Kothari Sugars and Chemicals LimitedQ1 FY27 Results & Financial Update

Kothari Sugars and Chemicals Limited: Q1 FY27 standalone results and company financials – revenue ₹83.42 Cr, PAT ₹0.08 Cr. Explore reported YoY/QoQ movements, margins, business drivers and management commentary. This page does not provide a rating, target price or investment recommendation.

NSE: KOTARISUGPublished 18 Oct 2026Updated 18 Oct 2026~6 min read
Quarter at a glanceCurrent reported figures.Change figures appear when a comparable reported period is available.
Revenue from operations₹83.42 CrReported Q1 FY27
Profit after tax₹0.08 CrReported Q1 FY27
EPS₹0.01Reported Q1 FY27

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Quarterly Results AnalysisExplore Kothari Sugars and Chemicals Q1 FY27 quarterly results and earnings: revenue, profit (PAT), EBITDA, margins, YoY and QoQ growth, order book or business updates where reported, financial performance and management commentary. Reported figures and Nivata calculations are shown separately; no buy, sell or hold recommendation is provided.

Quarter overview

Quarterly earnings analysis

01

For the quarter ended June 30, 2026, Kothari Sugars and Chemicals Limited reported revenue from operations of INR 83.42 crore and a total income of INR 87.12 crore on a standalone basis. Operating performance yielded a profit before tax (PBT) of INR 0.09 crore and a net profit (PAT) of INR 0.08 crore, translating to basic and diluted earnings per share of INR 0.01.

02

The reported quarterly results benefit significantly from an exceptional item of income amounting to INR 7.95 crore (INR 795.02 lakhs), which arose from the reversal of excess provisions previously maintained regarding electricity matters. Without this exceptional credit, pre-tax operations would have registered a loss before exceptional items and taxes of INR 7.86 crore.

03

Segment reporting highlights divergent operational pressures across the company's core pillars. The sugar segment continued to face severe headwinds, generating a pre-tax segment loss of INR 10.18 crore on external revenues of INR 29.09 crore.

04

Conversely, the distillery and power segments provided vital balancing support. The distillery division achieved external segment revenues of INR 48.33 crore and contributed a segment result of INR 4.21 crore, while the power division recorded external revenues of INR 12.50 crore and a segment result of INR 8.39 crore.

05

Total expenses for the quarter aggregated to INR 94.98 crore, dominated by raw material consumption of INR 59.16 crore and inventory adjustments reflecting an inventory decrease of INR 11.72 crore. Employee benefits expense stood at INR 6.86 crore, while finance costs and depreciation charges amounted to INR 1.63 crore and INR 3.70 crore respectively. Other expenses totaled INR 11.91 crore.

06

Management explicitly notes that because sugar production is inherently seasonal, the performance registered in any single quarter cannot be viewed as directly representative of the full financial year's operating outcome.

07

Profit after tax was ₹0.08 Cr for the reported quarter. EPS was ₹0.01 for the reported quarter.

01 · Business model

What does Kothari Sugars and Chemicals do?

Kothari Sugars and Chemicals Limited operates as an integrated sugar, distillery, and co-generation power producer based in Tamil Nadu, India. The company manages manufacturing operations through two major production locations: Unit I situated in Kattur (Lalgudi Taluk, Tiruchirappalli District) and Unit II situated in Sathamangalam (Ariyalur District).

The company's operational model converts sugarcane into refined sugar while simultaneously generating allied revenue streams through industrial alcohol/distillery products and surplus power generation from bagasse-based co-generation plants.

Revenue generation depends heavily on the seasonal availability of sugarcane harvests, creating distinct inter-quarter fluctuations in output, processing volumes, and segment-wise financial contributions throughout the fiscal year.

The enterprise maintains no subsidiary, associate, or joint-venture companies, presenting a purely standalone operational profile for its manufacturing assets and financial reporting structure.

02 · Historical context

What shaped the business before this quarter

Standalone Corporate Structure

As of June 30, 2026, the company continues to operate entirely as a standalone entity without subsidiaries, associates, or joint ventures.

Unit-Based Manufacturing Footprint

The company established its operational footprint across Unit I in Tiruchirappalli District and Unit II in Ariyalur District, Tamil Nadu, to anchor its integrated sugar, distillery, and power generation capabilities.

03 · Financial snapshot

Current-quarter financial snapshot

MetricQ1 FY27
Revenue from operations₹83.42 Cr
Total income₹87.12 Cr
Profit before tax₹0.09 Cr
Profit after tax₹0.08 Cr
EPS₹0.01

Financial interpretation

What the reported numbers mean

Profit conversion

Profit after tax represented 0.1% of reported quarterly operating revenue. This is a calculated net-profit-to-sales ratio, not a company-reported operating margin. It measures the outcome after expenses and tax; it does not, by itself, establish how margins changed versus another period.

Pre-tax earnings

Profit before tax was equivalent to 0.1% of quarterly operating revenue. The distinction between pre-tax and post-tax profit matters when interpreting earnings; neither ratio identifies an underlying cost driver without a properly matched comparative period.

Operating revenue versus total income

Total income exceeded operating revenue by ₹3.70 crore. This is the disclosed difference between the two lines, not incremental sales. The distinction matters when assessing how much of the quarter’s reported income came from the operating top line.

Ratios above are calculated from the reported quarterly figures. They are analytical descriptions, not company-reported margin guidance or an investment recommendation.

04 · Why it moved

Why the quarter looked the way it did

What drove revenue

Distillery Segment Expansion

Distillery operations emerged as the largest top-line contributor for the quarter, generating external revenues of INR 48.33 crore out of total operating revenues of INR 83.42 crore.

