Zuari Industries Limited Q2 FY26 Concall Decoded: – Sugar volumes fall, ethanol explodes 44%, Dubai sends ₹800 cr home, and Zuari finally looks awake

1. Opening Hook

Q2 is usually Zuari’s sleepy quarter — no crushing, low sugar noise, investors half-dozing.
This time? Not quite.

Sugar volumes were down, yes. But ethanol ran 311 days, Dubai promised ₹800 crore cash, debt started sweating, and EBITDA quietly tripled. Management didn’t shout “turnaround,” but the numbers were doing enough whispering.

This concall felt less like damage control and more like balance sheet therapy. Ethanol finally behaved, real estate started writing cheques, and legacy losses were shoved into a corner with a “Do Not Disturb” sign.

Stick around. Zuari may still be boring — but boring is starting to pay.

2. At a Glance

• Revenue flat YoY – Sugar quotas said “not today.”
• EBITDA up 154% (Q2) – Ethanol saved the party.
• PAT: loss → profit – From ₹24 cr loss to ₹3.5 cr profit.
• Ethanol production up 44% – Distillery worked harder than management.
• Dubai inflow ₹800 cr (FY27) – Debt can finally exhale.

3. Management’s Key Commentary

“Crushing started on 26th October, earliest ever.”
(Translation: UP weather finally cooperated.) 😏

“Ethanol production increased 44%.”
(Translation: This is no longer a side hustle.)

“Distillery operated 311 days.”
(Translation: Asset utilisation unlocked.)

“Dubai project cash will be fully used for deleveraging.”
(Translation: No fancy adventures, only debt funeral.)

“Strategic investments valued at ₹4,680 crore.”
(Translation: Hidden value still sitting quietly.)

“We are bullish on bioethanol despite policy noise.”
(Translation: Government giveth, government annoyeth.)

4. Numbers Decoded