Good morning Ladies and Gentlemen
Welcome to the 26th Annual General Meeting (“AGM”) of your Company through video
conferencing. In view of the Covid 19 pandemic MCA and SEBI through its various circulars
permitted to conduct AGM through Video Conferencing / Other Audit Visual Means and your
company has appointed Central Depository Services (India) Limited (“CDSL”) to provide the
facility to conduct AGM through Video Conferencing. On behalf of the Board of Dwarikesh, I
thank you for joining us today. Your presence is indeed a true testimony of your involvement with
and support to the Company.
Through the unique opportunity provided by the AGM, I shall share my thoughts with you, take
you through the operations of the company and brief you of the contemporary developments
which will have far reaching implications on the future of sugar industry. With your kind
permission, I take it that you have read the audited financial statements and the Directors' report
for the year ended on the 31st March 2020.
It’s a pleasure to inform you that the Company has strengthened its business foundation through
capacity expansion and lower debt which will result in improved performance in future. During
the year, there has been decline in revenues and growth in profit after tax due to weak sugar
realizations, which has affected the growth of most sugar industry. However, from wider
perspective, the Company’s performance was creditable as it addressed number of challenges i.e.,
decline in debt payment, timely payment to farmers, increased cane planting and setting up new
distillery plant which will reap maximum benefits in near future
Let me make you walk through the financial numbers of the FY 2019-20. The financial
performance may be considered satisfactory as the industry operated in an extremely challenging
During the financial year, the company had earned revenue from operations of Rs. 1,336 crores
vis-à-vis Rs. 1,084 crores in the previous year. There is significant improvement in the revenue
from operations during the year under review. The same is attributable to the increased releases
under the monthly release mechanism administered by the Central Government & aggressive
exports done by your company under the MIEQ & MAEQ schemes initiated by the
EBIDTA, during FY 2019-20 is Rs. 141 crores as compared to Rs. 165 crores earned during
previous FY. Lower EBIDT both in absolute terms as well as % terms is mainly attributable to
the reduction in power tariff with effective from 1st April, 2019. Reduction in power tariff was
steep and more than 40%.
During the year under review your company earned EBDTA of Rs. 108 crores as compared to
Rs. 144 crores earned in the previous FY.
Earning before tax is at Rs. 72 crores when viewed in conjunction with that of the previous FY
Rs. 111 crores.
Earnings after tax at Rs. 73 crores is as compared to the earnings after tax of previous FY of
Rs. 95 crores