Sugar Segment Contribution

The sugar segment contributed external revenue of INR 29.09 crore during the June 2026 quarter, reflecting ongoing seasonal processing cycles.

Power Generation Realisations

The power co-generation segment delivered external revenue of INR 12.50 crore, supported by internal energy utilization and surplus grid supply.

What drove margins

Segment Profitability Divergence

Operating margins were severely compressed by the sugar segment, which posted a pre-tax segment loss of INR 10.18 crore, offsetting positive segment results of INR 4.21 crore from the distillery division and INR 8.39 crore from the power division.

Input Material Pressures

Cost of materials consumed represented the largest expense category at INR 59.16 crore, alongside inventory de-stocking effects of INR 11.72 crore.

Financing and Depreciation Overhead

Fixed overheads included finance costs of INR 1.63 crore and depreciation and amortisation charges of INR 3.70 crore, exerting downward pressure on net margins.

05 · Segments, products & geography

Which parts of the business are doing the work

Segments and products

Sugar Segment

Generated segment revenue (including inter-segment sales) of INR 29.09 crore with a pre-tax and interest segment loss of INR 10.18 crore; total segment assets stood at INR 134.29 crore.

Distillery Segment

Delivered segment revenue of INR 48.33 crore and a positive segment result of INR 4.21 crore; total segment assets were reported at INR 69.96 crore.

Power Segment

Posted segment revenue of INR 12.50 crore and a positive segment result of INR 8.39 crore; total segment assets stood at INR 24.79 crore.

06 · Reported developments

What changed operationally

Exceptional Electricity Provision Reversal

The company recorded an exceptional income item of INR 7.95 crore (INR 795.02 lakhs) resulting from the reversal of excess provisions relating to electricity matters.

Profitable Non-Sugar Segments

Both the power co-generation and distillery divisions remained profitable at the segment level, absorbing a portion of the losses incurred by the sugar division.

07 · Pressure points & risks

What is not going smoothly

Persistent Sugar Segment Losses

The sugar division recorded a substantial pre-tax segment loss of INR 10.18 crore during the quarter, underscoring cyclical margin pressures in primary sugar processing.

Pre-Exceptional Operating Loss

Before accounting for the exceptional electricity provision reversal, the company registered a pre-tax loss of INR 7.86 crore.

08 · Beyond the numbers

What changed beyond the numbers

Reported update

Statutory Auditor Review

M/s. P. Chandrasekar LLP, Chartered Accountants, carried out a limited review of the unaudited financial results for the quarter ended June 30, 2026, and issued an unqualified review report.

Reported update

Board Approval

The unaudited financial results for Q1 FY27 were reviewed and recommended by the Audit Committee and subsequently approved by the Board of Directors at their meeting held on August 13, 2026.

09 · Key Q&A

The quarter, answered directly

What does Kothari Sugars and Chemicals do?

Kothari Sugars and Chemicals Limited operates as an integrated sugar, distillery, and co-generation power producer based in Tamil Nadu, India. The company manages manufacturing operations through two major production locations: Unit I situated in Kattur (Lalgudi Taluk, Tiruchirappalli District) and Unit II situated in Sathamangalam (Ariyalur District).

What is the clearest takeaway from Q1 FY27?

For the quarter ended June 30, 2026, Kothari Sugars and Chemicals Limited reported revenue from operations of INR 83.42 crore and a total income of INR 87.12 crore on a standalone basis. Operating performance yielded a profit before tax (PBT) of INR 0.09 crore and a net profit (PAT) of INR 0.08 crore, translating to basic and diluted earnings per share of INR 0.01.

What drove revenue or demand?

Distillery operations emerged as the largest top-line contributor for the quarter, generating external revenues of INR 48.33 crore out of total operating revenues of INR 83.42 crore.

What mattered most for margins or profitability?

Operating margins were severely compressed by the sugar segment, which posted a pre-tax segment loss of INR 10.18 crore, offsetting positive segment results of INR 4.21 crore from the distillery division and INR 8.39 crore from the power division.

What changed operationally beyond the headline numbers?

M/s. P. Chandrasekar LLP, Chartered Accountants, carried out a limited review of the unaudited financial results for the quarter ended June 30, 2026, and issued an unqualified review report.

What are the main pressure points disclosed for the quarter?

The sugar division recorded a substantial pre-tax segment loss of INR 10.18 crore during the quarter, underscoring cyclical margin pressures in primary sugar processing.

10 · Scenario calculator

Earnings sensitivity: what if growth and margins change?

Starting point

Build your own next-quarter scenario

Reported values are prefilled where a comparable basis is available. Otherwise, the field starts at 0. You can overwrite every field.

Example: enter 10 for 10% revenue growth. Enter -100 for a 1 percentage-point margin decline.

Scenario output
Scenario revenue / income₹0 cr
Scenario profit after tax₹0 cr
Profit change vs base₹0 cr (0%)
Scenario margin0%
Growth needed to keep profit flat after this margin move0%

The calculator holds the selected margin basis constant except for the basis-point adjustment you enter. It does not estimate tax, finance cost, dilution, working capital, valuation or share price.

11 · Next filing checkpoints

What the next disclosure can confirm or change

  1. 01

    Full-Year Seasonal Sugar Recovery: Monitor upcoming quarterly processing volumes to observe whether seasonal sugarcane crushing cycles improve segment profitability in subsequent quarters of FY27.

  2. 02

    Distillery and Power Margin Sustainability: Track the ongoing earnings contribution from the distillery and power divisions to assess their capacity to offset cyclical volatility in the sugar milling business.

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