United Breweries Leases Andhra Pradesh Facility to Boost Production Capacity

22 May 2025 , 09:38 AM

United Breweries Ltd (UBL), the kingfisher and HEINEKEN group company has signed a leasing agreement with Ilios Breweries Pvt. Ltd to ramp up its production capacity in Andhra Pradesh.

The effective date of the agreement was 20 May, the day after excise consent was obtained, and the arrangement is a sign of the company continuing to shore up its supply chain in the region. UBL has its own brewery at Ranasthalam in Andhra Pradesh’s Srikakulam district.

The extra leased capacity will enable distribution efficiency improvements, cater for increasing regional demand and cater for peak season in volumes for its Kingfisher and other UBL brands. The growth is also spurred by shifting consumer tastes and increasing regulator encouragement of lower-alcohol beverages, which fits with UBL’s product evolution.

Q4 FY25 Financial Performance

Standalone net profit climbed 20.5% on a yearly basis to ₹97.4 crore. Revenue at ₹2,321.3 crore was up 8.9% YoY led by strong demand as well as a better product mix. The EBITDA for the quarter surged 31.2% YoY to ₹186.3 crore, while EBITDA margin expanded to 8%.