Key Financials Snapshot

TTM · Standalone · ₹ in Cr
Market Cap
₹305 Cr.
Stock P/E
6.3
P/B
0.5
Current Price
₹354.4
Book Value
₹ 659.3
Face Value
10
52W High
₹454.2
52W Low
₹ 253.5
Dividend Yield
1.41%

Ponni Sugars (Erode) Overview

Business

Ponni Sugars (Erode) Ltd. is an Indian company primarily engaged in the manufacture of sugar. Its core business model involves crushing sugarcane procured from farmers in its operational catchment area and processing it into crystal sugar. Beyond sugar production, the company typically leverages by-products like molasses for distillation into ethanol and bagasse for co-generation of power. The company makes money primarily through the sale of sugar, and increasingly, through the sale of ethanol to oil marketing companies and surplus power to the grid or for captive consumption.

Revenue Mix

While specific revenue contribution figures are not publicly available without detailed financial statements, the major business segments for Ponni Sugars (Erode) Ltd. are:

Sugar: This is the primary segment, involving the production and sale of various grades of crystal sugar.

Co-generation: Production of electricity from bagasse (a fibrous by-product of sugarcane crushing) for captive consumption and sale of surplus power.

Distillery / Ethanol: Production of ethanol from molasses (another by-product), primarily for blending with petrol under the Ethanol Blending Program (EBP).

Historically, sugar sales contribute the largest portion of revenue, with co-generation and ethanol sales providing diversification and stability.

Industry

The Indian sugar industry is highly regulated, cyclical, and agro-based. It is influenced by monsoon patterns, government policies (like Fair and Remunerative Price/State Advised Price for sugarcane, Minimum Selling Price for sugar, and ethanol blending targets), and global sugar prices. Ponni Sugars (Erode) Ltd. operates as a regional player, likely with a single or limited number of sugar mills primarily serving the domestic market. Its positioning is within the mid-to-small cap segment of the Indian sugar industry, competing with larger diversified groups and other regional mills, particularly in Tamil Nadu. The industry is fragmented but consolidating, with larger players often having more diversified revenue streams.

MOAT

Sugar mills typically have limited durable competitive advantages for their primary commodity product. However, potential advantages for Ponni Sugars could include:

Proximity to Sugarcane Fields: A well-established catchment area for sugarcane procurement can lead to lower transportation costs and better farmer relationships.

Operational Efficiency: Efficient crushing, higher sugar recovery rates, and effective by-product utilization (ethanol, power) can provide a cost advantage.

Diversification: A balanced revenue mix from sugar, ethanol, and co-generated power can reduce dependence on volatile sugar prices.

Farmer Relationships: Strong, long-term relationships with local farmers can ensure consistent cane supply. Brand recognition for commodity sugar is generally not a significant moat.

Growth Drivers

Ethanol Blending Program (EBP): Government targets for higher ethanol blending in petrol provide a significant and stable demand for ethanol, reducing sugar inventory and improving profitability.

Increasing Sugar Consumption: Steady population growth and rising disposable incomes in India contribute to consistent demand for sugar.

Improvement in Sugar Realization Prices: Favorable demand-supply dynamics and supportive government policies can lead to better sugar prices.

Operational Efficiencies: Continuous investment in modern machinery and processes to improve sugar recovery rates and reduce operational costs.

Bagasse-based Co-generation: Opportunities to expand power generation capacity and sell more surplus power to the grid.

Risks

Regulatory Risks: Changes in government policies related to sugarcane pricing (FRP/SAP), Minimum Selling Price (MSP) for sugar, sugar release mechanisms, and ethanol procurement prices can significantly impact profitability.

Agricultural Risks: Dependence on monsoon for sugarcane cultivation, pest infestations, and diseases can lead to fluctuations in sugarcane availability and quality.

Price Volatility: Fluctuations in domestic and international sugar, molasses, and ethanol prices can impact revenue and margins.

Working Capital Intensity: The highly seasonal nature of sugar crushing operations requires significant working capital management.

Environmental Regulations: Strict environmental norms for distilleries and sugar mills, particularly regarding water usage and effluent treatment, can lead to compliance costs.

Competition: Intense competition from other sugar mills, both regional and national players.

Management & Ownership

Ponni Sugars (Erode) Ltd. is typically promoted and managed by experienced individuals with deep knowledge of the sugar industry, often stemming from a family business background. The ownership structure generally involves a significant promoter holding, with the remaining shares publicly traded. The quality of management often reflects its ability to navigate the cyclical nature of the industry, manage farmer relations, optimize operational efficiency, and adapt to changing regulatory environments.

Outlook

The outlook for Ponni Sugars (Erode) Ltd. is influenced by the broader dynamics of the Indian sugar sector. The strong government thrust on the Ethanol Blending Program offers a positive structural shift, providing a more stable revenue stream and potentially reducing the industry's historical cyclicality. However, the company remains susceptible to the vagaries of monsoon, cane availability, and government policies governing cane prices and sugar releases. Sustained operational efficiency and effective capital allocation towards ethanol capacity expansion will be key determinants of future performance. While the ethanol story provides a tailwind, risks associated with agricultural output and regulatory shifts necessitate a cautious but optimistic view.

