Allied Blenders & Distillers Limited (ABD), India's largest domestic spirits company by volume, has announced robust financial results for the first quarter of fiscal year 2026, showcasing significant growth across key metrics.

Financial Highlights

• Income from Operations reached ₹930.00 crore, marking a 22.5% increase year-over-year
• EBITDA grew by 56.4% to ₹119.00 crore
• Profit After Tax (PAT) surged by 398.6% to ₹56.00 crore
• EBITDA margin improved by 277 basis points to 12.8%

Strong Volume Growth and Portfolio Premiumization

ABD reported a total volume of 8.5 million cases in Q1 FY26, representing a robust growth of 17.2% compared to the same period last year. The company's strategic focus on premiumization is evident in the increased contribution of its Prestige & Above (P&A) portfolio:

Brand Performance

ICONiQ White, ABD's fastest-growing millionaire brand, continued its strong momentum across all markets in India. The brand has solidified its position as one of the world's fastest-growing spirits brands for two consecutive years.

Expansion of Super-Premium to Luxury Portfolio

ABD Maestro Pvt. Ltd., the company's super-premium and luxury spirits subsidiary, commenced operations in April 2025. Notable developments include:

• Launch of Russian Standard Vodka in June 2025
• Expansion of Zoya Gin to 9 key states in India and UAE
• Arthaus Blended Malt Scotch Whisky now available in 8 key states and UAE
• Woodburns Contemporary Indian Whisky present in 7 key states

International Market Expansion

ABD has significantly broadened its global footprint:

• Expanded presence from 14 to 27 countries since FY24
• Increasing focus on high-growth African markets and entry into the USA
• ICONiQ White launched in 7 international markets
• Secured approvals for exporting products to Canada and key European Union markets

Awards and Recognition

The company's brands received several accolades in Q1 FY26:

• Woodburns won 1st place for "Best Blended Indian Whisky" at the International Whisky Competition 2025
• Sterling Reserve Blend 7 secured 3rd place in the same category
• Arthaus Blended Malt Scotch Whisky, Zoya Special Batch Gin, and ICONiQ White Whisky each won Gold Quality Awards at the Monde Selection 2025

Management Commentary

Alok Gupta, Managing Director of ABD, stated, "This quarter marks our fourth consecutive quarter of strong performance, validating our strategy of prioritizing profitable volume growth, premiumization of portfolio, and agile investments in backward integration to enhance margins. As we move forward, our strategic focus positions us strongly to sustain growth and consistently enhance customer value."

ABD's Q1 FY26 results demonstrate the company's successful execution of its growth strategy, with a clear focus on portfolio premiumization, operational efficiency, and international expansion. The significant improvement in profitability and market share gains in the premium segment position ABD well for continued success in the evolving spirits market.

Allied Blenders & Distillers Limited (ABD), India's largest domestic spirits company by volume, has announced a significant surge in profitability for the first quarter, despite relatively flat revenue growth.

Strong Profit Growth

ABD reported a remarkable increase in net profit for Q1, reaching ₹609.00 million, compared to ₹122.00 million in the same period last year. This represents a substantial year-over-year growth of nearly 400%, highlighting the company's improved operational efficiency and cost management.

Revenue and EBITDA Performance

While the company's revenue remained relatively stable at ₹17.72 billion, compared to ₹17.70 billion in Q1 of the previous year, ABD demonstrated notable improvements in its operational metrics. The EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) rose to ₹1.54 billion from ₹1.34 billion year-over-year, indicating enhanced operational efficiency.

Margin Improvement

The EBITDA margin saw a significant improvement, increasing to 8.72% from 7.60% in the previous year. This expansion in margin reflects the company's ability to manage costs effectively while maintaining revenue levels.

Volume Growth and Portfolio Premiumization

ABD delivered strong volume growth, with overall sales reaching 8.50 million cases in Q1, a robust increase of 17.2% compared to 7.30 million cases in Q1 of the previous year. The company also reported an accelerated premiumization of its portfolio, with the Prestige & Above (P&A) volume salience increasing to 46.2% in Q1, up from 36.9% in the same quarter last year.

Brand Performance

The company's flagship brand, ICONiQ White, continued its strong growth momentum across all markets in India. Recognized as the world's fastest-growing Millionaire Spirits Brand in CY2023 and CY2024, ICONiQ White's performance reflects its growing popularity among consumers.

Expansion and New Launches

ABD has been actively expanding its product range and market presence:

• Launched Golden Mist, marking the company's entry into the fast-growing prestige brandy category in Karnataka and Telangana.
• Introduced Russian Standard Vodka in key markets of Maharashtra, Goa, and West Bengal.
• Expanded the presence of super-premium brands like Zoya Gin and Arthaus Blended Malt Scotch Whisky to multiple states and international markets.

International Expansion

The company has significantly broadened its international footprint, expanding from 14 countries in the previous fiscal year to 27 countries currently. ABD has secured approvals for exporting its products to Canada and key markets in the European Union, signaling potential for further growth in international markets.

Management Commentary

Alok Gupta, Managing Director of ABD, commented on the results, stating, "This quarter marks our fourth consecutive quarter of strong performance, validating our strategy of prioritizing profitable volume growth, premiumization of portfolio, and agile investments in backward integration to enhance margins."

The company's focus on portfolio premiumization, expansion into new categories, and international market growth appears to be yielding positive results, as reflected in the substantial profit growth despite flat revenues. ABD's strategic initiatives position it well for sustained growth and value creation in the coming quarters.