Allied Blenders & Distillers Limited has delivered impressive profitability growth in Q3FY26, demonstrating operational efficiency despite facing revenue headwinds. Following the release of strong quarterly results, the company concluded its earnings conference call on January 30, 2026, providing stakeholders with detailed insights into its financial performance.

Strong Profit Growth Amid Revenue Decline

The company's standalone performance for Q3FY26 showed remarkable profit expansion despite challenging top-line conditions. Net profit after tax surged 33.9% year-on-year, reflecting improved operational efficiency and cost management.

Nine-Month Performance Shows Sustained Growth

The nine-month period ended December 31, 2025, demonstrated the company's ability to maintain strong profitability trends across an extended timeframe. Net profit growth of 77.2% significantly outpaced the revenue decline, indicating effective margin management.

Earnings Call and Regulatory Compliance

Allied Blenders conducted a conference call on January 30, 2026, to discuss its Q3FY26 earnings with funds, investors, and analysts. The call commenced at 04:00 p.m. IST and concluded at 05:15 p.m. IST, conducted through audio mode in Mumbai. The company has made the audio recording available on its website at the investor relations section under financial information.

The company confirmed that it referred only to publicly available documents during discussions and no unpublished price sensitive information was shared during the conference call, ensuring compliance with Regulation 30 of SEBI regulations.

Cost Structure and Operational Efficiency

The company's expense management contributed significantly to profit growth. Cost of materials consumed increased to ₹56,011.25 lakhs in Q3FY26 from ₹49,709.17 lakhs in Q3FY25. However, excise duty on sales decreased substantially to ₹92,149.15 lakhs from ₹1,36,844.50 lakhs year-on-year. Employee benefits expense rose to ₹4,857.55 lakhs compared to ₹4,399.21 lakhs in the previous year quarter.

Recent Corporate Developments and Legal Matters

The company continues to address significant legal matters including a customer dispute with Canteen Stores Department involving a contested claim of ₹3,398.72 lakhs. Additionally, Allied Blenders faces income tax demands totaling ₹35,231 lakhs plus interest of ₹24,914 lakhs, with the Income Tax Department granting a 90% stay on these demands. The company has also completed strategic acquisitions including 100% stake in UTO Asia Pte. Ltd. for EUR 1,225,000 and approved acquisition of distillery assets in Uttar Pradesh for up to ₹7,000 lakhs.

Allied Blenders & Distillers Limited announced that its Nomination and Remuneration Committee (NRC) has approved the grant of 3,200,000 stock options under the ABD Employee Stock Option Scheme-2024. The decision was made during the NRC meeting held on January 23, 2026, which concluded at 02:50 P.M. (IST).

Stock Option Grant Details

The comprehensive stock option grant encompasses significant value for eligible employees across the organization. The company has structured this initiative under its established Employee Stock Option Scheme framework.

Vesting Schedule and Structure

The stock options follow a systematic 4-year vesting schedule designed to balance retention and performance incentives. The vesting structure incorporates both time-based and performance-based components to align employee interests with company objectives.

Exercise Terms and Conditions

Once vested, employees have a four-year window to exercise their stock options from the respective vesting dates. This extended exercise period provides flexibility for employees to optimize their decision timing based on market conditions and personal financial planning.

The scheme operates under the ABD Employee Stock Option Scheme-2024 framework, ensuring compliance with regulatory requirements and corporate governance standards. The company has structured the program to align with SEBI regulations governing share-based employee benefits.

Regulatory Compliance

The stock option grant fulfills all requirements under Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015. The company has provided comprehensive disclosure details as mandated by SEBI Master Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024.

This employee stock option initiative represents Allied Blenders & Distillers' commitment to employee retention and performance-based compensation structures. The substantial grant of 3.2 million options demonstrates the company's confidence in its workforce and long-term growth prospects.