Latest News | Triveni Engineering and Industries Profit Rises 28 Pc to Rs 109 Crore
Get latest articles and stories on Latest News at LatestLY. Triveni Engineering and Industries Ltd, which is into sugar business, has reported a 28 per cent increase in its consolidated net profit at Rs 109.17 crore for the quarter ended March 2022 on lower tax expenses.
New Delhi, May 15 (PTI) Triveni Engineering and Industries Ltd, which is into sugar business, has reported a 28 per cent increase in its consolidated net profit at Rs 109.17 crore for the quarter ended March 2022 on lower tax expenses.
Its net profit stood at Rs 85.02 crore in the year-ago period.
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Total income fell marginally to Rs 1,195.08 crore during January-March quarter of the last fiscal from Rs 1,198.50 crore in the corresponding period of the preceding year.
Net profit rose to Rs 424.06 crore in the last fiscal from Rs 294.61 crore in FY21.
Total income declined to Rs 4,716.23 crore in the 2021-22 fiscal year from Rs 4,733.75 crore in the preceding financial year.
Dhruv M Sawhney, chairman and managing director, Triveni Engineering & Industries Ltd, said: "The company has delivered extraordinary results for the year under review. All the businesses have contributed to improved profitability during the year. Increase in sugar realisation prices by 7 per cent largely compensated for the lower sales volumes by 23 per cent."
He said the country's sugar production in 2021-22 marketing year ending September is estimated at 35.6 million tonnes after diversion of 3.4 million tonnes to ethanol.
The rise in production during the season will be largely absorbed by the increased levels of exports of 9.5 million tonnes.
The closing inventories at the end of 2021-22 are expected to be lower than the previous closing by approximately 1.5 million tonnes.
"It augurs well for the sugar prices. However, it is important that during the ensuing sugar season, additional diversion to ethanol and exports should take care of the additional production (over consumption) so that the closing inventories remain at reasonable levels," Sawhney said.
The company's distillery segment reported strong performance in FY22 driven by higher sales volumes and realisation prices due to improved product mix and increase in price.
Triveni Engineering said that the company commissioned its greenfield multi-feed 160 kilo litres per day distillery at Milak Narayanpur at the beginning of April 2022.
The company also enhanced operations at Sabitgarh from 160 to 200 kilo litres per day.
With these developments, the current distillation capacity of the company is at 520 kilo litres per day, and is at an advanced stage to commission 60 kilo litres per day grain distillery.
The overall capacity will be further expanded through greenfield and brownfield projects to 660 kilo liters per day by July 2022.
"On the engineering side, we believe both our power transmission and water businesses are well placed for the long-term investments expected in their respective business.
"The growth in turnover, profitability and order booking of power transmission is expected to continue next year as well. In water business also, we see a sizeable opportunity in the near future, especially coming after sluggish periods of pandemic which dampened order finalisation and the pace of execution," Sawhney said.
On May 9, 2022, the board of directors have decided to divest the company's entire shareholding in Triveni Turbines Ltd (TTL), aggregating to 21.85% of the equity share capital, keeping in mind the objectives of inter alia unlocking value for stakeholders, timely monetisation of non-core-assets, unbundling of businesses, and enabling the long-term succession planning and facilitation of focused management for the company.
"The proceeds from the divestment of equity shares of TTL are intended to be utilised for inter alia the growth and expansion for business as well as for rewarding shareholders of the company in compliance with applicable law, subject to receipt of such approvals as may be relevant," he said.
Triveni Engineering & Industries Limited (TEIL) is a diversified industrial conglomerate having core competencies in the areas of sugar and engineering. It currently has seven sugar mills in operation at Khatauli, Deoband, Sabitgarh, (all in western Uttar Pradesh), Chandanpur, Rani Nangal and Milak Narayanpur (all in central Uttar Pradesh) and Ramkola (eastern Uttar Pradesh).
While the company's power transmission (gears) manufacturing facility is located at Mysuru, the water & wastewater treatment business is located at Noida.
The company currently operates 6 co-generation power plants located across five sugar units and two molasses-based distilleries in Uttar Pradesh, located at Muzaffarnagar and Sabitgarh.
The company has a multi-feed distillery at Milak Narayanpur. The company manufactures Indian Made Indian Liquor (IMIL) at its Muzaffarnagar distillery.
(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)