(Reuters) -India’s Radico Khaitan posted a 73% surge in quarterly profit on Thursday, as the liquor maker benefited from a strong demand for its premium products such as its “Rampur” brand of whisky.
Consolidated profit rose to 1.31 billion rupees ($14.95 million) for the quarter ended June 30 from 753.8 million rupees a year earlier.
Volume at its costlier “Prestige & Above” segment surged 40.8%, while its overall volume rose 47.2%.
Its total revenue rose a 24.6% to 53.14 billion rupees.
KEY CONTEXT
Premium alcohol consumption in India remains robust, with wealthier urban consumers continuing to spend on high-end spirits despite broader economic pressures. This trend has created a strong tailwind for liquor makers focused on upscale offerings.
Radico Khaitan has leaned into this shift, expanding its premium portfolio with brands like “Rampur” single malt and “Jaisalmer” gin.
The strategy has helped liquor makers cushion the impact of subdued demand in the mass-market segment. Peer United Breweries also saw a 6% profit rise last week, driven by growth in its premium beer range.
PEER PERFORMANCE
Valuation (next Estimates (next 12 Analysts’ sentiment
12 months) months)
RIC PE EV/EBITDA Revenue Profit Mean No. of Stock to Div
growth (%) growth (%) rating* analysts price yield
target** (%)
United 66.31 41.73 12.59 42.86 Hold 11 0.99 0.49
Breweries
United Spirits 53.17 36.36 -40.25 13.30 Buy 10 0.83 0.88
Radico Khaitan 68.87 42.39 13.31 37.40 Buy 6 1.00 0.15
Tilaknagar 44.83 31.51 16.67 -6.89 Strong 1 1.07 0.12
Industries Buy
* The mean of analysts’ ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell
** The ratio of the stock’s last close to analysts’ mean price target; a ratio above 1 means the stock is trading above the PT
APRIL TO JUNE STOCK PERFORMANCE
— All data from LSEG
($1 = 87.6225 Indian rupees)
(Reporting by Aleef Jahan in Bengaluru)
