NSE: DAVANGERE · BSE: 543267
DAVANGERE SUGAR COMPANY L
Operates an integrated sugar and ethanol complex that crushes sugarcane during the October–March season to produce sugar and processes the by-product molasses into ethanol at an attached distillery. The distillery is the largest contributor to revenue and operating profit, while the sugar business contributes a similar share of revenue at much thinner margins. A co-generation unit burns bagasse to produce power for the grid, and the business also carries a small aviation line. Sugarcane and other raw materials make up 63.3% of revenue, making cane availability and pricing the dominant cost driver. A UK-based wholly-owned subsidiary, Aurevant Global Limited, was set up in June 2026 to expand ethanol and sugar distribution globally. To fund acquisitions of sugar mills or ethanol distilleries and overseas expansion, USD 100 million (~₹952 crore) was raised through Foreign Currency Convertible Bonds in July 2026. For FY26, total revenue stood at ₹238.77 crore against a net profit of ₹8.51 crore, with total assets of ₹839.35 crore. AR · MarketPing reader · 2026-08-02
Revenue streams, as the annual report describes them. Distillery (55%), Sugar (41%), Co Generation (3%), Others (1%), Aviation (0%). Cyclical, asset-heavy, agricultural-commodity-based sugar and ethanol producer with seasonal crushing operations.
Exhibit 1: Financial summary, FY22–FY26 (all audited; no estimate years)
| ₹ crore · standalone | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Revenue | 124 | 280 | 217 | 215 | 239 |
| EBITDA (ex other income) | 34 | 56 | 45 | 52 | 49 |
| margin % | 27.7 | 19.9 | 20.9 | 24.2 | 20.4 |
| Owners' profit | 6 | 13 | 12 | 11 | 9 |
| EPS, as reported (₹) | 1.02 | 1.48 | 1.30 | 1.15 | 0.05 |
| ROE % · ROCE % | 2.3 · 5.9 | 4.2 · 10.6 | 3.6 · 8.7 | 3.1 · 8.5 | 1.7 · 6.4 |
| Debt / equity (x) | 0.96 | 0.78 | 0.78 | 0.77 | 0.50 |
| Cash from operations | (68) | 81 | (11) | (4) | (71) |
| Capex | (84) | (20) | (22) | (3) | (0) |
Exhibit 2: Quarterly performance, last 8 quarters
| ₹ crore | Q2 FY25 | Q3 FY25 | Q4 FY25 | Q1 FY26 | Q2 FY26 | Q3 FY26 | Q4 FY26 | Q1 FY27 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 39 | 73 | 57 | 24 | 48 | 83 | 84 | 35 |
| Profit before tax | 2 | 7 | 2 | 2 | 3 | 5 | 1 | 1 |
| Net profit | 1 | 7 | 2 | 1 | 3 | 3 | 2 | 1 |
| EPS (₹) | 0.14 | 0.72 | 0.22 | 0.14 | 0.18 | 0.01 | 0.01 | 0.01 |
Exhibit 3: Segment revenue, FY26
| Segment | Revenue, ₹ crore | Share % |
|---|---|---|
| Sugar | 99 | 41.0 |
| Co Generation | 7 | 2.9 |
| Aviation | 1 | 0.4 |
| Distellery | 132 | 54.6 |
| Others | 2 | 1.0 |
| Total, before eliminations | 241 | 100.0 |
Exhibit 4: Peers — basic industry group, by market cap
| Company | M.cap ₹ cr | P/E | P/B | EV/EBITDA | ROE % | ROCE % | Rev CAGR 5y % | EBITDA m. % |
|---|---|---|---|---|---|---|---|---|
| LT FOODS LIMITED | 14,628 | 22.3 | 2.98 | 13.3 | 7.4 | 8.4 | 18.7 | 10.5 |
| KRBL LIMITED | 9,339 | 11.1 | 1.50 | 10.4 | 8.3 | 10.9 | 8.8 | 19.2 |
| GUJARAT AMBUJA EXPORTS LT | 6,881 | 13.5 | 1.92 | 15.7 | 8.6 | 11.0 | 4.0 | 13.6 |
| KAVERI SEED CO. LTD. | 3,528 | 13.9 | 1.74 | 10.3 | 13.4 | 13.3 | 6.1 | 0.3 |
| TRUALT BIOENERGY LIMITED | 3,036 | 13.7 | 1.80 | 15.8 | 5.6 | 4.5 | — | 12.5 |
| AMIR CHAND JAG KUM (E) L | 2,470 | 16.9 | 2.49 | 14.3 | 7.8 | 9.7 | — | 10.7 |
| GRM OVERSEAS LIMITED | 1,927 | 14.7 | 3.18 | 25.1 | 12.3 | 16.5 | 17.2 | 8.3 |
| SANSTAR LIMITED | 1,878 | 47.6 | 2.07 | — | 1.7 | 2.2 | — | 3.8 |
