Latest news with #KingfisherUltra
Time of India
09-05-2025
- Business
- Time of India
Excise duty biggest challenge for beer industry: Kingfisher maker's CEO
Excise duty remains the biggest challenge to beer business in the country, Vivek Gupta, managing director and chief executive officer of United Breweries , said on Thursday. "The worry part is the increase in duty. We saw the impact of that in Telangana and Karnataka. Duty is posing to be the biggest threat," Gupta told analysts in the earnings call post fourth quarter results. Karnataka last week increased tax on the manufacturing cost of beer to 205 per cent , from the earlier 195 per cent , thereby impacting the MRP of both mass and premium brands. In Telangana, too, prices went up 15 per cent in February. However, "despite the disruption, we are in the middle of the season, (and) we feel confident," Gupta said. The country's largest brewer plans to increase its production capacity this fiscal, he said. United Breweries will also increase cooler installation in retail outlets across the country this fiscal. In Maharashtra alone, it plans to increase cooler penetration from the current 10-15 per cent retail outlets to 50 per cent over the next couple of years, according to Gupta. He, however, declined to share the proposed capital expenditure figure for 2025-26. The maker of Kingfisher and Heineken beers had a capex of Rs 254 crore in 2024-25, up by Rs 64 crore from the previous year, which was used in commercial and supply chain initiatives to drive growth. Its standalone revenue for the fourth quarter declined 7.5 per cent year on year to Rs 4,425.5 crore. Its net profit grew by 20.5 per cent to Rs 97 crore, buoyed by increasing demand for premium brands. The company posted 24 per cent volume growth for its premium portfolio during the quarter while its overall volume sales rose 5 per cent . "We see strong growth from Kingfisher Ultra, Kingfisher Ultra Max and Heineken Silver and we continue to drive premium volume growth," the company said in its earnings report. "After receiving an overwhelming response in Maharashtra and West Bengal, we also introduced Amstel Grande in Uttar Pradesh, a vibrant market with a growing demand for premium beverages," it added. For 2024-25, UBL sales grew by 5.6 per cent on year to Rs 19,400.8 crore and net profit rose 7.8 per cent to Rs 441 crore. United Breweries' shares closed at Rs 2,159 on the BSE on Thursday, down 1 per cent from the previous close.
Economic Times
08-05-2025
- Business
- Economic Times
Excise duty biggest challenge for beer industry: Kingfisher maker's CEO
United Breweries faces challenges due to rising excise duties, particularly in Karnataka and Telangana, impacting beer prices. Despite this, the company remains confident, planning to expand production capacity and cooler installations. While Q4 standalone revenue declined, net profit increased driven by premium brand demand, with overall volume sales rising by 5%. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Bengaluru: Excise duty remains the biggest challenge to beer business in the country, Vivek Gupta, managing director and chief executive officer of United Breweries , said on Thursday."The worry part is the increase in duty. We saw the impact of that in Telangana and Karnataka. Duty is posing to be the biggest threat," Gupta told analysts in the earnings call post fourth quarter last week increased tax on the manufacturing cost of beer to 205%, from the earlier 195%, thereby impacting the MRP of both mass and premium brands. In Telangana, too, prices went up 15% in "despite the disruption, we are in the middle of the season, (and) we feel confident," Gupta country's largest brewer plans to increase its production capacity this fiscal, he Breweries will also increase cooler installation in retail outlets across the country this fiscal. In Maharashtra alone, it plans to increase cooler penetration from the current 10-15% retail outlets to 50% over the next couple of years, according to however, declined to share the proposed capital expenditure figure for maker of Kingfisher and Heineken beers had a capex of ₹254 crore in 2024-25, up by ₹64 crore from the previous year, which was used in commercial and supply chain initiatives to drive standalone revenue for the fourth quarter declined 7.5% year on year to ₹4,425.5 crore. Its net profit grew by 20.5% to ₹97 crore, buoyed by increasing demand for premium company posted 24% volume growth for its premium portfolio during the quarter while its overall volume sales rose 5%."We see strong growth from Kingfisher Ultra, Kingfisher Ultra Max and Heineken Silver and we continue to drive premium volume growth," the company said in its earnings report."After receiving an overwhelming response in Maharashtra and West Bengal, we also introduced Amstel Grande in Uttar Pradesh, a vibrant market with a growing demand for premium beverages," it 2024-25, UBL sales grew by 5.6% on year to ₹19,400.8 crore and net profit rose 7.8% to ₹441 Breweries' shares closed at ₹2,159 on the BSE on Thursday, down 1% from the previous close.
