Shares of Balrampur Chini Mills surged 9% on Tuesday, November 3, to close at ₹655 apiece, marking the stock’s biggest single-day gain since mid-August.
Although there was no immediate fundamental trigger behind the rebound, a sharp spike in trading volumes helped the stock recover from its recent weakness. Around 7.7 million shares changed hands across the BSE and NSE during the session, nearly 12.2 times the stock’s weekly average volume, according to Trendlyne data.
A rebound in the broader market, along with better-than-expected September-quarter performance by peer Triveni Engineering & Industries, also supported investor sentiment.
Despite Tuesday’s recovery, Balrampur Chini Mills shares remain down around 11% from their October high of ₹736 and nearly 16% below their record peak of ₹781.
Strong quarterly performance from peer
Triveni Engineering & Industries reported a more than fourfold jump in consolidated net profit to ₹93.65 crore for the quarter ended September, compared with a net loss of ₹11 crore in the corresponding quarter of the previous fiscal year.
The improvement was supported by higher sugar realisations, a favourable product mix in its alcohol business, stronger by-product income from distillers dried grains with solubles (DDGS), and continued cost discipline.
Total income rose to ₹2,069 crore in the second quarter of FY27 from ₹1,927 crore in the corresponding period of the previous fiscal year, according to a regulatory filing on Monday.
During the first half of FY27, the company’s net profit increased to ₹97.30 crore from ₹23.48 crore in the year-ago period.
Triveni Engineering said the higher first-half profit was primarily attributable to improved sugar margins on the back of higher realisations, a greater proportion of high-margin maize feedstock, better DDGS realisations and lower finance costs. These factors also supported profitability in Q2 FY27, alongside higher alcohol volumes.
The company said its sugar business benefited from a tight domestic supply-demand balance and firm prices, even as the market witnessed significant volatility and policy intervention during the quarter.
International sugar prices also recovered significantly from their 2026 lows as the global market balance shifted towards a modest projected deficit, while weather-related and production risks returned to focus.
However, prices remain sensitive to Brazil’s production and sugar-ethanol mix, India’s trade position and currency movements, the company said in its regulatory filing.
Sugar price outlook: Tight stocks may support domestic realisations
Triveni Engineering expects domestic sugar prices to remain firm in the short term, particularly against the backdrop of tighter carry-over stocks and an expected monsoon deficit due to El Niño, which could weigh on production in the coming sugar season.
However, the company cautioned that government policy measures, including monthly release quotas, stockholding restrictions and imports, could influence the timing and extent of price transmission.
It also highlighted that the oil marketing companies’ tender for the Ethanol Supply Year (ESY) 2026-27 provides for zero diversion of sugarcane juice, sugar syrup and B-heavy molasses towards ethanol production. This could support sugar availability while reducing feedstock flexibility for integrated sugar companies.
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