Latest news with #UnitedBreweries
Time of India
3 hours ago
- Business
- Time of India
Can crunch hits United Breweries' growth as demand for canned beer surges
India's largest beer manufacturer, United Breweries Ltd is facing an unprecedented challenge -- shortage of cans leading to frequent stock outs when consumers now prefer to drink canned beer. The company has lost at least 1-2 points of growth due to this over the last six months, said managing director Vivek Gupta . "The shortage of cans is a challenge. Cans as a segment is growing at a certain pace, and there is no quick fix for the supply of cans. So that is a little bit of something for us, in the next quarter. This is definitely (an issue) for us, and for the industry as well. Those are some of the factors that make me nervous,' Gupta told analysts during the company's first quarter earnings call on Wednesday. Explore courses from Top Institutes in Please select course: Select a Course Category PGDM healthcare Public Policy MBA MCA Cybersecurity Data Science Healthcare Management Design Thinking Product Management Degree Leadership others Finance Operations Management Data Analytics Digital Marketing CXO Technology Project Management Others Data Science Artificial Intelligence Skills you'll gain: Financial Analysis & Decision Making Quantitative & Analytical Skills Organizational Management & Leadership Innovation & Entrepreneurship Duration: 24 Months IMI Delhi Post Graduate Diploma in Management (Online) Starts on Sep 1, 2024 Get Details Despite this, the manufacturer of Kingfisher and Heineken brands grew volumes by 11% in the April-June quarter and gained market share in both overall and premium segment. The premium portfolio, in particular, grew at 46%. Gupta said there is a fixed supply of cans in the market, whether it's for the beer industry, or some of the other industries. Even within beer industry, there is a fixed quota while the demand is more than that, he said. "So we definitely have stock outs, because we are not being able to supply cans. Or that we cant get cans,' he said. The MD said importing cans will also take time. "The government of India, along with multiple associations are working on that, but that also will take time, the backward integration in the beer industry needs a lot of work. Whether it's bottles or cans. We are actually actively working with international suppliers for long term on that. We would have atleast lost, I would say, 1-2 points growth because of lack of cans over a 6-month period," said Gupta. Last year the company imported new bottles as supplies remained tight. "The recycled bottle supply chain was very much disturbed by high cullet demand," the company said in its latest annual report. United Breweries has posted its standalone profit after tax for the first quarter ending June 30th at Rs 184 crore which grew by 6% on a year-on-year basis, and the net sales for the period grew by 16% to reach Rs 2,862 crore. The company invested Rs 136 crore in the first quarter as compared to Rs 89 crore during the same period last year. The investments were primarily focused on commercial and supply chain initiatives. On Wednesday, United Breweries' shares closed at Rs2,020 a piece on the BSE, down by 0.78%.
Business Standard
6 hours ago
- Business
- Business Standard
United Breweries Q1 PAT rises 6% YoY to 184 crore
United Breweries' consolidated net profit jumped 5.95% to Rs 183.87 crore in Q1 FY26, compared to Rs 173.55 crore posted in the corresponding quarter last year. Revenue from operations (excluding excise duty) rose 15.72% YoY to Rs 2,864.32 crore in the June 2025 quarter. Profit before tax (PBT) grew 6.19% to Rs 247.88 crore in Q1 FY26, compared with Rs 233.44 crore posted in the same quarter the previous year. EBIT rose 10% during the quarter, with EBIT margin at 9%, as the company continued to invest in its brands, organizational capabilities, and supply chain. United Breweries reported 11% volume growth in Q1, driven by a 46% surge in its premium portfolio, resulting in estimated market share gains both overall and in the premium segment. Net sales rose 16% YoY, supported by this volume growth along with pricing and premiumization efforts. During the quarter, gross profit grew 14%, with gross profit margin at 42.5%, down 50 basis points, but reflecting positive underlying developments. Investments in capex during the quarter were Rs 136 crore, up 89 crore from the same period last year, focused on commercial & supply chain initiatives to cater for future growth. As part of our ongoing network optimization and productivity agenda, we closed our Mangalore unit in a strategic move to consolidate capacity in Karnataka, while simultaneously investing in our Mysore brewery to scale supply chain efficiencies. We remain committed and optimistic to unlock growth in the category & shape the future of beer in India, driven by increasing disposable income, favorable demographics & premiumization, stated the firm in an exchange filing. United Breweries, controlled by Dutch multinational company Heineken NV, is primarily engaged in the manufacture, purchase, and sale of beer and non-alcoholic beverages. Shares of United Breweries rose 0.40% to Rs 2,045 on the BSE.