Exhibit 5: Where the company sits in its group
| Metric | Company | Group median | Rank | Better than |
|---|---|---|---|---|
| P/E (TTM) | 9.5 | 12.2 | 20 of 53 | 64% |
| P/B | 0.6 | 1.6 | 12 of 52 | 78% |
| ROCE | 1.8 | 2.8 | 34 of 61 | 45% |
| ROE | 1.7 | 2.4 | 28 of 51 | 46% |
| Debt / Equity | 0.5 | 0.2 | 32 of 52 | 39% |
| EBITDA margin | 32.1 | 8.6 | 4 of 57 | 95% |
| Revenue growth | 44.2 | 15.0 | 11 of 52 | 80% |
| Profit growth | (28.1) | 17.0 | 35 of 51 | 32% |
| Market cap | 286 | 66 | 18 of 69 | 75% |
Exhibit 6: Filings of the last 90 days, with the measured price reaction
| Date · filing | Category | Importance | Next day % | 5-day % |
|---|---|---|---|---|
| 6 Nov 2026 · Board to approve September 2026 quarter and half-year results | results | low | — | — |
| 23 Oct 2026 · Preliminary approval for promoter warrants issue | fund raising | high | — | — |
| 14 Oct 2026 · Routine RTA certificate under SEBI Regulation 74(5) for Sep 2026 quarter | compliance | minimal | — | — |
| 7 Oct 2026 · Corrigendum to 55th AGM notice for promoter warrant issue | fund raising | medium | — | — |
| 28 Sept 2026 · Trading window closes Oct 1 ahead of Q2 FY26 results | compliance | minimal | — | — |
| 15 Sept 2026 · AGM voting results: all 10 resolutions passed with over 94 percent majority | compliance | low | — | — |
| 12 Sept 2026 · 55th AGM summary: warrants to promoter group, USD 100M overseas plan | board shareholder meetings | low | — | — |
| 9 Sept 2026 · Corrigendum to AGM Notice published; warrant issue price fixed at Rs 3.77 | compliance | minimal | — | — |
| 7 Sept 2026 · Corrigendum to 55th AGM notice - adds weblinks for Preferential Issue documents | board shareholder meetings | low | — | — |
| 25 Aug 2026 · FCCB conversion - 26.59 crore shares allotted at INR 3.60 each | fund raising | medium | — | — |
How to read this document
| Where a broker report shows | This document shows | Why |
|---|---|---|
| A rating (BUY / ADD / REDUCE / SELL) | A state: the latest filed quarter and the measured reactions | an event is a fact; a rating is an opinion that requires SEBI RA registration |
| A target price and upside | The current price and the multiples against the group | a target is a forecast; a multiple is a measurement |
| Estimate years marked E | More audited years; no estimates | MarketPing publishes no forecasts — your own model lives on the Models page |
Sources, method and disclosures
This document is a statistical summary of publicly filed information and market data, prepared by software from primary sources: SEBI results XBRL filed with BSE and NSE, LODR disclosures, shareholding patterns, exchange price data. It contains no research recommendation, no price target and no opinion on the merits of any security, and is not a research report within the meaning of the SEBI (Research Analysts) Regulations, 2014, Regulation 2(1)(w)(vii). Financial statements are as filed (consolidated where the company files consolidated results). Ratios are computed over filed lines. Where a figure is unavailable the table shows a dash rather than an estimate. The business brief is written by MarketPing's reader from the annual report and checked against it; no figure in a table was generated by a model. Nothing here constitutes investment advice, an offer or a solicitation; readers should consult a SEBI-registered adviser before acting. MarketPing is not a SEBI-registered intermediary.