United Breweries Ltd (UBL), a leading player in the Indian beer market, has reported a robust performance for the first quarter of fiscal 2026, with notable growth in both revenue and profit. The company's strategic focus on affordability and premium offerings has yielded positive results, driving market share gains and strong performance across key brands.

Financial Highlights

UBL posted a 6% year-on-year increase in standalone net profit, reaching Rs 183.7 crore for the quarter ended June 30, 2025. The company's revenue saw a significant jump, rising to Rs 2,862.4 crore from Rs 2,473 crore in the same period last year, marking a 15.7% increase.

Market Share and Premium Portfolio Growth

CEO Vivek Gupta highlighted affordability as the primary driver for beer category growth. The company's strategic initiatives have resulted in a significant market share increase of over 300 basis points. Notably, United Breweries' premium portfolio demonstrated exceptional performance, growing by 46% during the quarter. Brands such as Ultra, Ultra Max, and Heineken showed strong traction in the market.

Operational Strategies

The company's growth was supported by several key operational strategies:

1. Increased cooler placements in stores, enhancing product visibility and accessibility.
2. Localization of production, potentially optimizing supply chain and reducing costs.

Regional Performance

While United Breweries reported overall growth, the performance varied across different states:

• Challenging Markets: Karnataka, West Bengal, and Rajasthan faced headwinds due to increased excise duties.
• Strong Performers: Uttar Pradesh, Andhra Pradesh, Assam, and Madhya Pradesh showed positive performance.

It's worth noting that the recent changes in Maharashtra's Excise Policy did not impact the quarterly results, as they were implemented after the quarter ended on June 30, 2025.

Investor Communication

In line with regulatory requirements, United Breweries has made the audio recording of its Q1 FY2026 earnings call available on the company's website. This move enhances transparency and allows investors to access detailed insights into the company's performance and strategy.

United Breweries' strong start to fiscal 2026 demonstrates its resilience and adaptability in a dynamic market environment. The company's focus on both affordability and premium offerings appears to be paying off, setting a positive tone for the rest of the financial year.

United Breweries Limited (UBL), a leading player in the Indian beer market, has set ambitious goals for its financial performance and growth in the coming years. The company has announced its targets and projections, signaling a positive outlook for its business operations.

Financial Targets

United Breweries has set its sights on achieving double-digit EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) margins in the mid-term. This target reflects the company's commitment to improving profitability and operational efficiency.

Volume Growth Projections

For the current year, UBL expects a volume growth ranging between 5% to 8%. The company acknowledges that the actual figure will depend on various factors, indicating a cautious yet optimistic approach to its growth projections.

Pricing and Mix Strategy

In addition to volume growth, United Breweries anticipates a 4-5% growth in pricing and mix for the current year. This strategy suggests that the company is focusing on both volume expansion and value enhancement to drive overall revenue growth.

Recent Earnings Call

As part of its commitment to transparency and investor communication, United Breweries hosted an earnings call to discuss its recent financial results. The company has made the audio recording of this call available on its website, allowing investors and analysts to access detailed insights into its performance and strategies.

Investor Relations

United Breweries continues to maintain open lines of communication with its stakeholders. The company has provided access to the audio recording of the earnings call through its website, demonstrating its commitment to keeping investors informed about its financial performance and future outlook.

United Breweries' focus on achieving double-digit EBITDA margins, coupled with its projected volume growth and pricing strategy, indicates a strong emphasis on both top-line and bottom-line growth. As the company moves forward with these targets, investors and industry observers will be keen to monitor its progress in the competitive Indian beer market.