Radico Khaitan Q2 profit jumps 66% on premium portfolio growth; revenue up 17%
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Radico Khaitan on Tuesday reported a 66.1% year-on-year (YoY) increase in net profit to ₹230.9 crore for the second quarter of FY27, supported by strong revenue growth and improved operating profitability. The company had reported a net profit of ₹139 crore in the corresponding period last year.
Revenue from operations rose 16.8% to ₹1,745.1 crore in the July–September quarter, compared with ₹1,493.9 crore a year earlier, the spirits maker said in an exchange filing.
The company's earnings before interest, taxes, depreciation and amortisation (EBITDA) increased 51% YoY to ₹356.5 crore, while its EBITDA margin expanded to 20.4% from 15.8% a year earlier.
Gross profit rose 28.6% to ₹838.4 crore, with a gross margin of 48%. Total comprehensive income increased 67.1% to ₹230.3 crore in Q2 FY27.
“The second quarter reaffirms the consistency of our growth journey. Building on the milestone FY26 and an encouraging start to the year, Radico Khaitan has delivered another robust performance, taking H1 FY27 to record volume, revenue and profitability. This reflects years of patient investment in quality, organic brand building and an unwavering focus on premiumisation,” said Lalit Khaitan, chairman and managing director of Radico Khaitan.
For the first half of FY27, revenue from operations grew 14.3% YoY to ₹3,429.8 crore, while EBITDA rose 50.9% to ₹704.6 crore. Net profit increased 67.8% to ₹456.9 crore, compared with ₹272.3 crore in the year-ago period.
Premiumisation drives growth
The company's total Indian-made foreign liquor (IMFL) volumes increased 7.2% YoY to 10.02 million cases during the quarter. In comparison, volumes in the Prestige & Above segment grew 35.8% to 5.28 million cases.
“Our premium-first strategy has delivered another quarter of remarkable results. The Prestige & Above portfolio volume grew 36% in Q2, well ahead of the industry, and continued to enrich our mix,” said Abhishek Khaitan, managing director of Radico Khaitan.
The premium portfolio's contribution to total IMFL volumes rose to 53.7% from 43.6% a year earlier. Net sales from the segment increased 38.6% to ₹996 crore, accounting for 77.1% of total IMFL sales value, compared with 68.6% in the corresponding quarter last year. Radico Khaitan's brand portfolio includes 8PM Whisky, Contessa Rum, Old Admiral Brandy, Magic Moments Vodka and Morpheus Super-Premium Brandy.
The company has raised its FY27 Prestige & Above volume growth guidance to 30% and reiterated its EBITDA margin guidance of around 20%.
“Despite a challenging external environment, the momentum across our portfolio gives us confidence. We upgrade our Prestige & Above volume growth guidance to 30% and reiterate EBITDA margin guidance of around 20% for FY27,” Abhishek Khaitan said.
He added that Magic Moments was leading the shift in the vodka market through flavour-led innovation, with vodka's share of the IMFL industry rising to 6.3% in Q2 FY27. In whisky, the refreshed look of After Dark Blue was resonating with consumers, while 8PM Premium Black continued to gain momentum and market share in key states.
The company's luxury brands, including Rampur Indian Single Malt, Jaisalmer Indian Craft Gin and Virasat Indian Single Malt, continued to receive a strong response in India and overseas.
Radico Khaitan has expanded its international presence to four major UK airports and operates around 70 travel retail outlets. It aims to increase this network to 100 in the coming years.