Higher sales volume and better price realisation in sugar helped Triveni Engineering & Industries, a leading integrated sugar and ethanol manufacturer, to register 2.1 per cent growth in net turnover (net of excise duty) at Rs 1,581 crore for Q1 FY27 (April-June). This was despite the lower offtake in alcohol and dip in revenue from wastewater business.

“Profitability improvement in Q1 FY27 is primarily attributable to increase in sugar margin led by higher realisation and lower procurement costs of maize, improved by-product (DDGS) realisation and other production/ operational efficiencies in the alcohol segment,” the company said in a statement.

During Q1 FY27, the company sold 2,77,403 tonnes of sugar, up by 7.4 per cent from 2,58,196 tonnes year-ago, with an average realisation of ₹41,525/tonne against ₹40,421/tonne.

The company has also said that domestic sugar prices remained firm throughout FY26 due to lower-than expected production and further supported by exports. “It is expected that the domestic sugar price would remain firm in the short term, particularly in the backdrop of tighter carry-over stock and expected monsoon deficit due to El-Niño leading to lower production in the coming sugar season,” it said.

El Nino impact

Attributing 0.7 million tonnes (mt) of export and 3 mt of diversion towards ethanol during the current sugar season (October2025-September2026), it said those have impacted the country’s sugar stock, which may reach a 10-year low of 4.1 mt as on September 30, 2026, the lowest since September 2017.

Moreover, there exists uncertainty regarding El-Niño as well which may adversely affect the production volume in 2026-27 season.

Dhruv M. Sawhney, Chairman and Managing Director, said: “FY27 marks the beginning of a new chapter for the Company following the effectiveness of the Composite Scheme of Arrangement and the demerger of the Power Transmission Business into Triveni Power Transmission Limited (TPTL). We are pleased to report a positive start to the year, with improved profitability despite a challenging operating environment characterised by lower sugarcane yields, increased sugarcane prices and evolving ethanol demand dynamics.”

He also said that sugar prices subsequent to the quarter have significantly firmed up in line with the estimates of lower sugar inventories at the end of the Sugar Season 2025-26 as well as due to uncertainties about the impact of El Niño on sugar production next season. “We are all focused on improvement in yields to enhance sugarcane availability and to target other controllable efficiencies,” he added.

The company said that its alcohol business continued its turnaround trajectory and remained a key contributor to the improvement in overall profitability. The business has benefited from lower maize procurement costs, favourable feedstock economics, improved by-product realisations and enhanced operating efficiencies.

Excess capacity

The present position of capacities outstripping demand needs to be rectified to exploit full potential of ethanol, Sawhney said and added: “we look forward to new Policy initiatives under the ‘Beyond E-20’ framework, including adoption of flex-fuel vehicles and new applications for ethanol as these have the potential to strengthen long-term demand for biofuels and create additional growth avenues for the industry.”

In sugar, he said the company’s focus continues to be on improving cane availability, enhancing recoveries and strengthening operational efficiencies.

Triveni is the second largest sugar producer in the country, with 8 units (including one at Shamli through a subsidiary acquired earlier and now amalgamated with the Company). In five units, the company also operates six co-generation power plants with 104.5 MW grid connected capacity.

The company’s sugar inventory as on June 30, 2026 was also lower 0.36 mt as against 0.45 mt year-ago. On the other hand, the realised sugar price was ₹ 38.41/kg against ₹ 37.41/kg.

The gross debt on a standalone basis as on June 30, 2026 is ₹ 1,238 crore (including term loans of ₹ 376 crore), as against ₹ 1,603 crore as on June 30, 2025. The Profit After Tax (PAT) was Rs 4 crore in Q1 versus Rs (-)7 crore year-ago.

Published on July 30, 2026