Ponni Sugars (Erode) Share Price

Live · BSE / NSE · Inception: 1996
₹ | |
Volume
Price

Key Financials — Profit & Loss

₹ in Cr · Standalone · annual

Ponni Sugars (Erode) Quarterly Results

#(Fig in Cr.) Mar 2024 Jun 2024 Sep 2024 Dec 2024 Mar 2025 Jun 2025 Sep 2025 Dec 2025 Mar 2026 Jun 2026
Net Sales 71 55 95 116 94 60 114 151 90 92
Other Income 4 6 4 1 2 3 1 4 6 3
Total Income 75 60 98 117 96 64 115 155 96 95
Total Expenditure 61 57 82 112 83 69 96 142 72 94
Operating Profit 14 3 16 5 14 -5 18 13 24 1
Interest 0 0 -0 0 0 0 0 0 1 0
Depreciation 2 2 2 2 3 3 3 3 3 3
Exceptional Income / Expenses 0 0 0 0 0 5 2 0 45 0
Profit Before Tax 12 1 14 3 11 -3 17 10 66 -2
Provision for Tax -2 0 2 0 6 -0 2 1 39 -0
Profit After Tax 14 1 12 2 5 -3 15 9 27 -1
Adjustments 0 0 0 0 0 0 0 0 0 0
Profit After Adjustments 14 1 12 2 5 -3 15 9 27 -1
Adjusted Earnings Per Share 15.8 0.9 13.4 2.8 5.3 -3.1 16.9 11 31 -1.4

Ponni Sugars (Erode) Profit & Loss

#(Fig in Cr.) Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025 Mar 2026 TTM
Net Sales 169 251 196 185 310 256 288 435 421 359 415 447
Other Income 2 1 3 3 4 6 7 17 18 12 14 14
Total Income 171 252 199 188 315 263 295 453 439 371 429 461
Total Expenditure 168 213 176 165 269 226 253 397 378 333 379 404
Operating Profit 3 39 23 23 45 36 43 56 61 38 50 56
Interest 6 5 2 3 3 1 0 0 0 0 1 1
Depreciation 6 6 6 6 7 7 6 8 9 10 11 12
Exceptional Income / Expenses 11 -7 -11 -1 1 0 0 0 0 0 52 47
Profit Before Tax 3 22 4 12 36 29 36 48 52 28 90 91
Provision for Tax 1 6 0 4 5 3 7 9 5 9 42 42
Profit After Tax 2 16 3 8 31 26 29 38 47 19 48 50
Adjustments 0 0 0 0 0 0 0 0 0 0 0 0
Profit After Adjustments 2 16 3 8 31 26 29 38 47 19 48 50
Adjusted Earnings Per Share 2.2 18.5 3.9 9.8 36 29.8 34 44.6 54.5 22.4 55.8 57.5

Ponni Sugars (Erode) Balance Sheet

#(Fig in Cr.) Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025 Mar 2026
Shareholder's Funds 122 257 273 293 247 326 368 453 552 532 568
Minority's Interest 0 0 0 0 0 0 0 0 0 0 0
Borrowings 41 25 0 0 4 0 0 0 0 0 0
Other Non-Current Liabilities 2 8 7 9 8 7 10 14 18 19 47
Total Current Liabilities 84 48 49 89 56 43 40 48 35 28 37
Total Liabilities 249 338 328 391 315 376 419 515 605 580 652
Fixed Assets 123 118 120 114 109 104 112 118 123 130 143
Other Non-Current Assets 24 141 157 169 95 152 174 252 309 272 300
Total Current Assets 102 78 52 107 111 119 132 144 173 178 209
Total Assets 249 338 328 391 315 376 419 515 605 580 652

Ponni Sugars (Erode) Cash Flow

#(Fig in Cr.) Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025 Mar 2026
Opening Cash & Cash Equivalents 0 1 2 0 3 0 8 1 8 6 5
Cash Flow from Operating Activities 6 35 51 -22 16 29 11 11 16 10 31
Cash Flow from Investing Activities 0 -0 -5 2 1 3 -13 1 -12 -5 -31
Cash Flow from Financing Activities -6 -34 -46 23 -19 -24 -4 -5 -6 -6 -3
Net Cash Inflow / Outflow 0 1 -1 3 -3 7 -6 7 -2 -1 -4
Closing Cash & Cash Equivalent 1 2 0 3 0 8 1 8 6 5 2

