Dalmia Bharat Sugar and Industries Limited Just Recorded A 6.9% Revenue Beat: Here's What Analysts Think

Shareholders might have noticed that Dalmia Bharat Sugar and Industries Limited (NSE:DALMIASUG) filed its first-quarter result this time last week. The early response was not positive, with shares down 3.0% to ₹396 in the past week. It was a workmanlike result, with revenues of ₹9.6b coming in 6.9% ahead of expectations, and statutory earnings per share of ₹33.66, in line with analyst appraisals. This is an important time for investors, as they can track a company's performance in its report, look at what expert is forecasting for next year, and see if there has been any change to expectations for the business. We've gathered the most recent statutory forecasts to see whether the analyst has changed their earnings models, following these results.

View our latest analysis for Dalmia Bharat Sugar and Industries

Taking into account the latest results, the most recent consensus for Dalmia Bharat Sugar and Industries from lone analyst is for revenues of ₹35.2b in 2025. If met, it would imply a solid 16% increase on its revenue over the past 12 months. Per-share earnings are expected to rise 8.4% to ₹35.60. Yet prior to the latest earnings, the analyst had been anticipated revenues of ₹35.3b and earnings per share (EPS) of ₹36.70 in 2025. The analyst seem to have become a little more negative on the business after the latest results, given the minor downgrade to their earnings per share numbers for next year.

It might be a surprise to learn that the consensus price target was broadly unchanged at ₹490, with the analyst clearly implying that the forecast decline in earnings is not expected to have much of an impact on valuation.

Taking a look at the bigger picture now, one of the ways we can understand these forecasts is to see how they compare to both past performance and industry growth estimates. The analyst is definitely expecting Dalmia Bharat Sugar and Industries' growth to accelerate, with the forecast 22% annualised growth to the end of 2025 ranking favourably alongside historical growth of 8.9% per annum over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 10% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Dalmia Bharat Sugar and Industries is expected to grow much faster than its industry.

The Bottom Line

The most important thing to take away is that the analyst downgraded their earnings per share estimates, showing that there has been a clear decline in sentiment following these results. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at ₹490, with the latest estimates not enough to have an impact on their price target.

With that in mind, we wouldn't be too quick to come to a conclusion on Dalmia Bharat Sugar and Industries. Long-term earnings power is much more important than next year's profits. At least one analyst has provided forecasts out to 2026, which can be seen for free on our platform here.

We don't want to rain on the parade too much, but we did also find 1 warning sign for Dalmia Bharat Sugar and Industries that you need to be mindful of.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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