Vishwaraj Sugar Industries Ltd. (VISHWARAJ) AI Stock Analysis

• Market Cap: ₹1.51B
• Dividend Yield: 2.89%
• Average Volume (3M): 75.09K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.45
• Revenue Growth: -3.45%
• EPS Growth: -858.71%
• Country: IN
• Employees: 880
• Sector: Consumer Defensive
• Sector Strength: 42
• Industry: Food Confectioners
• EPS (TTM): -0.66
• Shares Outstanding: 217,827,700
• 10 Day Avg. Volume: 25,535
• 30 Day Avg. Volume: 75,094
• PEG Ratio: 0.02
• Price to Book (P/B): 0.66
• Price to Sales (P/S): 0.41
• P/FCF Ratio: -2.79
• 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: Hold
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 45 Neutral
• Price Target: ₹7.00 ▲(0.14% Upside)

Vishwaraj Sugar Industries Ltd. is facing significant financial challenges, particularly in profitability and cash flow, which are reflected in its low financial performance score. The technical analysis indicates a bearish trend with weak market momentum, further impacting the stock's attractiveness. While the dividend yield offers some positive aspect, the negative P/E ratio highlights valuation concerns. Overall, the stock score is primarily driven by these financial and technical weaknesses.

Positive Factors

Integrated Operations

Vishwaraj's integrated operations in sugar, ethanol, and power generation enhance efficiency, providing a competitive edge in cost management and sustainability.

Strategic Partnerships

Partnerships with farmers and government bodies secure consistent raw material supply and support ethanol production, bolstering long-term revenue stability.

Ethanol Production

Ethanol production aligns with government renewable energy mandates, offering a growing revenue stream and enhancing market adaptability.

Negative Factors

Declining Revenue

A significant revenue decline impacts profitability and indicates potential market share loss, challenging long-term financial health and growth.

Cash Flow Challenges

Negative free cash flow limits the company's ability to invest in growth opportunities and meet financial obligations, posing a risk to sustainability.

Profitability Issues

A sharp decline in gross profit margin reflects increased cost pressures, reducing profitability and potentially affecting competitive positioning.

Vishwaraj Sugar Industries Ltd. Business Overview & Revenue Model

Company Description

Vishwaraj Sugar Industries Limited manufactures and sells sugar and other related products in India. It operates through Sugar, Co-Generation, Distillery, IML, and Vinegar segments. The company also produces distillery products, including ethanol, and rectified and extra-neutral spirits; and bagasse, molasses, brewed vinegar, compost, press-mud, and carbon dioxide. In addition, it is involved in the co-generation of electricity with an installed capacity of 36.4 MW. The company was formerly known as Vishwanath Sugar and Steel Industries Limited and changed its name to Vishwaraj Sugar Industries Limited in November 2012. Vishwaraj Sugar Industries Limited was incorporated in 1995 and is based in Belgaum, India.

How the Company Makes Money

Vishwaraj Sugar Industries Ltd. generates revenue primarily through the sale of sugar, which constitutes a significant portion of its income. The company also profits from the sale of by-products such as molasses, which is used in the production of alcohol and animal feed, and bagasse, which is utilized for power generation and as a biomass fuel. Furthermore, VISHWARAJ has ventured into ethanol production, capitalizing on government mandates for renewable energy sources, which provides an additional revenue stream. The company's integrated operations allow it to optimize costs and enhance profitability. Strategic partnerships with local farmers for sugarcane procurement and collaborations with government bodies for ethanol projects also play a crucial role in securing consistent revenues and expanding its market presence.

Vishwaraj Sugar Industries Ltd. Financial Statement Overview

Summary

Vishwaraj Sugar Industries Ltd. faces significant challenges with profitability and cash flow generation amid declining revenues and increased costs. The balance sheet remains relatively stable, providing some financial resilience. However, the company needs to address its cash flow issues and improve profitability to enhance its financial health in the competitive food confectioners industry.

Income Statement

Vishwaraj Sugar Industries Ltd. has shown considerable volatility in its income statement metrics. The gross profit margin has declined significantly from 15.3% to 3.1% over the latest annual period, indicating increased cost pressures. Revenue has shown a declining trend with a significant drop of approximately 17.4% from the previous year, affecting overall profitability. The company has also moved from a positive net income to a substantial net loss, reducing its net profit margin to -8.2%.

Balance Sheet

The balance sheet is relatively stable with a debt-to-equity ratio of 1.39, showing manageable leverage. However, the equity ratio has decreased slightly from 35.9% to 34.3%, indicating a slight decline in the company's reliance on equity to finance its assets. Despite these concerns, Vishwaraj maintains a solid base of equity, which contributes to its financial stability.

Cash Flow

The company has faced challenges in its cash flow, with a substantial decrease in free cash flow from a positive position to -664.97 million. The operating cash flow to net income ratio indicates operational efficiencies, but the free cash flow to net income ratio reflects cash flow challenges, impacting the company's ability to generate cash relative to its net earnings.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	4.48B	4.54B	5.50B	6.15B	4.66B	4.10B
Gross Profit	460.25M	139.21M	718.74M	1.09B	1.18B	737.59M
EBITDA	244.18M	193.16M	673.63M	678.56M	942.77M	614.73M
Net Income	-280.67M	-370.23M	144.98M	-234.46M	601.60M	82.93M
Balance Sheet
Total Assets	6.39B	8.19B	7.99B	7.26B	7.70B	7.12B
Cash, Cash Equivalents and Short-Term Investments	23.26M	96.93M	11.93M	15.43M	122.22M	484.02M
Total Debt	3.07B	3.91B	3.66B	3.56B	3.70B	3.76B
Total Liabilities	3.89B	5.38B	5.31B	4.71B	4.87B	4.86B
Stockholders Equity	2.50B	2.80B	2.68B	2.56B	2.83B	2.26B
Cash Flow
Free Cash Flow	883.52M	-664.97M	198.58M	336.11M	19.76M	471.59M
Operating Cash Flow	1.15B	161.54M	1.46B	520.65M	352.11M	559.00M
Investing Cash Flow	-283.18M	-826.51M	-1.25B	-183.76M	-328.07M	-85.27M
Financing Cash Flow	-944.74M	749.97M	-224.42M	-442.61M	-381.01M	-62.15M

Vishwaraj Sugar Industries Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 6.99
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:VISHWARAJ, the sentiment is Negative. The current price of 6.99 is above the 20-day moving average (MA) of 6.93, below the 50-day MA of 7.44, and below the 200-day MA of 8.83, indicating a neutral trend. The MACD of -0.15 indicates Negative momentum. The RSI at 45.87 is Neutral, neither overbought nor oversold. The STOCH value of 20.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:VISHWARAJ.

Vishwaraj Sugar Industries Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MAWANASUG	69 Neutral	₹3.27B	3.13	―	4.75%	6.31%	161.73%
Sector *	62 Neutral	$20.33B	14.63	-3.31%	3.23%	1.93%	-12.26%
INCREDIBLE	60 Neutral	₹1.93B	13.79	―	―	10.59%	82.10%
RAJSREESUG	52 Neutral	₹1.16B	-3.92	―	―	-27.56%	-734.03%
KOTARISUG	49 Neutral	₹2.28B	-182.53	―	―	-39.31%	-110.49%
VISHWARAJ	45 Neutral	₹1.51B	-5.42	―	2.89%	-3.45%	-858.71%