Renuka Sugars Posts Flat Loss Amid Seasonal Revenue Dip
Shree Renuka Sugars reported a modest 3.5% YoY revenue rise, but losses persisted as the net profit margin remained deep in negative territory.
Shree Renuka Sugars' Q1 FY27 saw revenue inch up 3.5% year-on-year, though profit remained negative. The loss narrowed slightly from the prior quarter, but the company's net profit margin stayed under pressure.
Shree Renuka Sugars reported a mixed set of numbers for the first quarter of FY27. While revenue saw a modest year-on-year increase, the company continued to post significant losses, highlighting the ongoing challenges in its operational profitability.
The quarter saw revenue of ₹1,969.7 crore, up 3.5% from the same period last year. However, this marked a 13.2% sequential decline from the March 2026 quarter, reflecting typical seasonality in the sugar business. Profit after tax remained negative at -₹215.6 crore, virtually unchanged from the -₹215.1 crore loss in Q1 FY26. The net profit margin improved marginally by 40 basis points year-on-year to -10.9%, but remains deep in the red.
A look at the last five quarters shows the volatile path to profitability.
Revenue (₹ Cr)
Profit (₹ Cr)
Net Profit Margin (%)
| Metric | CurrentQ1 FY27 | PreviousQ4 FY26 | Same quarter LYQ1 FY26 |
|---|---|---|---|
| Revenue (₹ Cr) | 1,969.7YoY +3.5% | 2,269.5 | 1,903.2 |
| Profit (₹ Cr) | -215.6YoY -0.2% | -141.2 | -215.1 |
| Net Profit Margin (%) | -10.9YoY +3.5% | -6.2 | -11.3 |
The table reveals a pattern of losses across recent quarters, with the smallest deficit occurring in Q3 FY26. On a trailing twelve-month (TTM) basis, the net profit margin stands at -8.1%.
The company's stock, trading at ₹22.12 on the results date, has faced substantial headwinds, declining 24.8% over the past year and 52.5% over three years. The financial strain is also evident in key quality metrics, with a weak current ratio of 0.59 and an interest cover of just 0.55, indicating tight liquidity and high debt-servicing costs.
Breaking the cycle of quarterly losses remains the critical test for Renuka Sugars in the coming fiscal year.
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· RENUKA
(BSE)
ISIN: INE087H01022
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