KCP Sugar and Industries Corporation Ltd is one among the leading sugar manufacturing companies in India. The company was incorporated in October 1995 under the Scheme of Arrangement with The KCP Ltd which was sanctioned by High Court of Madras. Through the said Scheme of Arrangement, the manufacturing units along with certain corporate assets and liabilities of The K.C.P Ltd was vested with the K.C.P.Sugar and Industries Corporation Ltd., with effect from 1st April 1996.
The company operates with a strong legacy rooted in the sugar industry, having evolved from its parent organization to become an independent entity focused on sugar manufacturing and allied business activities. KCP started as a small cooperative sugar plant in 1941 by its founder Sri. V. Ramakrishna, establishing a foundation that continues to influence the company's operations today.
The company's financial performance has faced challenges in recent periods. For the full year, net profit declined 78.25% to Rs 14.39 crore in the year ended March 2025 as against Rs 66.16 crore during the previous year ended March 2024. Sales declined 10.19% to Rs 310.46 crore in the year ended March 2025 as against Rs 345.68 crore during the previous year ended March 2024.
The quarterly performance shows further challenges, with a net loss of KCP Sugar & Industries Corporation reported to Rs 22.22 crore in the quarter ended March 2025 as against a net profit of Rs 11.84 crore during the previous quarter ended March 2024. Sales declined 13.16% to Rs 63.99 crore in the quarter ended March 2025 as against Rs 73.69 crore during the previous quarter ended March 2024.
- Revenue (FY25): ₹310.46 crore
- Net Profit (FY25): ₹14.39 crore
- Net Loss (Q4 FY25): ₹22.22 crore
- Market Capitalization: ₹396.51 Cr (as of July 17, 2025)
- P/E Ratio: 27.55
- P/B Ratio: 0.90
- Dividend Yield: 0.29%
The company has two sugar factories located in Krishna District, Andhra Pradesh, having an aggregate crushing capacity of 11,500 tons per day. However, recent operational changes have streamlined the company's manufacturing footprint. During 2020-21, the Lakshmipuram Unit was closed as the availability and supply of raw material (sugarcane) was proportionately inadequate to run the Unit financially viable. In order to improve the financial and operational efficiency of cane crushing, the crushing operation of Lakshmipuram Unit was merged into Vuyyuru Unit.
Currently, the Company has a Sugar factory at Vuyyuru, Andhra Pradesh with a sugarcane crushing capacity of 7500 tons per day. The company has also diversified its operations beyond sugar manufacturing. The Company during the year 2021-22 set up an Engineering Division in Thuvakudi, Tamil Nadu for Manufacture, Machining and Assembly of Fabricated Products in Ferrous and Non-Ferrous Materials.
The company's business extends beyond traditional sugar manufacturing to include a comprehensive range of allied products. Its allied business consists of manufacturing and marketing of Rectified Spirit, Extra Neutral Alcohol, Ethanol, Incidental Cogeneration of Power, Organic Manure, Mycorrhiza VAM, Calcium Lactate and CO2. This diversified product portfolio helps the company leverage its sugar manufacturing capabilities while creating additional revenue streams from by-products and related industrial materials.
The company offers bio-fertilizers, rectified spirit, extra neutral alcohol, ethanol, surgical spirit, organic manure, mycorrhiza vam, calcium lactate, and carbon dioxide. Additionally, it manufactures liquid-solid separation equipment for industrial and environmental applications; processes urad dal; and provides research services in the areas of agriculture, chemical, and biotechnology. In addition, the company operates a cogeneration plant.
- Promoter Holding: 40.6% as per the latest available data. The promoters of KCP Sugar And Industries Corporation Ltd are DURGAMBA INVESTMENT PRIVATE LIMITED and IRMGARD VELAGAPUDI. They collectively own 40.17 per cent of the total equity.
- The chairman of the company is Vinod R Sethi, providing experienced leadership to guide the company's strategic direction.
- The company maintains regular corporate governance practices with scheduled board meetings and timely disclosure of financial results and material developments to stock exchanges, ensuring transparency for investors and stakeholders.
The stock has experienced volatility in recent periods.
- 52-Week High: ₹61.40
- 52-Week Low: ₹31.11
- Performance: Declined by 18.8% over the past six months and by 30.68% over the last year.
- Sector: Consumer Staples
- Sub-sector: Sugar
KCP Sugar & Industries Corporation announced that the Board of Directors of the Company at its meeting held on 28 May 2025, inter alia, have recommended the final dividend of Rs 0.1 per equity Share (i.e., 10%), subject to the approval of the shareholders. This dividend recommendation demonstrates the company's commitment to returning value to shareholders despite facing operational challenges.