Time of India
08-05-2025
- Business
- Time of India
Excise duty biggest challenge for beer industry: Kingfisher maker's CEO
United Breweries faces challenges due to rising excise duties, particularly in Karnataka and Telangana, impacting beer prices. Despite this, the company remains confident, planning to expand production capacity and cooler installations. While Q4 standalone revenue declined, net profit increased driven by premium brand demand, with overall volume sales rising by 5%. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Bengaluru: Excise duty remains the biggest challenge to beer business in the country, Vivek Gupta, managing director and chief executive officer of United Breweries , said on Thursday."The worry part is the increase in duty. We saw the impact of that in Telangana and Karnataka. Duty is posing to be the biggest threat," Gupta told analysts in the earnings call post fourth quarter last week increased tax on the manufacturing cost of beer to 205%, from the earlier 195%, thereby impacting the MRP of both mass and premium brands. In Telangana, too, prices went up 15% in "despite the disruption, we are in the middle of the season, (and) we feel confident," Gupta country's largest brewer plans to increase its production capacity this fiscal, he Breweries will also increase cooler installation in retail outlets across the country this fiscal. In Maharashtra alone, it plans to increase cooler penetration from the current 10-15% retail outlets to 50% over the next couple of years, according to however, declined to share the proposed capital expenditure figure for maker of Kingfisher and Heineken beers had a capex of ₹254 crore in 2024-25, up by ₹64 crore from the previous year, which was used in commercial and supply chain initiatives to drive standalone revenue for the fourth quarter declined 7.5% year on year to ₹4,425.5 crore. Its net profit grew by 20.5% to ₹97 crore, buoyed by increasing demand for premium company posted 24% volume growth for its premium portfolio during the quarter while its overall volume sales rose 5%."We see strong growth from Kingfisher Ultra, Kingfisher Ultra Max and Heineken Silver and we continue to drive premium volume growth," the company said in its earnings report."After receiving an overwhelming response in Maharashtra and West Bengal, we also introduced Amstel Grande in Uttar Pradesh, a vibrant market with a growing demand for premium beverages," it 2024-25, UBL sales grew by 5.6% on year to ₹19,400.8 crore and net profit rose 7.8% to ₹441 Breweries' shares closed at ₹2,159 on the BSE on Thursday, down 1% from the previous close.
Business Standard
08-05-2025
- Business
- Business Standard
United Breweries Q4 PAT rises 20% YoY to 98 crore
United Breweries' consolidated net profit jumped 19.88% to Rs 97.76 crore in Q4 FY25, compared to Rs 81.55 crore posted in the corresponding quarter last year. Revenue from operations (excluding excise duty) rose 8.89% YoY to Rs 2,322.98 crore in the March 2025 quarter. Profit before tax (PBT) grew 20.33% to Rs 132.07 crore in the fourth quarter of FY25, compared with Rs 109.76 crore posted in the same quarter the previous year. Volume in the fourth quarter increased 5%, despite temporary suspension in Telangana & industry-wide challenges from duty structure changes in Karnataka. The premium segment grew by 24% in the quarter. Within the segment, the company saw strong growth for Kingfisher Ultra & Kingfisher Ultra Max and Heinekenr, and it continues to drive premium volume growth. During the quarter, gross profit margin improved by 37 bps to 42.1% in Q4 FY25. Investments in capex during the quarter were Rs 254 crore, primarily in supply chain initiatives to cater for future growth. 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. Meanwhile, the board has recommended a dividend of Rs 10 per equity share of face value of Rs 1 each for the financial year ended March 31, 2025, subject to approval of the members at the ensuing Annual General Meeting. United Breweries, controlled by Dutch multinational company Heineken NV, is primarily engaged in the manufacture, purchase, and sale of beer and non-alcoholic beverages.
