Sayaji Industries reports Q1FY27 results, showing margin expansion amidst inflation; focuses on specialty ingredients growth

Sayaji Industries reports Q1FY27 results, showing margin expansion amidst inflation; focuses on specialty ingredients growth​

Sayaji Industries Limited, a company with deep roots in India's maize industry since 1941, reported consolidated figures for the first quarter of FY27 (Q1FY27). The results reflect a focus on transitioning towards high-value speciality food ingredients, providing a healthy start to the financial year.

The company recorded revenue from operations of ₹288 crore in Q1FY27, achieving an EBITDA of ₹21 crore, translating to an EBITDA margin of 7.3%. This performance comes despite pressures from input costs, energy prices, and logistics inflation across the industry.

Q1FY27 Financial Snapshot (Consolidated)​

The Q1FY27 P&L details highlight significant improvements in profitability compared to previous periods.

Management Commentary and Operational Focus​

Mr. Priyam B. Mehta, Chairman & Managing Director, noted that while the company has navigated cost inflation related to food ingredients and energy, it remains on track due to healthy volumes and margins. During Q1FY27, an average sales price increase of 3-4% was recorded.

On a strategic and operational level, management provided several key updates:

• Technology Modernisation: The Technology Modernisation and Automation Project is progressing well; approximately 95% of the machinery and material has been delivered, with installation currently underway. The project is expected to be commissioned by September 2026, promising significant cost savings once operational.
• Joint Ventures (JVs): Progress continues on both JV projects. The Alland & Sayaji Gum Arabic Spray-Drying Plant #2 is slated to commence work by the end of September 2026, with civil works expected in Q3FY27. Similarly, the Nigay & Sayaji Caramel Colours Plant is due to commence operations around the same timeline.
• Market Outlook: The company highlighted healthy visibility from domestic markets and focused energy on alternate export opportunities in the United States, despite logistics pressures faced in the Middle East market.

Business Structure and Infrastructure​

Sayaji Industries, established in 1941, has evolved from an early maize wet milling operation into a full-fledged maize starch and derivatives company with diversified verticals, including spray-drying food ingredients and international joint ventures (JVs).

The manufacturing infrastructure, located in Ahmedabad, Gujarat, is an integrated corn wet milling complex. Key operational details include:

• Capacity: Maize crushing capacity stands at approximately 1,000 TPD.
• Energy Efficiency: The company meets 86% of its total power requirement through captive sources, which include solar and gas engine power generation. This contributes to more than a 50% energy cost saving versus grid reliance.
• Capacity Utilization: The Spray Dryer Division currently operates with about 71% capacity utilization (FY26).

The product portfolio spans Native Starches, Modified Starches, and various derivatives like Liquid Glucose, Dextrose Monohydrate (DMH), and Dextrose Anhydrous (DAH).

Capital Expenditure Roadmap​

Management outlined a comprehensive CAPEX roadmap designed for mid-term expansion and long-term transformation. Key projects under execution include:


The company is also evaluating a greenfield opportunity for a maize starch and derivatives plant in a designated maize belt location, subject to certain internal milestones being met.

Stock Price Movement​

As of 10:24, Sayaji Industries Ltd is ticking up at ₹107.00, reflecting a strong daily gain of 3.38%. The shares are active within the day, trading between an intraday low of ₹106.00 and a high of ₹108.00.