it the strongest disclosed operating unit.
- Finance costs declined 33.9% YoY to ₹1,332 lakh on a consolidated basis, partially cushioning the EBITDA decline.
- Consolidated PAT of ₹123 lakh exceeded standalone PAT of ₹85 lakh, indicating a positive ₹38 lakh contribution from the subsidiary.
Key concerns
- Consolidated EBITDA fell 46.8% YoY to ₹2,747 lakh and EBITDA margin declined to 4.5% from approximately 8.2% YoY and 21% in Q4FY26.
- Gross margin compressed approximately 230bps YoY to 14.0% as raw material, purchase and inventory-change costs increased to 86.0% of revenue from 83.7%; the filing does not disclose the cause.
- Revenue declined 3.6% YoY to ₹60,637 lakh, and the filing provides no volume or realisation disclosure to establish whether the weakness was volume- or price-led.
Earnings quality: includes non-operating other income
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