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KCP Sugar stock zooms 17% on strong June quarter results; profit jumps 76%

The uptick in share price came after the company reported a strong set of June quarter results (Q1FY25)

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SI Reporter New Delhi

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KCP Sugar stock jumps: Shares of KCP Sugar zoomed as much as 16.61 per cent to hit an intraday high of Rs 52.99 per share on Thursday, July 11.

The uptick in share price came after the company reported a strong set of June quarter results (Q1FY25).

KCP Sugar consolidated profit jumped 76.4 per cent on a year-on-year (Y-o-Y) basis to Rs 54.1 crore in the June quarter of financial year 2025 (Q1FY25), as opposed to Rs 30.7 crore in the same quarter a year ago (Q1FY24).

However, the company’s topline (revenue) slipped 7.5 per cent to Rs 88.7 crore in the June quarter of FY25 (Q1FY25), as opposed to Rs 95.8 crore in the same quarter previous fiscal. 

The sugar manufacturer’s earnings before interest, taxes, depreciation and amortisation (Ebitda), also known as operating profit, jumped 44 per cent on a Y-o-Y basis to Rs 15.9 crore in the June quarter of FY25, from Rs 11 crore in the June quarter of FY24.

Consequently, the Ebitda margin jumped 640 basis points to 17.9 per cent in Q1FY25, as opposed to 11.5 per cent in Q1FY24.

KCP Sugar and Industries Corporation Ltd specialises in the production of sugar, industrial alcohol, ethanol, bio-fertilisers, carbon dioxide, calcium lactate, and incidental cogeneration power. 

The company operates through several segments including Sugar, Chemicals, Power & Fuel, Engineering, and Others. Geographically, it serves both domestic and international markets. Apart from sugar manufacturing, KCP. Sugar also engages in the production and marketing of Rectified Spirit, Extra Neutral Alcohol, Ethanol, and Organic Manure. It stresses upon integrating sugar production with electricity generation and alcohol manufacturing. 

The company owns two sugar factories located in Krishna District, Andhra Pradesh, with a combined daily crushing capacity of 11,500 tons. 

Subsidiaries of KCP Sugar include The Eimco-KCP. Limited and KCP Sugars Agricultural Research Farms Limited.

The market capitalisation of KCP Sugar is Rs 593.57 crore, according to Bombay Stock Exchange (BSE).

The 52-week high of the stock is Rs 54 per share while its 52-week low is Rs 24.15 per share. 

At 11:31 AM, shares of the company were trading 15.2 per cent higher at Rs 52.35. In comparison, BSE Sensex was down 0.31 per cent at 79,679.41 levels. 

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First Published: Jul 11 2024 | 11:42 AM IST

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