KCP Sugar & Industries Corp. Ltd. (KCPSUGIND) AI Stock Analysis

• Market Cap: ₹2.79B
• Dividend Yield: 0.38%
• Average Volume (3M): 10.84K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.28
• Revenue Growth: -13.84%
• EPS Growth: -149.34%
• Country: IN
• Employees: 328
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Food Confectioners
• EPS (TTM): 0.04
• Shares Outstanding: 113,385,050
• 10 Day Avg. Volume: 7,635
• 30 Day Avg. Volume: 10,843
• PEG Ratio: -0.36
• Price to Book (P/B): 0.90
• Price to Sales (P/S): 1.30
• P/FCF Ratio: 8.88
• 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: 52 Neutral
• Price Target: ₹33.00 ▲(28.16% Upside)

KCP Sugar & Industries Corp. Ltd. has a stable financial position with improving profitability, but technical indicators suggest a bearish trend. The stock's valuation is concerning due to a negative P/E ratio and low dividend yield. These factors contribute to a moderate overall score, with financial performance being the strongest aspect.

Positive Factors

Cash Flow Generation

Strong free cash flow generation indicates efficient cash management and provides the company with flexibility to invest in growth opportunities or weather economic downturns.

Balance Sheet Health

A strong equity position and healthy equity ratio suggest financial stability, reducing the risk of insolvency and enhancing the company's ability to secure financing if needed.

Revenue Diversification

Diversified revenue streams from sugar, ethanol, and power co-generation reduce dependency on a single market, providing resilience against sector-specific downturns.

Negative Factors

Inconsistent Revenue Growth

Inconsistent revenue growth can lead to unpredictability in financial performance, making it challenging to plan long-term investments and strategies effectively.

Margin Volatility

Volatile EBIT margins indicate inconsistent operational efficiency, which may affect profitability and signal challenges in managing costs or adapting to market changes.

Declining Gross Profit Margin

A declining gross profit margin suggests rising costs or pricing pressures, which could erode profitability if not managed effectively over the long term.

KCP Sugar & Industries Corp. Ltd. Business Overview & Revenue Model

Company Description

K.C.P. Sugar and Industries Corporation Limited, together with its subsidiaries, manufactures and sells sugar and related products in India and internationally. It also provides bio fertilizers; chemicals comprising industrial alcohol, carbon dioxide, and calcium lactate, as well as organic manure and mycorrhiza vam products; and rectified spirit, extra neutral alcohol, and ethanol. In addition, the company manufactures liquid–solid separation equipment for industrial and environmental applications; and offers research services related to agriculture. Further, it operates cogeneration plant in Vuyyuru, Krishna District, Andhra Pradesh. The company was incorporated in 1995 and is based in Chennai, India.

How the Company Makes Money

KCPSUGIND generates revenue primarily through the sale of sugar, which constitutes its main product offering. The company benefits from the pricing dynamics of the sugar market, which can fluctuate based on supply and demand factors, government policies, and international trade. In addition to sugar sales, KCPSUGIND earns income from the sale of by-products such as molasses, which is used in various industries including alcohol and animal feed production. The company's ethanol production also contributes significantly to its revenue, especially given the increasing demand for biofuels and government incentives for renewable energy sources. Furthermore, KCPSUGIND's cogeneration power plants produce electricity that is sold to the grid, adding another revenue stream. Partnerships with agricultural suppliers and distribution networks further enhance its market reach and operational efficiency, contributing positively to its financial performance.

KCP Sugar & Industries Corp. Ltd. Financial Statement Overview

Summary

KCP Sugar & Industries Corp. Ltd. shows a stable financial position with improving profitability and cash flow generation. Revenue growth is positive but inconsistent, and margin volatility suggests areas for careful management. The strong balance sheet and cash flow generation support operational resilience.

Income Statement

The company demonstrates a positive trend with revenue growth, though the rate is inconsistent. The gross profit margin shows a decline from previous years, indicating potential cost increases or pricing pressure. Net profit margin has improved significantly, reflecting better cost management or pricing strategies. However, the EBIT margin remains volatile, suggesting fluctuating operational efficiency.

