KCP Sugar net profit surges 158.5% in Q1 FY2026-27
KCP Sugar’s quarterly performance was supported by higher operating revenue and investment gains, while the company cautioned that seasonal factors affect the interpretation of quarterly results.
INDIA – K.C.P. Sugar and Industries Corporation Limited (KCP Sugar) reported a 158.5% year-on-year increase in standalone net profit to Rs 45.56 crore (US$4.76M) for the quarter ended June 30, 2026.
According to the company’s regulatory filing with the BSE and National Stock Exchange of India (NSE), standalone revenue from operations increased 23.1% year-on-year to Rs 68.14 crore (US$7.14M), compared with Rs 55.35 crore (US$5.8M) in the same quarter last year.
Total income rose to Rs 122.91 crore, supported by other income of Rs 54.78 crore (US$5.74M). Profit before tax more than doubled to Rs 53.14 crore (US$5.57M) from Rs 22.84 crore (US$2.4M), while basic and diluted earnings per share increased to Rs 4.02 from Rs 1.55.
The filing said other income included a fair value gain of Rs 51.22 crore (US$5.37M) on equity investments, compared with Rs 22.81 crore (US$2.39M) in the corresponding quarter of the previous year.
On a consolidated basis, revenue from operations increased 31.4% year-on-year to Rs 78.03 crore. Consolidated net profit rose to Rs 46.25 crore (US$4.85M) from Rs 19.15 crore (US$2.01M), while earnings per share increased to Rs 4.08 from Rs 1.69.
Sugar remained KCP Sugar’s largest standalone revenue contributor during the quarter, generating Rs 38.74 crore (US$4.06M). The others segment contributed Rs 22.36 crore (US$2.34M), followed by chemicals at Rs 6.56 crore (US$687.45K) and engineering at Rs 1.86 crore.
Independent auditors B. Purushottam & Co. said their review had not revealed any material misstatement in the financial results. The auditors noted that, consistent with KCP Sugar’s practice of aligning expense recognition with the seasonal sugar cycle, Rs 9.44 crore in other expenditure and Rs 0.58 crore in depreciation related to the sugar and co-generation business had been deferred to later quarters.
The company also stated that its quarterly results should not be considered indicative of its full-year performance because the sugar business is seasonal.
On dividends, the board recommended a final payout of Re 0.10 per equity share for the financial year ended March 31, 2026. The proposed dividend remains subject to shareholder approval at the company’s annual general meeting.
Separately, the board approved a Rs 153.40 crore supply contract from The EIMCO-KCP Limited, a wholly owned subsidiary, for engineering parts supplied through KCP Sugar’s Thuvakkudi unit.
KCP Sugar operates two sugar factories in Andhra Pradesh’s Krishna district, with a combined sugarcane crushing capacity of 11,500 tonnes per day.
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