Ajay Shriram, Chairman and Senior Managing Director

DCM Shriram, a diversified company in sugar, chemical and fertiliser business, has announced ₹604 crore Profit After Tax (PAT) for FY2024-25, up by 35 per cent from ₹447 crore in FY24 due to significant growth in turnover of pesticides, chemicals and vinyl segments.

Shriram Farm Solutions (mainly pesticides) will continue to focus on providing research-driven and differentiated products to farmers and leveraging digital platforms to expand farmer engagement, Ajay Shriram, Chairman and Senior Managing Director, and Vikram Shriram, Vice Chairman and Managing Director, said in a joint statement.

 Vikram Shriram, Vice Chairman and Managing Director

“Global and domestic caustic prices were better supported, although they were volatile. Domestic demand for caustic soda has improved, even as chlorine was under pressure. The ECU (Electrochemical Unit) prices are still suboptimal,” the joint statement said.

Further, it also said that DCM Shriram had commissioned most of its announced projects in chemicals in FY25 with “reasonable capacity utilisation”, leading to volume-led growth and better cost structure. “The chlorine downstream projects, once operational, will further enhance the utilization rates of chlor-alkali and strengthen the chemicals business,” it said.

The ECU realisation is the revenue from the sale of a standard unit of chlorine and caustic soda produced through the electrolysis of brine.

DCM Shriram also said that the growth patterns in the world economy are becoming very uncertain, with projections indicating a global growth rate of less than 3 per cent for 2025 and 2026. The imposition of reciprocal tariffs by the United States and consequent retaliation by China have sent shockwaves through international markets, extending far beyond bilateral relations, influencing supply chains, inflation rates, and economic stability worldwide, it said.

Appreciating the measures like interest rates cut by the Reserve Bank of India (RBI), terming those as pro-growth oriented, the statement said it may stimulate economic activity amid global recessionary concerns and volatility.

Further, it said that the sugar and ethanol business is stable with increased prices over the last couple of months and, consequently, margins. The sugar stocks for the 2024-25 season (October-September) in India are expected to be lower than last year on account of lower production, which shall also support the prices, it said. “We have commissioned 12 tonnes per day (TPD) compressed biogas (CBG) project in March 2025. There is a need for fundamental shift in sugar policy framework, in order to make it remunerative for the farmers as well as manufacturers,” said both the top executives of the company.

On UPVC doors and windows business under ‘Fenesta’ brand, the company said that it is strategically prioritizing accelerated growth in its core segment, while also expanding into new revenue platforms such as Facade, Wooden doors, and Hardware.

Leveraging our strong balance sheet, we are strategically expanding into adjacencies to drive scale, enhance operational integration, and maximize cost efficiencies, positioning ourselves for sustained competitive advantage.”

Sharing the FY25 financial results, it said consolidated net revenue was ₹12,077 crore, up 11 per cent over FY24. Revenue from chemicals and vinyl business rose 24 per cent to ₹3,562 crore in FY 25, whereas from farm solutions division reported 21 per cent jump to ₹1,436 crore. Other major contributors like the sugar and ethanol segment, have reported a 4 per cent up in revenue to ₹3,862 crore while fertilisers dropped 4 per cent to ₹1,468 crore. But, Fenesta building system has reported a 4 per cent jump in turnover to ₹868 crore while the bioseed division reported a 17 per cent rise in revenue to ₹648 crore.

Published on May 6, 2025