Varun Beverages Limited Announces Q3 Financial Results
Deepthi | Myequity news | Date : 25-10-2018 12:10:00 IST
Varun Beverages Limited, a key player in the beverage industry, announced its financial results for the third quarter and nine months ended September 30, 2018.
Performance Review for Q3 2018 vs. Q3 2017
•Revenue from operations (net of excise / GST) grew 21.0% YoY to Rs. 11,657 million as compared to Rs. 9,634 million.
•Total sales volumes were up 17.2% YoY at 77.5 million unit cases in Q3 2018 as compared to 66.1 million unit cases in Q3 2017.
•EBITDA increased by 13.9% to Rs. 2,112 million from Rs. 1,854 million
•PAT increased by 31.0% to Rs. 442 million from Rs. 337 million
Performance Review for 9M 2018 vs. 9M 2017
•Revenue from operations (net of excise / GST) grew 24.3% YoY to Rs. 43,196 million as compared to Rs. 34,760 million
•Total sales volume were up 19.8% YoY at 294.3 million unit cases in 9M 2018 as compared to 245.8million unit cases in 9M 2017
•EBITDA increased by 19.4% to Rs. 9,588 million from Rs. 8,032 million
•PAT increased by 29.5% to Rs. 3,707 million from Rs. 2,862 million
Commenting on the performance for Q3 & 9M 2018 Mr. Ravi Jaipuria, Chairman, Varun Beverages Limited said, “We are happy to report another strong quarter with revenue growth of 21% YoY and net profit growth of 31% YoY led by robust volume growth of 17.2% and value growth of -3.8%. Strong organic volume growth trend has continued in India at 9.3% in Q3 2018, despite marginal impact on account of shift of the festive season this year to Q4. We are enthused by our performance this year as we have reverted to our historical growth trends. For the nine months ended 30th September, 2018, revenue grew 24% YoY led by robust volume growth of 19.8% and value growth of -4.5%, driven by the introduction of higher realization products like Sting and Tropicana. The demand environment continues to be robust. We are on a strong footing and proceeding as per our strategic roadmap of driving profitable growth. We will be focused on un-locking value from the recently acquired, under-penetrated sub-territories in India by strengthening distribution, installing visi-coolers, driving volumes, gaining market share and see significant operating leverage going forward. Further, our customer centric approach, new product innovations and the Tropicana juice portfolio augur well for our long term prospects."
About Varun Beverages Limited:
Varun Beverages Limited (VBL) is a key player in beverage industry and one of the largest franchisee of PepsiCo in the world (outside USA). The Company produces and distributes a wide range of carbonated soft drinks (CSDs), as well as a large selection of non-carbonated beverages (NCBs), including packaged drinking water sold under trademarks owned by PepsiCo. VBL has been associated with PepsiCo since the 1990s. VBL has also been granted the franchise for various PepsiCo products for the territories of Nepal, Sri Lanka, Morocco, Zambia and Zimbabwe.