E I D Parry India : Press Release - 31 March 2017

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E.I.D. - Parry (India) Limited

Regd.Office :Dare House, 234,N.S.C. Bose Road,ParrysCorner, Chennai 600 001, India.Tel : 91 .44.25306789 Fax :91 .44.25341609 I2534085 8

CIN :L2421 lTNl 975PLC006989

Website :www.eidparry.com

May 18, 2017

National Stock Exchange of India Ltd Exchange Plaza, 5th Floor

Plot No.C/1, G. Block

Band ra Kurla Complex, Bandra (E) M um bai - 400 051

BSE Limited

Phiroze Jeejeebhoy Towers Dalal Street, Fort,

Mumbai - 400 001.

Scrip Code: ElDPARRY Scrip Code No: 500125

Dear Sirs,

We enclose a copy of Press Release issued in connection with Audited Standalone and Consolidated Financial Results of the company for the 4th quarter / year ended March 31, 2017 approved by the Board today.

You rs faithfully

For E.I.D.- PARRY (INDIA) LIMITED

c:. c

G.JALAJA

Company Secretary

Encl.: a/a

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LI.D.-Pdn·y (h1Jid) Lh11ited

Regd.Offlce : Dare House,234,N.S.C. Bose Road, Parrys Corner,Chennai 600 001,India.Tel : 91.44.25306789Fax : 91.44.25341609I25340858

CIN : L24211TN1975PLC006989

Website :www.eidparry.com

Press Release

E.I.D.-Parry (India) Limited Financial Results

Chennai, 18thMay 2017:EID Parry (India) Limited, one of the largest manufacturers of Sugar in India, has reported financial results for the quarter and year ended 315t March 2017.

Consolidated performance for the year ended 3tstMarch 2017and Q4 (Jan '17 -Mar '17):

The consolidated turnover for the quarter ended 31st March 2017, was Rs. 3,364 Crores registering a decline of 24 % in comparison to the corresponding quarter of previous year of Rs.4,413 Crores. Profit before depreciation, interest and taxes (EBITDA) and before exceptional item for the quarter ended 31st March 2017 of Rs. 471 Crores against corresponding quarter of previous year of Rs.459 Crores. Consolidated profit after tax and minority interest was Rs. 248 Crores compared to Rs.201 Crores in corresponding quarter of previous year.

The consolidated turnover for the year ended 31st March 2017 was Rs. 14,590 Crores registering a decline of 6% against previous year of Rs.15,456 Crores. Profit before depreciation, interest and taxes (EBITDA) and before exceptional item for the year ended 31st March 2017 was Rs.1585 Crores registering a growth of 59% against previous year of Rs.996 Crores. Consolidated profit after tax and minority interest is Rs. 521 Crores against previous year of Rs.35 Crores.

Standalone performance for the year ended 3tstMarch 2017and Q4 (Jan '17 -Mar '17):

The Standalone turnover for the quarter ended 31st March 2017 was Rs. 759 Crores in comparison to the corresponding quarter of previous year of Rs.949 Crores. Profit before depreciation, interest and taxes (EBITDA) for the quarter ended was Rs. 191 Crores in comparison to the corresponding quarter of previous year of Rs.196 Crores. Standalone profit after tax for the quarter is Rs.164 Crores as againstcorresponding quarter of previous year Rs.123 Crores.

The Standalone turnover for the year ended 31st March 2017 was Rs.2,458 Crores against previous year of Rs.2,649 Crores and Profit before depreciation, interest and taxes (EBITDA) for the year ended wasRs. 509 Crores against previous yea r of Rs. 158 Crores. Standalone Profit after tax is Rs. 284 Crores against loss of Rs. 92 Crores in the previous yea r.

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E.I.D. - Pany(lnJia) liin ited

Regd.Office : Dare House, 234,N.S.C. Bose Road, Parrys Corner, Chennai 600 001, India Tel : 91.44.25306789 Fax : 91.44.25341609 I25 340858

CIN : L24211TN 1975PLC006989

Website : www.eidparry.com

Sugar Division

The Consolidated Sugar operations reported an operating profit of Rs. 118 Crores (corresponding quarter of previous year: Rs. 178 Crores) for the quarter.

Farm Inputs Division

The Consolidated Farm Inputs operations reported an operating profit of Rs.267 Crores (corresponding quarter of previous year: Rs.195 Crores) for the quarter.

