Dhampur Sugar Mills Limited (DHAMPURSUG) AI Stock Analysis

• Market Cap: ₹7.75B
• Dividend Yield: N/A
• Average Volume (3M): 6.96K
• Price to Earnings (P/E): 7.5
• Beta (1Y): 1.55
• Revenue Growth: 11.07%
• EPS Growth: -19.56%
• Country: IN
• Employees: 1,218
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Food Confectioners
• EPS (TTM): 4.12
• Shares Outstanding: 64,306,510
• 10 Day Avg. Volume: 4,888
• 30 Day Avg. Volume: 6,957
• PEG Ratio: -0.26
• Price to Book (P/B): 0.71
• Price to Sales (P/S): 0.42
• P/FCF Ratio: 4.52
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 59 Neutral
• Price Target: ₹126.00 ▲(3.28% Upside)
• Action: Reiterated Date: 11/01/25
• Date: Action: Reiterated 11/01/25

Dhampur Sugar Mills Limited faces challenges with volatile financial performance and moderate technical indicators. The stock's valuation is reasonable, but the lack of dividend yield and strong market momentum limits its appeal. The company's ability to manage leverage and improve operational efficiency will be critical for future growth.

Positive Factors

Integrated, diversified business model (sugar, ethanol, power, by-products)

The company converts cane into multiple saleable outputs (sugar, ethanol, cogenerated power, molasses, bagasse). This vertical integration and product diversification reduces reliance on a single commodity price, smooths seasonal swings, and provides multiple cash-generation avenues that endure beyond short-term cycles.

Recent improvements in operating cash flow

Improvements in operating cash flow signal better conversion of earnings into liquid resources. Sustained cash generation supports working capital for crushing seasonality, funds maintenance capex for mills/distilleries, and strengthens ability to service debt without relying on asset sales or short-term funding.

Stable equity base and reasonable return on equity

A stable equity base with reasonable ROE provides a capital cushion against cyclical downturns. It indicates management can earn returns on invested capital, enabling reinvestment in efficiency or capacity while preserving balance-sheet resilience across sugar cycle volatility.

Negative Factors

Volatile revenue and profit trends with recent significant drop

Material swings in revenue and recent declines reduce predictability of earnings and cash flow. For a commodity-linked processor, this undermines planning for cane procurement, ethanol vs. sugar mix, and capacity utilization, raising execution risk for multi-year investments and margin recovery.

Moderately high leverage increases financial risk

Elevated debt-to-equity magnifies interest and refinancing exposure, particularly across seasonal cash cycles. High leverage constrains strategic flexibility, increases vulnerability to margin shocks, and can force asset-light decisions or higher-cost borrowing when operating cash flow weakens.

Margins under pressure; declining EBIT and EBITDA

Sustained margin compression reflects cost or mix challenges (higher cane costs, lower sugar realizations, or suboptimal ethanol/power yields). Lower operating margins reduce free cash flow, limit reinvestment in efficiency projects, and amplify the negative effects of revenue volatility and leverage.

Dhampur Sugar Mills Limited Business Overview & Revenue Model

Company Description

Dhampur Sugar Mills Limited, together with its subsidiaries, manufactures and sells sugar and its byproducts in India. The company operates through Sugar, Chemicals, Ethanol, Power, Portable Spirits, and Others. It manufactures and sells refined, white crystal, and raw sugar; chemicals, such as acetal dehyde, acetic anhydride, oxalic acid, and ethyl acetate; ethanol, including RS, ENA, and industrial alcohol; extra neutral alcohol, fuel grade ethanol, potable alcohol, and other allied products; and country liquor. The company also generates power using bagasse and molasses; and sells petrol, agricultural products, and machinery, as well as services related to machinery. In addition, it operates co-generation facilities with a capacity of 121 megawatts. The company was incorporated in 1933 and is based in New Delhi, India.

