E.I.D. Parry Q2 FY 2015 – 16

Chennai, November 13, 2015 : EID Parry (India) Limited, one of the largest manufacturers of Sugar in India, has reported financial results for the quarter and half year ended 30th September 2015.

Standalone performance for the quarter and half year ended 30th September 2015

The Standalone turnover for the quarter ended 30th September 2015 was 564 Crore in comparison to the corresponding quarter of previous year of 531 Crore. Profit before depreciation, interest and taxes (EBITDA) for the quarter ended was 12 Crore in comparison to the corresponding quarter of previous year of 126 Crore. During the quarter, the Company received a final dividend of 44 Crore for the financial year 2014-15 from its subsidiary, Coromandel International Limited. Standalone loss after tax for the quarter was 37 Crore as against profit after tax of 59 Crore in the corresponding quarter of previous year.

The Standalone turnover for the half year ended 30th September 2015 was 1,042 Crore in comparison to the corresponding half of previous year of 1,164 Crore. Loss before depreciation, interest and taxes (EBITDA) for the half year ended was 53 Crore in comparison to the profit before depreciation, interest and taxes of 169 Crore in the corresponding half of previous year. Standalone loss after tax for the half year ended was 171 Crore as against the profit in corresponding half of previous year of 33 Crore.

Consolidated performance for the quarter and half year ended 30th September 2015

The consolidated turnover for the quarter ended 30th September 2015, was 4,301 Crore registering a growth of 5% in comparison to the corresponding quarter of previous year of 4,081 Crore. Profit before depreciation, interest and taxes (EBITDA) and before exceptional item for the quarter ended 30th September 2015 was 279 Crore registering a decrease of 25% in comparison to the corresponding quarter of previous year of 374 Crore. Consolidated loss after tax and minority interest was 30 Crore compared to profit of 36 Crore in corresponding quarter of previous year.

The consolidated turnover for the half year ended 30th September 2015 was 7,059 Crores registering a growth of 7% against corresponding half of the previous year of 6,627 Crores. Profit before depreciation, interest and taxes (EBITDA) for the half year ended 30th September 2015 was 282 Crores against corresponding half of the previous year of 541 Crores. Consolidated loss after tax and minority interest was 223 Crores as against corresponding half of the previous year of 8 Crores.

Sugar Division

The Consolidated Sugar operations reported a Loss before Interest and Tax of 100 Crore (corresponding quarter of previous year : 31 Crore) for the quarter.

Farm Inputs Division

The Consolidated Farm Input operations reported a Profit before Interest and Tax of 310 Crore (corresponding quarter of previous year: 334 Crore) for the quarter.

Bio-products

For the quarter, Bio-products Division (comprising Bio-Pesticides and Nutraceuticals) registered a Profit before Interest and Tax of 6 Crore (corresponding quarter of previous year: 14 Crores).

Mr. V Ramesh, Managing Director commenting on the results mentioned that

“The standalone results of the Company were greatly impacted by muted sugar prices, especially in the first two months of the quarter. In spite of substantial losses, the Company has met all its Fair and Remunerative Price (FRP) obligations to its farmers in terms of sugarcane payments and has ‘Nil’ arrears on cane account as on date for the sugar year 2014-15. Thanks to the Government’s proposal on minimum exports quota on each Sugar mill to drain out the surplus sugar, the sugar prices have moved up by more than 15% in the last two months, from the lows it had reached in July/August 2015. The Company has also focused on many efficiency and cost cutting measures across the organisation. Going forward, if this momentum on sugar price is sustained/improved, we believe that sugar year 2015-16 will be a better year than sugar year 2014-15, which was the most challenging year for the Company in the last few decades.”

About E.I.D. – Parry (India) Limited

E.I.D. Parry is a significant player in Sugar with interests in promising areas of Bio Pesticides and Nutraceuticals. E.I.D Parry was incorporated in 1975. The company also has a significant presence in Farm Inputs business through its subsidiary, Coromandel International Limited. EID Parry has a 100% stake in Parry Sugars Refinery India Private Limited, 93.52% stake in US Nutraceuticals LLC, USA with 100% voting rights and a 65% stake in Parrys Sugar Industries Limited.

EID Parry, together with its subsidiaries, has nine sugar factories having a capacity to crush 39000 Tonnes of Cane per day, generate 160 MW of power and four distilleries having a capacity of 230KLPD. In the Bio Pesticides business, the Company offers a unique neem extract, Azadirachtin, having a good demand in the developed countries’ bio pesticide markets. In the Nutraceuticals business, it holds a strong position in the growing wellness segment mainly catering to the world markets with its organic products.

About the Murugappa Group

Founded in 1900, the INR 269 Billion Murugappa Group is one of India’s leading business conglomerates. The Group has 28 businesses including eleven listed Companies traded in NSE & BSE. Headquartered in Chennai, the major Companies of the Group include Carborundum Universal Ltd., Cholamandalam Investment and Finance Company Ltd., Cholamandalam MS General Insurance Company Ltd., Coromandel International Ltd., Coromandel Engineering Company Ltd., E.I.D. Parry (India) Ltd., Parry Agro Industries Ltd., Shanthi Gears Ltd., Tube Investments of India Ltd., and Wendt (India) Ltd.

Market leaders in served segments including Abrasives, Auto Components, Transmission systems, Cycles, Sugar, Farm Inputs, Fertilisers, Plantations, Bio-products and Nutraceuticals, the Group has forged strong alliances with leading international companies like Groupe Chimique Tunisien, Foskor, Mitsui Sumitomo, Morgan Advanced Materials, Sociedad Química y Minera de Chile (SQM), Yanmar & Co. and and Compagnie Des Phosphat De Gafsa (CPG). The Group has a wide geographical presence all over India and spanning 6 continents.

Renowned brands like BSA, Hercules, Ballmaster, Ajax, Parry’s, Chola, Gromor, Shanthi Gears and Paramfos are from the Murugappa stable. The Group fosters an environment of professionalism and has a workforce of over 32,000 employees.