For Q3 FY25, the revenue from the Sugar business was Rs 1,041.57 crore (up 4.83% YoY), Chloro-vinyl segment revenue was Rs 931.64 crore (up 32.88% YoY), and fertilizer business revenue was Rs 382.97 crore (down 8.37% YoY).

Further, revenue from the Shriram Farm Solutions (SFS) segment was Rs 707.97 crore (up 18.76% YoY), Fenesta Building System segment revenue was Rs 223.44 crore (up 4.47% YoY), and that from Bioseed was Rs 167.93 crore (up 21.91% YoY).

Commenting on the performance in a joint statement, Ajay Shriram, chairman & senior managing director, and Vikram Shriram, vice chairman & MD, said, “The global economic growth for calendar year 2024 ended on a mixed note, and for 2025, it is projected to be modest. The geopolitical landscape continues to be unpredictable. Central banks across major economies are expected to adopt more accommodating policies in response to the economic slowdown.

However, the US will see slower adoption of accommodating policies, leading to global uncertainty. In India, GDP growth is forecasted lower at around 6.50% in FY 2026; there are concerns about inflation and structural challenges at the global and domestic levels.

The caustic soda segment continues to function at reasonable operating levels on account of increased demand from key end-user industries. The prices have been volatile and are susceptible to sudden changes on account of supply chain imbalances. Excess capacities in India are impacting ECUs.

The reduction in energy costs has provided support to overall cost structure. Volumes on account of H2O2, aluminum Chloride and flexi flaker plant at Bharuch have further added to the overall profitability of the Chemicals complex. The chlorine downstream projects announced in the last quarter will further strengthen the utilization levels and profitability of the chemical complex.

Both global and Indian sugar production estimates have been revised downward. The sugar business is facing margin pressures as prices are yet not commensurate with the increase in cost of production in the last season. The industry is pushing for allowing exports and a higher MSP for sugar. Ethanol business outlook remains positive. Loni capacity expansion came online in the current quarter, and the CBG project will get commissioned in the next quarter.

The Fenesta business is focusing on enhancing growth in the core segment as well as developing new revenue platforms, hardware being one of them. Shriram Farm Solutions business continues to drive growth with its science-based products. Its new product launches are being well appreciated by the market. Considering the strength of our balance sheet, we are proactively seeking growth opportunities in adjacencies that will enable us to increase our scale, improve integration, and enhance cost efficiencies.”

Meanwhile, the company’s board has declared an second interim dividend of Rs 3.60 per equity share (par value Rs 2 each) to members as of the record date 24 January 2025. The dividend will be paid on or before 16 February 2025.

Further, the Board has approved the raising of funds through the issuance of non-convertible debentures (NCDs) in one or more tranches, up to a total of Rs. 1,000 crore, via private placement. The board has delegated the authority to the board finance committee to determine, among other things, the quantum, timing, and other terms and conditions related to the issuance of the NCDs.

Lastly, the company’s board has approved to invest up to Rs 65 crore for acquiring one or more entities engaged in hardware manufacturing business and buyout manufacturing assets of hardware business adjacent to Fenesta building systems business of the company.

DCM Shriram is a diversified company with presence in agri-rural business, chloro-vinyl business, and value-added business (fenesta building systems—UPVC windows & doors).