How the Company Makes Money

Dhampur Sugar Mills Limited makes money primarily by processing sugarcane into multiple saleable outputs and monetizing each output stream across commodity and regulated markets. Key revenue streams typically include: (1) Sugar sales: The core business is manufacturing sugar (and potentially refined/other sugar variants depending on plant configuration) and selling it into domestic institutional and wholesale channels; realizations are influenced by market prices and, where applicable, government policies affecting the sugar sector. (2) Ethanol/alcohol: The company produces ethanol (and/or other alcohol products) largely from sugarcane-derived feedstocks such as molasses and/or sugarcane juice/syrup, and sells ethanol to oil marketing companies under India’s ethanol blending program; this provides a significant co-product revenue stream and can help diversify earnings away from pure sugar price cycles. (3) Power and energy: Using bagasse (a fibrous by-product of cane crushing) as fuel, the company generates electricity through cogeneration; it earns revenue either by supplying power to its own operations (cost offset) and/or by selling surplus power to the grid under applicable power purchase arrangements (specific counterparties and contract terms are not available here: null). (4) By-products and allied sales: Additional income comes from selling by-products such as molasses, bagasse (if not fully consumed in cogeneration), and press mud (often used as fertilizer/soil conditioner), as well as other ancillary/agri-related outputs linked to milling operations. Overall profitability is driven by the mix between sugar and ethanol production, cane availability and procurement pricing, capacity utilization of mills/distilleries/cogeneration units, and policy/price dynamics in India’s sugar and ethanol markets; specific partnership details beyond sector-wide counterparties are not available here: null.

Dhampur Sugar Mills Limited Financial Statement Overview

Summary

Dhampur Sugar Mills Limited operates in a challenging environment with volatile revenue and profit trends. While there are risks associated with high leverage, the company maintains a stable equity position and has shown improvements in cash flow generation. Continued focus on operational efficiency and debt management is crucial for future stability.

Income Statement

The company shows a volatile revenue trend with a significant drop in recent years. Gross and net profit margins have been under pressure, indicating challenges in cost management and profitability. A decline in EBIT and EBITDA margins also point to operational inefficiencies.

Balance Sheet

The balance sheet reveals a moderately high debt-to-equity ratio, suggesting leverage risk. However, the equity ratio is stable, and there is a reasonable return on equity, reflecting a balanced financial structure despite the liabilities.

Cash Flow

Operating cash flows have been inconsistent, with recent improvements. The free cash flow to net income ratio indicates the ability to generate cash from operations, although historical fluctuations highlight potential liquidity concerns.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	20.57B	19.57B	21.69B	24.60B	18.78B	20.21B
Gross Profit	4.50B	4.34B	5.31B	3.61B	4.63B	3.69B
EBITDA	1.88B	1.70B	2.98B	3.18B	2.97B	3.16B
Net Income	576.70M	522.10M	1.34B	1.57B	1.44B	2.29B
Balance Sheet
Total Assets	18.26B	23.87B	23.57B	21.22B	21.65B	34.71B
Cash, Cash Equivalents and Short-Term Investments	2.47B	1.50B	483.20M	384.40M	445.50M	724.10M
Total Debt	5.05B	9.36B	9.81B	7.44B	8.86B	11.58B
Total Liabilities	6.99B	12.34B	12.56B	10.79B	12.80B	19.11B
Stockholders Equity	11.26B	11.52B	11.00B	10.43B	8.85B	15.60B
Cash Flow
Free Cash Flow	5.65B	1.80B	-1.26B	2.34B	-881.50M	7.92B
Operating Cash Flow	5.79B	2.01B	-525.50M	3.83B	-1.50M	8.80B
Investing Cash Flow	-1.92B	223.50M	-916.20M	-1.46B	-908.80M	-800.40M
Financing Cash Flow	-4.76B	-1.11B	1.09B	-2.43B	771.20M	-7.38B

Dhampur Sugar Mills Limited Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 122.00
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:DHAMPURSUG, the sentiment is Neutral. The current price of 122 is above the 20-day moving average (MA) of 120.77, above the 50-day MA of 119.07, and below the 200-day MA of 133.19, indicating a neutral trend. The MACD of 0.34 indicates Positive momentum. The RSI at 49.54 is Neutral, neither overbought nor oversold. The STOCH value of 19.16 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for IN:DHAMPURSUG.

Dhampur Sugar Mills Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UTTAMSUGAR	64 Neutral	₹7.75B	8.10	―	0.95%	19.83%	46.44%
MAGADSUGAR	63 Neutral	₹6.08B	7.06	―	2.49%	8.96%	-19.55%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
AVADHSUGAR	60 Neutral	₹8.35B	11.08	―	2.63%	4.95%	-26.77%
DHAMPURSUG	59 Neutral	₹7.75B	7.49	―	―	11.07%	-19.56%
DWARKESH	55 Neutral	₹6.90B	11.32	―	1.34%	11.15%	―
UGARSUGAR	50 Neutral	₹4.18B	8.79	―	0.60%	20.40%	―