Prestige & Above Volume growth of 21.8% y-o-y; Prestige & Above Sales Value growth of 35.6% 

Net Revenue of Rs. 925.0 Cr, up 21.5% y-o-y 

EBITDA of Rs. 120.6 Cr, up 34.6%; EBITDA margin at 13.0% (up 127 bps Y-o-Y)

NATIONAL, NOVEMBER 6, 2023 (GPN)  – Radico Khaitan Limited, one of the largest spirits companies in India (referred to as “Radico Khaitan” or the “Company”), announces its results for the second quarter and half year ended September 30, 2023. 

Q2 FY24 Performance Summary 

• 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 Cr (+35.6%)
• Prestige & Above brands contribution to the IMFL volumes of 47.1% (vs. 37.9%)
• Prestige & Above brands contribution to the Total IMFL sales value of 70.0% (vs. 59.2%)
• Revenue from Operations (Net) of Rs.925.0 Cr (+21.5%)
• Gross Profit of Rs.408.3 Cr (+29.1%) at 44.1% margin (+259 bps)
• EBITDA of Rs.120.6 Cr at 13.0% margin (+127 bps)
• Total comprehensive income of Rs.61.4 Cr (+19.3%)

H1 FY24 Performance Summary 

• 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 Cr (+37.7%)
• Prestige & Above brands contribution to the IMFL volumes of 41.6% (vs. 33.7%)
• Prestige & Above brands contribution to the Total IMFL sales value of 64.7% (vs. 54.6%)
• Revenue from Operations (Net) of Rs.1,878.9 Cr (+23.7%)
• Gross Profit of Rs.824.2 Cr (+27.5%) at 43.9% margin (+132 bps)
• EBITDA of Rs.239.5 Cr at 12.7% margin (+79 bps)
• Total comprehensive income of Rs.124.2 Cr (+13.5%)

* Including brands on Royalty 

Performance Overview 

Commenting

Commenting on the performance, Dr. Lalit Khaitan, Chairman and Managing Director said: 

“Radico Khaitan continued its robust performance in line with our expectations despite a challenging operating environment. This was led by a 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 a 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 performance, Mr. 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 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 artform. Despite a volatile cost environment, our EBITDA margins have sustained on sequential basis. We are confident that we are making progress in the right direction with our business strategies. We are focused on delivering a value-led growth, managing business with agility, harnessing the strength of our extensive distribution network and manufacturing platform, while consistently improving our profit margins.” 

Radico Khaitan at a Glance: 

Radico Khaitan Limited (“Radico Khaitan” or the Company) is among the oldest and one of the largest manufacturers of IMFL in India. Earlier known as Rampur Distillery Company, Radico Khaitan commenced its operations in 1943 and over the years emerged as a major bulk spirits supplier and bottler to other spirit manufacturers. In 1998 the Company started its own brands with the introduction of 8PM Whisky. Radico Khaitan is one of the few companies in India to have developed its entire brand portfolio organically. The Company’s brand portfolio includes After Dark Whisky, Contessa Rum, Jaisalmer Indian Craft Gin, Magic Moments Vodka, Magic Moments Dazzle Vodka (Gold & Silver), Magic Moments Verve Vodka, Morpheus Brandy, Morpheus Blue Brandy, Old Admiral Brandy, Pluton Bay Rum, Rampur Indian Single Malt Whisky, Royal Ranthambore Heritage Collection-Royal Crafted Whisky, 1965 The Spirit of Victory Premium XXX Rum, 1965 The Spirit of Victory Lemon Dash Premium Flavored Rum, 8PM Premium Black Whisky and 8PM Whisky.

Currently, the Company has seven millionaire brands which are Morpheus Super Premium Brandy, 1965 Spirit of Victory Premium Rum, 8PM Premium Black Whisky, 8PM Whisky, Contessa Rum, Old Admiral Brandy, and Magic Moments Vodka. Radico Khaitan is also one of the largest providers of branded IMFL to the Canteen Stores Department (CSD), which has significant business barriers to entry. The Company has three distilleries in Rampur, Uttar Pradesh and one in Aurangabad, Maharashtra which is a 36% joint venture. The Company has a total owned capacity of 320 million litres and operates 41 bottling units (5 owned, 28 contract and 8 royalty bottling units) spread across the country.