Ponni Sugars (Erode) Ratios

# Mar 2016 Mar 2017 Mar 2018 Mar 2019 Mar 2020 Mar 2021 Mar 2022 Mar 2023 Mar 2024 Mar 2025 Mar 2026
Earnings Per Share (Rs) 2.21 18.51 3.88 9.8 35.98 29.84 34.01 44.58 54.49 22.42 55.85
CEPS(Rs) 8.77 25.14 10.49 16.7 44.57 38.34 41.5 53.4 64.62 34.14 68.64
DPS(Rs) 1.2 2.5 1 2 4 5 5.5 6.5 7 3 5
Book NAV/Share(Rs) 141.38 298.35 317.29 340.33 287.74 379.55 428.47 526.62 641.77 618.76 660.62
Core EBITDA Margin(%) 0.96 14.47 10.25 10.61 13.33 11.76 12.33 8.83 10.22 7.29 8.61
EBIT Margin(%) 4.82 10.24 2.94 8.37 12.42 11.37 12.52 11.02 12.35 7.81 21.89
Pre Tax Margin(%) 1.49 8.44 1.94 6.49 11.56 11.16 12.47 10.94 12.32 7.8 21.75
PAT Margin (%) 1.08 6.06 1.7 4.56 9.96 10.01 10.14 8.81 11.12 5.36 11.57
Cash Profit Margin (%) 4.28 8.22 4.6 7.77 12.35 12.87 12.38 10.55 13.19 8.17 14.22
ROA(%) 0.76 5.43 1 2.34 8.76 7.42 7.36 8.22 8.37 3.25 7.8
ROE(%) 1.57 8.42 1.26 2.98 11.46 8.94 8.42 9.34 9.33 3.56 8.73
ROCE(%) 4.29 10.69 1.97 5.09 12.96 9.81 10.39 11.68 10.35 5.18 16.51
Receivable days 44.86 36.23 39.44 55.74 63.19 78.63 54.65 28.48 24.37 32.66 23.12
Inventory Days 137.86 76.08 74.91 94.12 59.81 63.75 77.68 64.53 76.09 105.37 107.3
Payable days 90.09 49.99 77.27 138.9 58.72 68.06 68.93 44.78 39.11 31.09 25.8
PER(x) 94.65 11.23 36.82 13.82 3.75 4.95 6.78 8.88 7.37 13.53 4.91
Price/Book(x) 1.48 0.7 0.45 0.4 0.47 0.39 0.54 0.75 0.63 0.49 0.42
Dividend Yield(%) 0.57 1.2 0.7 1.48 2.96 3.39 2.39 1.64 1.74 0.99 1.82
EV/Net Sales(x) 1.51 0.9 0.66 0.8 0.44 0.41 0.65 0.71 0.72 0.65 0.45
EV/Core EBITDA(x) 79.13 5.74 5.71 6.5 2.99 2.87 4.43 5.55 5.02 6.14 3.75
Net Sales Growth(%) 6.05 48.17 -21.86 -5.68 67.98 -17.48 12.54 51.01 -3.24 -14.68 15.45
EBIT Growth(%) 2838.71 217.2 -78.57 168.11 149.32 -24.47 23.89 32.92 8.44 -46 223.42
PAT Growth(%) 152.05 737.89 -79.02 152.4 267.02 -17.07 13.99 31.08 22.22 -58.86 149.12
EPS Growth(%) 152.05 737.89 -79.02 152.4 267.02 -17.07 13.99 31.08 22.22 -58.86 149.12
Debt/Equity(x) 0.63 0.19 0.03 0.12 0.08 0 0 0 0 0 0
Current Ratio(x) 1.22 1.62 1.06 1.2 1.98 2.77 3.29 3 4.89 6.28 5.66
Quick Ratio(x) 0.5 0.6 0.42 0.49 1.3 1.57 1.52 1.28 2.27 2.23 2.17
Interest Cover(x) 1.45 5.67 2.93 4.46 14.39 53.94 300.75 137.06 400.15 561.8 151.42
Total Debt/Mcap(x) 0.43 0.27 0.06 0.3 0.17 0 0 0 0 0 0

Growth Rates

Compounded annual
# 1 Year 3 Year 5 Year 10 Year
Sales CAGR +16% -2% +10% +9%
Operating Profit CAGR +32% -4% +7% +32%
PAT CAGR +153% +8% +13% +37%
Share Price CAGR +27% -5% +8% +5%
ROE Average +9% +7% +8% +7%
ROCE Average +17% +11% +11% +9%

Ponni Sugars (Erode) Shareholding Pattern

Latest · Jun 2026
100% held
Promoters 47.34 %
FII 9.46 %
DII (MF + Insurance) 0.05 %
Public (retail) 43.15 %
# Mar 2024 Jun 2024 Sep 2024 Dec 2024 Mar 2025 Jun 2025 Sep 2025 Dec 2025 Mar 2026 Jun 2026
Promoter 42.3647.2647.2647.2647.3447.3447.3447.3447.3447.34
FII 19.1511.3210.679.59.529.479.469.469.69.46
DII 3.542.261.160.930.930.930.930.220.050.05
Public 34.9639.1540.9142.3142.2142.2642.2742.9843.0243.15
Others 0000000000
Total 100100100100100100100100100100

Ponni Sugars (Erode) Peer Comparison

Ponni Sugars (Erode) Quarterly Price

10-year quarterly close · BSE
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News & Updates

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Ponni Sugars (Erode) Pros & Cons

Pros

  • Stock is trading at 0.5 times its book value
  • Debtor days have improved from 31.09 to 25.8days.
  • Company is almost debt free.

Cons

  • Promoter holding is low: 47.34%.
  • Company has a low return on equity of 7% over the last 3 years.
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