Breweries & Distilleries company Radico Khaitan announced Q2FY24 & H1FY24 results: Q2FY24 vs Q2FY23: Total IMFL volume of 6.96 Million Cases (-3.1%) Prestige & Above brands volume of 2.84 Million Cases (+21.8%) Prestige & Above brands net sales of Rs 489.7 crore (+35.6%) Prestige & Above brand's contribution to the IMFL volumes of 47.1% (vs. 37.9%) Prestige & Above brand's contribution to the Total IMFL sales value of 70.0% (vs. 59.2%) Revenue from Operations (Net) of Rs 925.0 crore (+21.5%) Gross Profit of Rs 408.3 crore (+29.1%) at 44.1% margin (+259 bps) EBITDA of Rs 120.6 crore at 13.0% margin (+127 bps) Total comprehensive income of Rs 61.4 crore (+19.3%) H1FY24 vs H1FY23: Total IMFL volume of 14.32 Million Cases (+2.3%) Prestige & Above brands volume of 5.23 Million Cases (+24.2%) Prestige & Above brands net sales of Rs 909.2 crore (+37.7%) Prestige & Above brand's contribution to the IMFL volumes of 41.6% (vs. 33.7%) Prestige & Above brand's contribution to the Total IMFL sales value of 64.7% (vs. 54.6%) Revenue from Operations (Net) of Rs 1,878.9 crore (+23.7%) Gross Profit of Rs 824.2 crore (+27.5%) at 43.9% margin (+132 bps) EBITDA of Rs 239.5 crore at 12.7% margin (+79 bps) Total comprehensive income of Rs 124.2 crore (+13.5%) Commenting on the results and performance, Dr. Lalit Khaitan, Chairman & Managing Director said, “Radico Khaitan continued its robust performance in line with our expectations despite a challenging operating environment. This was led by broad-based growth across our premium portfolio. Industry volume growth, particularly in the regular category, remained muted during the quarter. We expect demand momentum to improve with the upcoming festive season. The recent commissioning of the greenfield grain distillery at Sitapur is a significant milestone development in the history of Radico Khaitan and augurs well for our future growth trajectory. We are committed to our long-term strategy of delivering sustainable premium volume growth. With our strong backward integrated platform and dedication to brand excellence, we are confident in our ability to capitalize on the long-term growth prospects within the Indian spirits industry.” Commenting on the results and performance, Abhishek Khaitan, Managing Director said, “During Q2 FY24, we delivered a strong growth of 22% in our Prestige & Above category brands. We are making remarkable progress in further expanding our brand portfolio and launched the next two whiskies in the Jugalbandi series of eight Indian Single Malt whiskies, i.e. Jugalbandi #3 and #4, at The Whisky Show in London. With our Rampur Indian Single Malt portfolio, we have always strived to take India to the World and the recent launch is a testament to our brand creation capabilities and celebrates an ancient Indian art form. Despite a volatile cost environment, our EBITDA margins have sustained on a sequential basis. We are confident that we are making progress in the right direction with our business strategies. We are focused on delivering value-led growth, managing business with agility, harnessing the strength of our extensive distribution network and manufacturing platform, while consistently improving our profit margins.” Result PDF
Conference Call with Radico Khaitan Management and Analysts on Q2FY24 Performance and Outlook. Listen to the full earnings transcript.
Conference Call with Radico Khaitan Management and Analysts on Q1FY24 Performance and Outlook. Listen to the full earnings transcript.
Breweries & Distilleries company Radico Khaitan announced Q1FY24 results: Total IMFL volume of 7.36 million cases (+7.9%) Prestige & Above brands volume of 2.39 million cases (+27.2%) Prestige & Above brands net sales of Rs 419.5 crore (+40.3%) Prestige & Above brands contribution to the IMFL volumes of 36.5% (vs. 29.6%) Prestige & Above brands contribution to the Total IMFL sales value of 59.5% (vs. 50.0%) Revenue from Operations (Net) of Rs 953.9 crore (+25.9%) Gross Profit of Rs 415.9 crore (+26.1%) EBITDA of Rs 118.9 crore (+29.1%) at 12.5% margin Total comprehensive income of Rs 62.8 crore (+8.4%) Commenting on the results and performance, Dr. Lalit Khaitan, Chairman & Managing Director said, “FY24 started on a strong note, in line with our expectations, as we delivered strong operational and financial performance. This year can be characterized as a year of transformation for Radico Khaitan as we continue to focus on our luxury and premium portfolio. Although, we have faced raw material pressure in the short term the mid to long-term growth and margin trajectory remain intact. Going forward, we will continue to invest in strengthening our brand portfolio and delivering value to our discerning consumers. Radico Khaitan is very well placed to benefit from the strong premiumization trend of the Indian spirits industry. Our Sitapur greenfield distillery project is progressing well and is in the last stage of implementation. We expect to start commercial production during Q2FY24.” Commenting on the results and performance, Abhishek Khaitan, Managing Director said, “I am pleased to report that we have delivered another quarter of a strong double-digit Prestige & Above volumes growth which has exceeded our earlier guided growth rate of 15-18%. Overall, we have recorded significant improvement in sequential margins, which have been sustained on a YoY basis. This was aided by strong efforts on driving premium value growth, and price increases received over the last four quarters supported by easing inflation in certain raw materials. In line with our strategy of expanding the premium portfolio, we have recently launched a new super-premium gin called ‘Happiness in a Bottle’. This brand will also go on to create a unique position for itself and become a category creator as in many of our previous launches. We continue to monitor the business environment cautiously and remain committed to driving growth and profitability while navigating market challenges and capitalizing on the industry opportunities for the remainder of the financial year.” Result PDF