Balance Sheet

The balance sheet indicates a strong equity position with a healthy equity ratio, suggesting financial stability. The debt-to-equity ratio shows an improving trend, reducing financial leverage. Return on equity has shown improvement, highlighting enhanced profitability relative to shareholder equity.

Cash Flow

Cash flow analysis reveals strong free cash flow generation, with a notable free cash flow growth rate. Operating cash flow to net income ratio indicates efficient cash flow management. However, fluctuations in free cash flow to net income ratio suggest potential inconsistencies in cash conversion or capital expenditure impacts.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	2.81B	3.10B	3.46B	2.89B	3.19B	3.29B
Gross Profit	443.28M	489.79M	835.83M	846.01M	920.21M	678.51M
EBITDA	70.93M	431.99M	959.39M	900.00M	300.33M	478.39M
Net Income	-205.76M	143.87M	661.60M	581.72M	35.77M	233.02M
Balance Sheet
Total Assets	0.00	6.19B	6.66B	6.28B	5.78B	6.43B
Cash, Cash Equivalents and Short-Term Investments	1.26B	1.26B	1.10B	1.18B	938.36M	735.82M
Total Debt	0.00	993.23M	1.47B	1.84B	1.90B	2.70B
Total Liabilities	-4.50B	1.68B	2.27B	2.56B	2.62B	3.30B
Stockholders Equity	4.50B	4.50B	4.39B	3.72B	3.15B	3.13B
Cash Flow
Free Cash Flow	0.00	455.07M	356.28M	-26.02M	1.10B	6.58M
Operating Cash Flow	0.00	508.80M	424.60M	63.00M	1.14B	174.43M
Investing Cash Flow	0.00	-58.59M	-70.69M	337.31M	8.40M	-109.11M
Financing Cash Flow	0.00	-446.17M	-503.85M	-203.92M	-1.02B	-111.52M

KCP Sugar & Industries Corp. Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 25.75
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Positive
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:KCPSUGIND, the sentiment is Negative. The current price of 25.75 is below the 20-day moving average (MA) of 25.92, below the 50-day MA of 27.07, and below the 200-day MA of 32.43, indicating a bearish trend. The MACD of -0.55 indicates Positive momentum. The RSI at 29.34 is Positive, neither overbought nor oversold. The STOCH value of 12.66 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:KCPSUGIND.

KCP Sugar & Industries Corp. Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAWANASUG	78 Outperform	₹3.26B	3.09	―	4.69%	6.31%	161.73%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
PONNIERODE	56 Neutral	₹2.23B	11.88	―	1.13%	―	―
SAKHTISUG	56 Neutral	₹2.11B	7.92	―	―	1.70%	-71.32%
KCPSUGIND	52 Neutral	₹2.79B	-6.96	―	0.38%	-13.84%	-149.34%
RAJSREESUG	52 Neutral	₹1.04B	-3.54	―	―	-27.56%	-734.03%
KOTARISUG	49 Neutral	₹2.20B	-171.45	―	―	-39.31%	-110.49%

KCP Sugar & Industries Corp. Ltd. Corporate Events

KCP Sugar Releases Q2 Financial Results

KCP Sugar & Industries Corporation Ltd. announced the publication of its unaudited financial results for the second quarter ending September 30, 2025, in prominent newspapers. This disclosure aligns with regulatory requirements and demonstrates the company’s commitment to transparency, potentially impacting stakeholders’ perception and the company’s market position.

KCP Sugar & Industries Corp. Reports Q2 Financial Results

KCP Sugar & Industries Corporation Ltd. announced the approval of its unaudited standalone and consolidated financial results for the second quarter and half-year ending September 30, 2025, during a board meeting held via video conferencing. The company reported a total income of Rs. 13,732.93 lakhs for the standalone results and Rs. 15,548.51 lakhs for the consolidated results, with a profit before tax of Rs. 2,372.81 lakhs and Rs. 2,545.03 lakhs, respectively. The statutory auditors issued an unmodified audit report, indicating no significant issues with the financial statements, which may positively impact stakeholder confidence.