DELTA SUGAR
SUGR
Financial ResultsNegative News
Delta Sugar's Profits Plunge 43% Amid Rising Costs and Lower Sales
Delta Sugar reports a 43% profit decline in 2024 due to rising production costs and lower sales volumes.
October 23, 2024 at 12:55:00 PMScore: 88

Delta Sugar reported a net profit of EGP 1.16 billion for the first nine months of 2024, a sharp decline from EGP 2.02 billion in the same period last year. Revenue fell to EGP 2.18 billion, down from EGP 5.56 billion year-on-year, with basic earnings per share dropping to EGP 6.61 from EGP 8.04. The company cited soaring production costs, reduced sugar sales volumes, and elevated interest expenses as primary drivers of the downturn. Quarterly results were equally grim, with net profits sliding 33% to EGP 216.75 million compared to EGP 323.78 million in Q3 2023.
Recommended Actions
- Monitor Delta Sugar's cost management strategies
- Consider holding or reducing positions until operational improvements
- Track sugar market demand trends
- Review interest rate exposure in investment portfolio
- Compare performance against industry peers before decisions
Negative Aspects
- 43% drop in annual net profits
- 62% revenue decline year-on-year
- Rising production costs
- Reduced sugar sales volumes
- Increased interest expenses