Avadh Sugar Rounding Bottom Multiyear Breakout
Source:- Screener.in
Avadh Sugar & Energy Ltd is primarily engaged in the manufacture and sale of sugar and its by-products (molasses, bagasse and press-mud), spirits including ethanol and power. It was incorporated in March 2015 with the purpose of transferring sugar units in Uttar Pradesh of Oudh Sugar Mills Limited (Oudh) and Upper Ganges Sugar & Industries Limited (Upper Ganges) to a separate entity.
Business Division
Sugar: The Co crushed 576 lakh quintals of sugarcane in FY21 with average recovery of 10.8% against crushing of 599 lakh quintals in FY20 with average recovery of 11.5%.
Distillery: The Co uses its entire molasses output captively to produce ethanol and alcohol. During FY21, the distillery was in operation for 296 days against 285 days in FY20.
Power: The Co has bagasse-based power generation capability. It produced 19.7 crore units of power during FY21.
Revenue Split
Sugar - 85% in FY21 vs 87% in FY20
Distillery - 13% in FY21 vs 10% in FY20
Power - 2% in FY21 vs 2% in FY20
Manufacturing Capabilities
The Co has 4 sugar mills at Hargon, UP with an aggregate crushing capacity of 31,200 TCD (tons cane per day), three power cogeneration units with capacity of 74 MW and two distillery capacity of 200 KLPD.
Capex
The Co has announced a capex of 135 crores for Debottlenecking & efficiency improvement measures and expansion of Distillery capacity to 320 KLPD. The capex is going to be funded by mix of debt & internal accruals.
Reduction in Debt
The Co. reduced its Total Debt by Rs. 291 Cr from Rs. 1373 cr in Mar 21 to Rs. 1082 cr in Sep 21.[
Focus
The Co is focused on manufacturing B-Heavy ethanol, to boost overall profitability. It is also focusing on strengthening the balance sheet by reducing its debt.
Avadh Sugar & Energy Ltd is primarily engaged in the manufacture and sale of sugar and its by-products (molasses, bagasse and press-mud), spirits including ethanol and power. It was incorporated in March 2015 with the purpose of transferring sugar units in Uttar Pradesh of Oudh Sugar Mills Limited (Oudh) and Upper Ganges Sugar & Industries Limited (Upper Ganges) to a separate entity.
Business Division
Sugar: The Co crushed 576 lakh quintals of sugarcane in FY21 with average recovery of 10.8% against crushing of 599 lakh quintals in FY20 with average recovery of 11.5%.
Distillery: The Co uses its entire molasses output captively to produce ethanol and alcohol. During FY21, the distillery was in operation for 296 days against 285 days in FY20.
Power: The Co has bagasse-based power generation capability. It produced 19.7 crore units of power during FY21.
Revenue Split
Sugar - 85% in FY21 vs 87% in FY20
Distillery - 13% in FY21 vs 10% in FY20
Power - 2% in FY21 vs 2% in FY20
Manufacturing Capabilities
The Co has 4 sugar mills at Hargon, UP with an aggregate crushing capacity of 31,200 TCD (tons cane per day), three power cogeneration units with capacity of 74 MW and two distillery capacity of 200 KLPD.
Capex
The Co has announced a capex of 135 crores for Debottlenecking & efficiency improvement measures and expansion of Distillery capacity to 320 KLPD. The capex is going to be funded by mix of debt & internal accruals.
Reduction in Debt
The Co. reduced its Total Debt by Rs. 291 Cr from Rs. 1373 cr in Mar 21 to Rs. 1082 cr in Sep 21.[
Focus
The Co is focused on manufacturing B-Heavy ethanol, to boost overall profitability. It is also focusing on strengthening the balance sheet by reducing its debt.