Sugar shares in focus; Oudh Sugar, Thiru Arooran Sugars up 5%

Ponni Sugars (Erode), Rana Sugars, Simbhaoli Sugars, Uttam Sugar and Thiru Arooran were up 5%-15% on BSE.

Shares of sugar producers were trading higher by 15% on BSE after most of them reported robust earnings for the second quarter ended September 30, 2016.

Dhampure Speciality Sugars, Ponni Sugars (Erode), Rana Sugars, Simbhaoli Sugars, Uttam Sugar Mills, Thiru Arooran Sugars, Sakthi Sugars and Mawana Sugars were among  few trading higher between 5% and 15%. At 10:56 am, the S&P BSE Sensex was up 0.18% or 49 points at 27,576.

Total five sugar companies - Dalmia Bharat Sugar and Industries, Dwarikesh Sugar Industries, Oudh Sugar Mills, Upper Ganges Sugar & Industries and Parrys Sugar Industries - have so far declared their Q2FY17 earnings, reported a combined net profit of Rs 124 crore against Rs 7 crore in year ago quarter.

Oudh Sugar Mills was up 5% at Rs 115 on BSE after the company reported a net profit of Rs 18.63 crore in Q2FY17 against loss of Rs 19.15 crore in Q2FY16. EBITDA (earnings before interest, taxes, depreciation, and amortization) margin improved to 18.62% from 6.28%.

“After five years of surplus sugar production in India coupled with aggressive sugar export strategy, domestic sugar production in sugar season 2015-2016 was marginally lower vis-à-vis domestic consumption and has consequently resulted in an improvement in domestic sugar prices,” Oudh Sugar Mills said in a press release.

During the period under review the Industry also saw a normalcy in sugar prices both domestically and internationally,” it added.

Upper Ganges Sugar & Industries surged 7% to Rs 389 on BSE in intra-day trade. The company posted net profit of Rs 18.39 crore in Q2FY17 against Rs 36 lakh in Q2FY16. EBITDA margin nearly doubled to 20.83% from 10.86%.

Oudh Sugar Mills and Upper Ganges Sugar & Industries are K.K.Birla Group companies.

COMPANY	LATEST	PREVIOUS CLOSE	GAIN(%)
PONNI SUG.ERODE	252.20	219.25	15.03
PICCADILY SUGAR	11.59	10.54	9.96
RANA SUGARS	11.40	10.37	9.93
DHAMPUR.SPL.SUG.	18.45	17.10	7.89
EMPEE SUGARS	8.25	7.65	7.84
SIMBHAOLI SUGAR	36.15	33.60	7.59
GAYATRI SUGARS	13.31	12.38	7.51
UTTAM SUG.MILLS	55.50	51.90	6.94
MAWANA SUGARS	50.65	47.50	6.63
THIRU AROOR. SU.	67.00	63.15	6.10
SAKTHI SUGARS	37.45	35.30	6.09
DHARANI SUGARS	42.20	39.90	5.76
OUDH SUGAR MILLS	115.25	109.65	5.11
KM SUGAR MILLS	27.64	26.33	4.98
SIR SHADI LAL	67.65	64.45	4.97
SBEC SUGAR	17.14	16.33	4.96
PARRYS SUGAR	41.45	39.50	4.94
UGAR SUGAR WORKS	41.55	39.60	4.92
INDIAN SUCROSE	24.60	23.45	4.90
RAJSHREE SUGARS	64.25	62.05	3.55