Business Standard
9 hours ago
- Business
- Business Standard
United Breweries consolidated net profit rises 5.95% in the June 2025 quarter
Sales rise 15.72% to Rs 2864.32 croreNet profit of United Breweries rose 5.95% to Rs 183.87 crore in the quarter ended June 2025 as against Rs 173.55 crore during the previous quarter ended June 2024. Sales rose 15.72% to Rs 2864.32 crore in the quarter ended June 2025 as against Rs 2475.13 crore during the previous quarter ended June EndedJun. 2025Jun. 2024% 16 OPM %10.8511.53 -PBDT310.81291.16 7 PBT247.88233.44 6 NP183.87173.55 6 Powered by Capital Market - Live News
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Business Standard
10 hours ago
- Business
- Business Standard
United Breweries shares rise 4% after Q1 results; check key takeaways here
Shares of United Breweries (UBL) rose nearly 4% after the company reported a 6 per cent increase in the net profit for the current financial year (Q1FY26), with revenue beating the street's estimates. The breweries and distilleries firm's stock rose as much as 3.6 per cent during the day to ₹2,119 per share. The stock pared gains to trade 0.5 per cent higher at ₹2,045 apiece, compared to a 0.20 per cent advance in Nifty 50 as of 10:12 AM. Shares of the company rose for the third straight session and have recovered over 6 per cent from their June lows. The counter has risen 0.3 per cent this year, compared to a 6.2 per cent advance in the benchmark Nifty 50. UBL has a total market capitalisation of ₹53,951.87 crore. Track LIVE Stock Market Updates Here United Breweries Q1 results The company reported a 5.9 per cent increase in consolidated net profit for the quarter ended June 2025. The profit stood at ₹184.03 crore, up from ₹173.80 crore during the same period last year. However, the revenue from operations fell 7.4 per cent year-on-year to ₹5,380.78 crore. In the April-June quarter of 2024, revenue was ₹5,811.28 crore. Total expenses for the quarter declined 7.9 per cent to ₹5,143.97 crore. Overall income also dipped by 7.33 per cent to ₹5,391.85 crore. UBL reported a strong growth in the premium segment, which grew by 46 per cent, outpacing the overall category growth. "Volume in Q1 increased 11 per cent, lapping the impact from elections during peak season last year coupled with strong estimated market share gains in the quarter," UBL said in its earnings statement. UBL remains upbeat about growth prospects in India. "We remain committed and optimistic to unlock growth in the category & shape the future of beer in India driven by increasing disposable income, favourable demographics & premiumisation," the company said. Nuvama on UBL Q1 results Nuvama Institutional Equitus said that UBL reported a strong Q1 performance, with revenue rising 15.7 per cent Y-o-Y, ahead of both Nuvama and consensus estimates. Ebitda grew 8.9 per cent Y-o-Y, beating Nuvama's forecast but falling short of the Street's expectations. The brokerage retained its 'Buy' call, with a target price of ₹2,505 per share, and added that it awaits more details on the post-results call. Capex for the quarter stood at approximately ₹1.4 billion, up ₹890 million from the previous year, driven largely by investments in commercial and supply chain initiatives, Nuvama said. Other expenditure rose 18.7 per cent Y-o-Y and 18 per cent sequentially, led by marketing spends, higher freight costs, and miscellaneous items.
Economic Times
12 hours ago
- Business
- Economic Times
United Breweries shares in focus after Q1 PAT jumps 6% YoY
Shares of United Breweries are likely to remain in focus on Wednesday after the Kingfisher beer maker reported a 6% year-on-year (YoY) increase in profit after tax (PAT) at Rs 184 crore for the first quarter of FY26. ADVERTISEMENT This is compared to a net profit of Rs 173.80 crore in the same quarter of the previous financial year. The growth comes on the back of strong volume performance, a sharp rise in premium segment sales, and double-digit revenue expansion. For the June quarter, United Breweries recorded an 11% growth in total volume, while premium volume surged by 46%. Net sales rose by 16% YoY and EBIT increased by 10%.Meanwhile, gross margin stood at 42.5%, 50 basis points lower compared to the same period last year. The robust sales performance pushed the company's PAT higher by 6% over on the outlook, the company said that it remains optimistic about long-term growth, citing rising disposable income, favourable demographics, and increasing consumer preference for premium offerings. ADVERTISEMENT It reiterated its focus on revenue management and cost initiatives to support margin accretion, even as it continues to invest in brand-building and capacity short-term margin pressure, United Breweries aims to maintain momentum in category growth while increasing the share of premium products in its portfolio. ADVERTISEMENT Also read: Sebi shares Jane Street probe details with SECOver the past one year, the shares of United Breweries have gained 1.10%. However, on a year-to-date (YTD) basis, it has declined by 2.60%. The stock is down 1.27% over the last six months and has dropped significantly by 8.73% over the three months. In contrast, it has risen 4.83% in the past one month. ADVERTISEMENT On Tuesday, the shares of United Breweries closed 0.74% higher at Rs 2,036.90 on the BSE. (Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of The Economic Times) ADVERTISEMENT (You can now subscribe to our ETMarkets WhatsApp channel)
