**NSE/BSE Listed | (Formerly Joonktollee Tea & Industries Limited)** Shri Vasuprada Plantations Limited is a diversified agricultural enterprise with a **150-year** legacy in the plantation sector. Currently managed by the **House of Bangurs**, the company specializes in the cultivation and processing of **Tea, Coffee, and Rubber**. With a strategic footprint across **Assam, Karnataka, and Kerala**, the company is currently undergoing a structural transformation to streamline its asset base, enhance agricultural yields, and stabilize its financial position. --- ### Asset Portfolio and Geographic Footprint The company manages a diverse portfolio of **8 estates** directly or through its subsidiaries. These assets are categorized by their primary produce and strategic location: | Segment | Estates | Locations | | :--- | :--- | :--- | | **Tea** | **Joonktollee, Jamirah, Nilmoni, Shree Ganga, Goomankhan, Pullikanam, Kolahalmedu, Azizbagh** | Assam, Karnataka, Kerala | | **Coffee** | **Cowcoody** | Coorg, Karnataka | | **Rubber** | **Chemoni, Echipara, Pudukad** | Trichur, Kerala | **Key Asset Highlights:** * **Bearer Plants:** The company’s core productive assets consist of tea/coffee bushes and rubber trees. * **Maturity Profiles:** Tea attains maturity in **3 years** (life: **50–60 years**); Coffee in **4 years** (life: **30–80 years**); and Rubber in **7 years** (life: **30 years**). * **Certifications:** Operations are backed by **ISO 9001:2015** and **ISO 22000:2018** standards. The **Azizbagh Estate** holds the prestigious **Rainforest Alliance Certification**. --- ### Financial Performance and Segment Revenue In **FY 2024-25**, the company achieved a significant financial turnaround, reporting a **Net Profit of ₹568.66 lakhs**, rebounding from a **Net Loss of ₹830.96 lakhs** in the previous fiscal year. #### Consolidated Revenue Breakdown (₹ Lakhs) | Segment | FY 2023-24 | FY 2022-23 | | :--- | :--- | :--- | | **Tea** | **7,574.06** | **8,697.63** | | **Coffee** | **1,063.98** | **762.27** | | **Rubber** | **2,001.66** | **1,833.32** | | **Others** | **121.83** | **110.11** | | **Total** | **10,761.53** | **11,403.33** | #### Production and Realization Metrics (FY 2024-25) * **Tea:** Produced **32,23,423 Kgs**. While volumes dipped from the previous year, the company maintains a premium positioning with average prices of **₹208/kg** for Assam tea. * **Coffee:** Produced **3,36,773 Kgs** (84,782 Kgs Arabica; 251,991 Kgs Robusta). Price realization saw a massive surge to **₹448/kg**, up from **₹286/kg** in the prior year. * **Rubber:** Produced **15,49,104 Kgs**, showing strong growth from **11,67,320 Kgs** in FY24. Average realization stands at **₹149/kg**. --- ### Capital Structure and Strategic Financing The company has proactively restructured its balance sheet through private placements and debt instruments to fund long-term growth and replanting cycles. * **Non-Convertible Debentures (NCDs):** **₹23 Crore** in **9% Secured Listed NCDs** (ISIN: **INE574G07010**). These are secured by the title deeds of the **Cowcoody Estate** and mature on **March 21, 2033**. * **Preference Shares:** **24,00,000** units of **6% Redeemable Non-convertible Non-cumulative Preference Shares** (Face Value **₹100**), treated as compound financial instruments with a **20-year** tenure. * **Credit Ratings:** * **NCDs:** Recently upgraded to **IND BB/Stable** (India Ratings & Research). * **Bank Facilities:** **IVR BB (Stable)** / **IVR A4** (Infomerics). * **Debt Ratios:** The **Net Debt to Equity Ratio** stood at **0.42** as of March 2025. Standalone borrowings totaled **₹5,616.58 lakhs**. --- ### Corporate Restructuring and Divestment Strategy Management is focused on "slimming down" the corporate structure to focus exclusively on high-yield plantation activities. * **Subsidiary Exit:** The company successfully divested its stake in **Pranav Infradev Company Pvt. Ltd. (PICPL)**. A **33.92%** stake sale in December 2023 generated a profit of **₹7.36 crore**. * **Exchange Delisting:** In **May 2025**, the Board approved voluntary delisting from **The Calcutta Stock Exchange (CSE)** to reduce administrative overhead. The company remains listed on the **BSE Limited**. * **Governance:** Articles of Association were amended in **June 2023** to allow **Debenture Trustees** to appoint a **Nominee Director**, ensuring strict compliance with **SEBI NCS Regulations**. --- ### Operational Resilience and Risk Mitigation The plantation industry faces systemic risks from climate change and rising labor costs. Shri Vasuprada has implemented several mitigation strategies: * **Climate & Irrigation:** Substantial investments in **irrigation infrastructure** to counter erratic rainfall and heatwaves. In 2024, Indian tea output hit a **4-year low**, making irrigation a critical competitive advantage. * **Mechanization:** To counter a **10-12% CAGR** increase in wage costs and labor shortages, the company is shifting toward **mechanical harvesting** and cultural operations. * **Sustainability:** Implementation of **Trustea certification** programs ensures long-term soil health, food safety, and compliance with international buyer standards. * **Legal Breakthroughs:** In **February 2026**, the company secured a favorable order from the **Hon'ble High Court at Kerala** to cut and sell old rubber trees. This allows for the monetization of exhausted assets and the commencement of new replanting cycles. --- ### Critical Risk Factors Investors should monitor the following challenges: * **Price-Cost Mismatch:** Tea prices have grown at a **CAGR of 2.88%–4%**, while input costs have surged by **9%–15%**. * **Liquidity:** As of March 2025, **current liabilities exceeded current assets by ₹7.25 crore**. * **Preference Dividend Arrears:** Dividends on the **6% Preference Shares** remained unpaid for two years as of July 2025, granting preference shareholders voting rights under the Companies Act. * **Regulatory Disputes:** The company is currently contesting a significant hike in lease rents in Kerala (from **₹2/acre to ₹1300/hectare**) for the **Chemoni and Pudukad Estates**. * **New Labour Codes:** Effective **November 21, 2025**, new federal labor codes may impact future liability, though the company currently views the impact as non-material. ### Future Outlook Management has set a target of **5-10% increase** in productivity and profitability over the current tenure. By focusing on **quality improvement**, **manpower rationalization**, and **strategic demand forecasting**, Shri Vasuprada Plantations aims to leverage its century-old expertise to navigate the volatile global commodity markets.