Bio-products

For the quarter, Bio-products Division (comprising Bio-Pesticides and Nutraceuticals) registered a Profit before Interest and Tax of Rs. 15 Crores (corresponding quarter of previous year of Rs. 26 Crores).

Merger of Parrys Sugar Industries Limited with the Company

The Scheme of Amalgamation of Parrys Sugar Industries Limited, with the Company was approved by the Board of Directors at their meeting held on 1Qth May 2016.

The NCLT, Chennai and Bengalu ru Benches approved the scheme vide their orders dated on 21st April 2017. Consequent to filing of the certified order copies along with the Scheme with the respective Registrar of Companies on 25th April 2017, the Scheme became effective from 25th April 2017 with the appointed date of 1st April 2016.

Mr V. Ramesh, Managing Director commenting on the standalone results for the year mentioned as follows:

"The improved performance of the Company has been largely on account of better sugar prices, which have been on an upswing since August 2016. The Company has also been implementing a host of other Initiatives in the Sugar Division to improve profitability. In terms of sales, the Company has focussed on product differentiation and value addition to the customers. The Company is a leading supplier of sugar across varied Institutional segments. The product differentiation has been through certifications, particle size distribution, packing modes, structured logistics and key account management. On Retail, the product differentiation has been through focus on health and other benefits. In terms of Manufacturing, the focus has been on cost optimisation across the entire conversion cost chain. The ongoing TPM Initiative at the Company's Unit will enable the Company to achieve Manufacturing Excellence in all its operations. The Division has also been focussing on sustainability initiatives on water, emission and effluent and new technologies with focus on energy and steam consumption. The Nelliku ppam Refinery has been upgraded to meet the stringent pharma standards of production and the Company's Distilleries have implemented a zero liqu id discharge system. There have been conti nued improvements in quality and food safety. However, the availa bility of sugarcane

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EJ.D. - Pdn·y (h1Jia) li111itt!d

Regd.Office : Dare House, 234,N.S.C. Bose Road, Parrys Corner, Chennai 600 001 ,India. Tel : 91.44.25306789 Fax : 91.44.25341609 / 25 340858

CIN : L24211TN1975PLC006989

Website : ww w.eidparry.com

has been a major concern for the year. Tamil Nadu witnessed a very severe drought and this is going to impact cane volumes going forward in 2017-18. Challenges of establishing a revenue sharing mechanism for cane price fixation in Tamil Nadu, continue to remain. The situation in AP on cane crushed has been no different, with much lower rainfall in 2016. In Karnataka too, the Company crushed lesser cane during the year due to lower yield because of drought, combined with farmers diverting cane due to fear of perishals. The Company has paid cane prices, higher than FRP across all the three States and is committed to provide a fair share of its revenue to the farmers. The Government policies, especially at the Centre, have been very supportive. The Government introduced measures like soft loan schemes, production subsidy, mandatory export and ethanol blending programmes in the previous year and once the sugar prices improved to desired levels, the Government reacted promptly with imposition of stock limits, withdrawal of production subsidy, imposition of export duty and withdrawal of excise benefit on ethanol supply for blending.

During the year the Bio Pesticides Division of the Company was severely impacted by significant increase in neem seeds price from previous year's levels due to monsoon failure across the Southern States coupled with increased competition. The unprecedented price increase impacted the profitability resulting in a 45% drop in operating profits, in spite of growth in revenue over the previous year. To mitigate the risks relating to seeds availability, the Division is implementing measures with both the short term and long term horizons in mind. The Division has commenced Research &Development work on new products in the Microbial segment. It would take the Division about 2 years for these new products to be rolled out, in both the domestic and international markets.

The N utraceuticals Division of the Company also witnessed a marginal reduction in the overall sales due to drop in traded product sales over the previous year. Spirulina production from the new green field unit established at Saveriapuram in Tamil Nadu, has stabilised well during the year. Efforts are on to stabilise Chiarella production, which also commenced during the year. The Division has received the USFDA approval for its Oonaiyur facility for organic micro algae cultivation and processing. The Division is stepping up its new product development efforts for value added products based on micro algae, such as Green Foods, Protein and Algal Omega 3.

At the Corporate level, the Company has focussed on reducing the overall debt which has been brought down by about '1200 crores in the last three years, including '376 crores during 16- 17. The Company also received a special recognition at the National level in May'l 7 for its "Commitment to Engagement" as part of the Aon Best Employers India 2017. During the year the Company paid an interim dividend of if4 (400%) per equity share '1each in March 2017."

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