United Spirits Q4 Results: Profit jumps 27% on demand for premium liquor

Synopsis

Karnataka, one of India's highest-tax ​alcohol markets, said ​in March it ⁠will scrap government price controls and shift to strength-based excise taxation from April 2026, allowing companies to set prices while ​cutting tax slabs.

India's United Spirits, which distributes Johnnie Walker and Antiquity whiskeys, posted about a 27% rise in fourth quarter profit on Friday, boosted by demand for its premium brands.

* Diageo's Indian unit posted a profit of 5.71 billion rupees ($59.63 million) for the quarter ‌ended March ⁠31, compared ⁠with 4.51 billion rupees the previous year

* In March, an ​industry body representing global brewers such as Heineken, Anheuser-Busch InBev and Carlsberg told ​Reuters that surging glass bottle prices and a doubling of paper carton rates could trigger price hikes and supply ​disruptions, as gas shortages linked ⁠to the ‌Iran war persist

* Revenue grew 4.4% to 68.38 ​billion ​rupees, while expenses also climbed at about a ⁠similar rate of 4.1% for the quarter, from ​the year ago

* Net sales value in ​United Spirits' premium segment, which includes Black & White whiskey and Tanqueray gin, rose 5% year-on-year

* In March, the company sold its Indian Premier League franchise Royal Challengers Bengaluru for $1.78 billion to a consortium which it said on ‌Thursday will sharpen focus on the core beverage alcohol business

* Karnataka, one of India's highest-tax ​alcohol markets, said ​in March it ⁠will scrap government price controls and shift to strength-based excise taxation from April 2026, allowing companies to set prices while ​cutting tax slabs.

* "We welcome the progressive policy in the state of Karnataka, which has the potential to provide a fillip to the premiumisation journey in the state," said CEO Praveen Someshwar ($1 = 95.7625 Indian rupees)

...moreless

...moreless