Hindustan Times
07-05-2025
- Business
- Hindustan Times
Beer prices in Haryana to soar under 2025- 2027 excise policy
Come June 12, beer lovers across Haryana will be paying significantly more for their drink, as the state's new excise policy brings a 55% hike in Indian beer prices and a 45% increase for imported ones. As consumers brace for the price surge, many are now considering switching to lower-cost alternatives—or buying in bulk before the hike hits. But with excise duty enforcement tightening, the window may not stay open for long. (Parveen Kumar/HT Photo) Popular domestic labels like Kingfisher, Carlsberg, Budweiser, and Hoegaarden will see sharp price revisions. A 650ml bottle of Kingfisher Ultra, currently retailing at ₹ 90, will now cost ₹ 140. Beers such as Corona and Amstel, previously priced at ₹ 200 for a pint, will rise to ₹ 290, while Tiger beer is expected to follow suit. A 330 ml beer bottle of Budweiser and Carlsberg will cost ₹ 120 that used to cost ₹ 75, said officials. Canned Beer that costed ₹ 90 has been increased to ₹ 130 (45%) for 500 ml can). Excise officials said that the cost of Indian Made Foreign Liquor (IMFL) and Imported Foreign Liquor (IFL) is set to rise by 15-20% under the new policy. They cited examples such as Absolute Vodka, which is will increase from ₹ 1,200 to ₹ 1,500, and Glenlivet, will jump from ₹ 3,200 to ₹ 3,800. Jitender Dudi, deputy excise and taxation commissioner, Gurugram (West), confirmed the increase. 'Yes, there will be a 55% hike on Indian beers and 45% on imported ones. This is primarily to bring parity with neighbouring states and to promote Indian-made beer and liquor over imported alternatives,' he said. 'The excise department is also focusing on optimising revenue through fair pricing while reducing the consumption of foreign-labelled liquor.' Officials said that this would increase government's revenue collection. The Haryana government has set a revenue target of ₹ 14,064 crore for FY 2025–27 under its new excise policy. In the last 2024–25, the department surpassed expectations, collecting ₹ 12,700 crore against a target of ₹ 12,650 crore. Officials credited the achievement to improved enforcement, policy stability, and a rise in legal consumption. The 2025–27 excise policy aims to build on this momentum with reforms in liquor quota, duty structure, and stricter compliance enforcement. 'With the increased license fee, it will be easier to achieve the targets,' said Dudi. The sharp rise has left both consumers and liquor vendors unsettled. Nitin Malik, a corporate executive and regular beer drinker in Sector 29, said, 'This kind of jump is too steep. ₹ 140 for a local beer that used to cost ₹ 90 makes it unaffordable for the middle class. We are not buying luxury items—we are talking about a casual beverage.' Vishu Arora, a consumer, had similar sentiments. 'Imported beer lovers are already paying a premium. With this increase, enjoying a chilled Corona or Hoegaarden with friends on weekends will become a luxury,' he said. Liquor shop owners said they are equally concerned about the impact on their margins and customer base. 'We have been informed that our investment per zone will rise by 20-30% under the new policy. With beer prices going up so much, footfall is bound to drop,' said Sandeep Yadav, one of the vend partner. Another retailer, Vinod Yadav, who runs a shop near Sohna Road, said, 'Margins will shrink, and we may lose regular buyers. Already, sales dip in summer if prices are hiked. We will now have to rework stock planning.' Rahul Singh, CEO, of the Beer Cafe chain said the proposed hike in beer prices will be a sharp jolt for both consumers and the hospitality industry. 'While we understand the state's intent to align pricing with neighbouring regions and enhance revenue, the timing—coinciding with peak summer beer demand—is concerning. Globally, progressive alcohol policies encourage a shift from hard spirits to lower-alcohol beverages like beer, recognising their role in promoting moderation and social responsibility. Such a steep increase in beer prices may inadvertently reverse this trend, pushing consumers toward higher-alcohol or unregulated alternatives,' he said The new policy, approved by the Haryana Cabinet on Monday, is part of a broader excise revamp aimed at boosting state revenue, reducing unregulated drinking, and curbing illegal tavern operations. While it also brings structural reforms in tavern licensing, advertising restrictions, and distance norms from sensitive sites, the immediate consumer impact will be felt most acutely in the beer aisle. With the peak summer season underway and soaring temperatures making beer the beverage of choice, vendors expect a consumer backlash. 'June is when beer demand hits its peak. This move could flatten our sales just when the season is booming,' said Yadav. As consumers brace for the price surge, many are now considering switching to lower-cost alternatives—or buying in bulk before the hike hits. But with excise duty enforcement tightening, the window may not stay open for long.
