The beverage company reported a strong set of consolidated numbers for the fourth quarter of FY26. The company’s net profit rose 20.1 per cent year‑on‑year to Rs 872.4 crore, compared with Rs 726.5 crore in the corresponding quarter last year.
Revenue from operations climbed 18.1 per cent YoY to Rs 6,574.2 crore in Q4FY26 from Rs 5,567 crore a year ago, driven by expansion in distribution, higher sales volumes, and improved product mix. The strong top‑line growth translated into better operational performance, with EBITDA increasing 21 per cent YoY to Rs 1,528.7 crore, up from Rs 1,263.5 crore in Q4FY25.
Margins also showed improvement, as EBITDA margin expanded by 60 basis points to 23.3 per cent in the March quarter, compared with 22.7 per cent a year earlier.
The company also announced an interim dividend of Rs 0.50 per quity share for FY26 along with Q4 results. The company in an exchange filing said, “The payment of interim dividend of Rs 0.50 (Fifty Paisa only) per Equity Share for the Financial Year 2026 on the total issued, subscribed and paid-up 338,20,94,394 Equity Shares of the nominal value of 2/- (Rupees Two only) each.”
On a year‑to‑date basis, the stock has posted a modest gain of 1.95 per cent, broadly in line with the index’s 1.62 per cent increase. However, on a one‑year timeframe, Varun Beverages has underperformed, declining 3.95 per cent compared with the Nifty Next 50’s 10.09 per cent rise.
The company’s long‑term returns remain robust. Over the past three years, Varun Beverages has delivered 71.30 per cent returns, while over a five‑year period, the stock has surged 505.13 per cent, far outpacing the index’s 103.90 per cent gain.
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money related decisions.)
