Sula Vineyards Q1 Results: Profit Plunges 45%, Margins Narrow; Revenue Sees Modest Uptick

India's largest listed wine producer reports a sharp decline in quarterly profit as operating margins contract despite higher revenue.

Advertisement
Read Time: 2 mins
Quick Read
Summary is AI-generated, newsroom-reviewed
  • Sula Vineyards' Q1 net profit fell 45.3% to Rs 1.1 crore year-on-year
  • Revenue grew 2.9% to Rs 112.9 crore compared to Rs 109.6 crore last year
  • EBITDA declined 9.3% to Rs 16.6 crore from Rs 18.3 crore in the prior year
Did our AI summary help?
Let us know.

Sula Vineyards Ltd. reported a sharp decline in first-quarter profit as margin pressure offset modest revenue growth during the April-June quarter.

On a consolidated basis, net profit fell 45.3% year-on-year to Rs 1.06 crore from Rs 1.94 crore a year earlier, while revenue from operations rose 2.1% to Rs 120.79 crore.

Advertisement

Earnings before interest, tax, depreciation and amortisation (EBITDA) declined 9.3% to Rs 16.6 crore, while the EBITDA margin narrowed to 14.7% from 16.7% in the corresponding quarter last year.

ALSO READ: Q1 Results Live Updates: LIC Profit Rises 23%; Sula Vineyards Profit Falls 45%

Total income increased to Rs 123.17 crore, supported by higher other income, even as total expenses rose to Rs 121.65 crore, reflecting increases across employee costs, inventory changes and finance expenses.

Advertisement

The company said it recognised a Rs 1.79 crore gain under other income during the quarter following the sale of its Mumbai office property for Rs 27 crore.

Sula noted that its business remains seasonal, with revenue and profitability not accruing evenly through the year, making quarterly performance not strictly comparable. The company also said it continues to operate as a single business segment comprising the manufacture, purchase and sale of wines and spirits. 

Advertisement

The board approved the unaudited financial results for the quarter ended June 30 at its meeting held on Aug. 6.

ALSO READ:  Apollo Tyres Q1 Results: Profit Zooms To Rs 349 Crore As One-Time Loss Effect Fades; Revenue Up 13%

Sula Vineyards Q1 Result Highlights (YoY)

  • Net Profit drops 45.3% at Rs 1.1 crore versus Rs 1.9 crore.
  • Revenue up 2.9% at Rs 112.9 crore versus Rs 109.6 crore.
  • EBITDA drops 9.3% at Rs 16.6 crore versus Rs 18.3 crore.
  • EBITDA Margin down 200 Bps at 14.7% versus 16.7%.

Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.


Loading...