Davangere Sugar Company Ltd Company Profile: Products, Promoters and Clients

Davangere Sugar Company Ltd Company Description

It is a prominent player in the Indian sugar industry, and is known for its high-quality sugar production and diverse products and services. The company operates with a focus on sustainable practices and innovative processes to meet the demands of both domestic and international markets.

Finding multibagger stocks is important for building wealth. Discover potential multibaggers at Sovrenn Discovery     

Q1.What are the Products and Service offerings of the Company?

1.Sugar

A major force in the sugar sector, Davangere Sugar Company Ltd. runs a sizable facility with a 6000 TCD (tonnes of cane crushed daily) capacity. The company's large sugar facility, which occupies over 2,83,874 square feet, is one example of how committed it is to efficiency. 

The construction of five sizable warehouses, each with the capacity to hold six lakh quintals of sugar, further demonstrates the company's commitment to reliable distribution and storage, which guarantees a smooth supply chain.

2.Cogeneration

With its Co-generation power plant, which occupies 1,23,018 square feet and has an installed capacity of 24.45 MW per day, the company reached a significant milestone in FY04. The company's commitment to efficient electricity generation is demonstrated by this large facility. 

The power division has grown significantly in size and sustainability over time, as seen by the noteworthy increase in output from 4,39,82,700 KWH in FY20 to an astounding 6,22,17,400 KWH in FY23. This company's growth trajectory highlights its ongoing efforts to progress renewable energy solutions and make a positive impact on the environment.

3.Distillery

The main goal of the Davangere Sugar Company Ltd. distillery is to produce alcohol, specifically ethanol. In order to extract alcohol from other components, feedstocks like molasses or other sources of sugar must first undergo fermentation. The resultant alcohol can be used as a versatile biofuel, in alcoholic beverages, and as an industrial solvent.

Investing has built huge wealth for several HNI investors. Learn investing FREE OF CHARGE at Sovrenn Education

Segment Revenue - FY23:
Sugar ~47%, Distillery ~45%, Co-generation ~8%

Q2.Who are the Promoters of the Company?

Mr. S.S. Ganesh 

Managing Director

Mr. S.S. Ganesh, a prominent businessman and industrialist, has been the company's managing director since 2002. The organisation reached new heights in terms of technology and finances under his creative leadership. He has demonstrated how the sector may reach new heights of success by implementing dynamic management techniques, professional management, and fostering a culture of teamwork.

Mr. Abhijith G Shamanur

Executive Director

He holds a degree in industrial engineering from Northeastern University in Boston, Massachusetts. From the University of London, he received his Master of Business Administration degree. He has been actively involved in the organisation for the past ten years, and he currently holds the position of Executive Director. Mr. Shamanur E. Abhijith G.

Q3.Who are the Clients of the Company?

1.Worldwide Sugar Consumers

Davangere Sugar Company is a major player in the world sugar market, providing consumers with refined sugar all over the world. Their dedication to excellence guarantees that their sugar satisfies the highest requirements for a wide range of foreign clients.

2.Energising the Neighbourhood Grid

Davangere Sugar powers a 24.45 MW cogeneration facility, which adds a substantial amount to the Karnataka state electrical system. This renewable energy solution demonstrates the company's commitment to renewable energy sources while assisting the local power supply.

Also Read: Eraaya Lifespaces Company Profile: Products, Promoters and Clients

3.Offering Fuel That's Eco-Friendly

The 65 KLPD ethanol facility at Davangere Sugar provides ethanol for mixing with petrol. This programme encourages the use of cleaner energy by providing fuel blending companies with an environmentally appropriate substitute for conventional fuels.

4.Providing Industries with Molasses

The business manufactures B-Heavy molasses, a significant byproduct of the production of sugar. The fact that this molasses is sold to so many different industries for so many different uses demonstrates how adaptable Davangere Sugar's operations are.

5.Collaborating with Different Sugar Mills

Davangere Sugar has enduring partnerships with a large number of sugar mills. They encourage a cooperative spirit in the business by supporting and working with other mills by continuously providing high-quality products.

Also Read: GCM Capital Advisors Limited Company Profile: Products and Promoter

(By Medhansh Bairaria)